Buying process similar between NSW and VIC?

[cadence]

Hi everyone

I'm looking to purchase a property in Melbourne. I live in Sydney and have only bought in Sydney. A complete NOOBIE when it comes to buying in Melb and would appreciate some advice.

I assume the process is similar?
1. Obtain pre-approval from bank
2. Line up conveyancer
3. Make offer
4. Assume offer accepted, pay holding deposit.
5. Exchange contracts
6. Carry out relevant searches during cooling off period
7. Pay 20% deposit upon expiration of cooling off
8. Settle in about 6 wks time (conveyancer will sort out payment of stamp duty etc)

Is there anything different when it comes buying in Melb as compared to Syd that I need to be wary of?

What happens with signing documents? Do I have to be present in person or can the docs be mailed to me?

Do you recommend I use local conveyancers? Rather than using my Sydney conveyancer?

Any tips / recommendations would be greatly appreciated!!!

Thanks in advance!

 

[Propagate]

There's a big difference with regard to Cool Off period I think.

From memory, in NSW during your cool off period you can pull out at any time, for ANY reason and only lose you 0.25% deposit?

In VIC, I think the technical "Cool Off" period is only 3 days, (zero days if you have had the contract reviewed by a solicitor first).

After that, the only way you can pull out is on a "subject to" clause failing I believe.

It's been a while since we bought in VIC, but buying in NSW last year I remember thinking it was a lot easier for us as buyers to crash the contract if we needed to for some reason, (within that nice long cool off period).

I'm sure someone will correct me on the above if I'm off base.

 

[alicudi]

Hi

I will add a couple of little points but I am sure others will add more.

1) VERY FIRST STEP IS TO READ THE SECTION 32 THAT THE VENDOR OR VENDOR's AGENT MUST PROVIDE BEFORE YOU SUBMIT AN OFFER.

2) If buying at Auction you have no cooling off period as far as I am aware.

3) You can appoint your conveyancer after your initial offer is accepted. I would also like to see you use a local conveyancer from a firm that just doesn't do conveyancing on its own but is from a small solicitor's office in case you have other issues and things escalate. This is very handy when purchasing real estate remotely such as interstate or international.

4) oYu do not need to be here in person to buy real estate in Victoria.

Regards,

alicudi

 

[Big Will]

I assume the process is similar?
1. Obtain pre-approval from bank
2. Line up conveyancer
3. Make offer
4. Assume offer accepted, pay holding deposit.
5. Exchange contracts
6. Carry out relevant searches during cooling off period
7. Pay 20% deposit upon expiration of cooling off
8. Settle in about 6 wks time (conveyancer will sort out payment of stamp duty etc)

Is there anything different when it comes buying in Melb as compared to Syd that I need to be wary of?

What happens with signing documents? Do I have to be present in person or can the docs be mailed to me?

Do you recommend I use local conveyancers? Rather than using my Sydney conveyancer?

Any tips / recommendations would be greatly appreciated!!!

Thanks in advance!

1. Do not need preapproval but I like it as it might help with using STF.
2. Do not need before you start looking or before you put an offer in but is advisable to check the CoS (inc S32). Some will read your CoS for the properties you are looking at as a quick glance as long as you use them if successful.
3-5 Yes, initial deposit is usually about $1,000 and most agents will ask for this upfront with the submission of your offer on the CoS.
6. Yes but if they have made a mistake in the S32 you can get out or renegotiate, if you didn't put STB&P do it now.
7. Once it goes unco or just prior to it.
8. Depending on your contract 4-6 weeks is normal.

No need to be present with today's technology, as long as you have a scanner and a printer you can submit an offer. The REA should be able to help you generate the CoS and complete the correct information needed and should give you a phone call to run through it. It is of course easier to do things in person but not needed.

I would use local conveyancing as I am fairly certain you need to be accredited for the state you are looking at doing but also you want local experience compared to a Sydney person that might do one interstate deal a year.

Cooling off in Vic is 3 clear business days from the date of the contract even if your solicitor has reviewed the contact. There are execptions like if you are a REA or corperate body, the land is greater than 20hec and is going to be used for farming, you have already sign a CoS similarly for the same property, going to use the property for industrial or commercial purposes or bought the property within 3 clear business days (before or after) a publicly listed auction.

Cooling off involves fees 0.2% of the sale price or $100 whichever is greater (0.2% is going to be greater in 99.99%) - e.g. $500,000 property = $1,000 cooling off, hence your 1k initial deposit!