Issues with settlement in QLD

Hi All,

I have purchased a property in QLD which is due to settle on Tuesday (Monday is a public holiday in QLD). Currently the selling agent is different to the managing agent. I would like to perform a pre settlement inspection however earlier this week the selling agent tells me he never had a key. When he required access, he just contacted the tenant who provided access.

I have also contacted the current PM who advised me that the keys they have to not work at the property and that the only person who has a key is the tenant. They advised that I cannot gain access until the key is returned to the PM's office.

The tenant has vacated but thier lease does not end till the 11th and hence legally they do not have to return the key to the PM until this date.

I beleive as part of the contract, I am entitled to a pre settlement inspection. Also, I beleive that the keys need to be handed over at settlement. Can anyone confirm?

Ive spoken to my solicitor who has requested to delay settlement until after the keys can be provided. Can anyone advise what is the best cause of action here? Where do I stand legally if the vendors solicitor refuses to delay settlement?

Any input appreciated.

Thanks in advance.
 
Hi All,

I have purchased a property in QLD which is due to settle on Tuesday (Monday is a public holiday in QLD). Currently the selling agent is different to the managing agent. I would like to perform a pre settlement inspection however earlier this week the selling agent tells me he never had a key. When he required access, he just contacted the tenant who provided access.

I have also contacted the current PM who advised me that the keys they have to not work at the property and that the only person who has a key is the tenant. They advised that I cannot gain access until the key is returned to the PM's office.

The tenant has vacated but thier lease does not end till the 11th and hence legally they do not have to return the key to the PM until this date.

I beleive as part of the contract, I am entitled to a pre settlement inspection. Also, I beleive that the keys need to be handed over at settlement. Can anyone confirm?

Ive spoken to my solicitor who has requested to delay settlement until after the keys can be provided. Can anyone advise what is the best cause of action here? Where do I stand legally if the vendors solicitor refuses to delay settlement?

Any input appreciated.

Thanks in advance.

Read your contract and determine what you have agreed to. You might be best to delay settlement until you can do the inspection.
 
Have you/re agent asked the tenant if its ok to inspect? The RE Agent would need to have given the tenant 24 hrs notice to inspect, which would of been the case for inspecting the property when it was forsale?.. Get the RE Agent to ask the tenant if it is ok that you can inspect it now?

I had a case where the previous owner only had settlement day that she could move into her new property as she needed funds from sale of house to purchase the new place. I gave her 3 extra days after settlement to move her gear out, and this was just verbally agreed amongst myself, re/agent, owner, and emailed information to my lawyer. I ended up getting the house keys by the end of the following day after settlement! This case was mutually agreed by both parties!
 
Different Contracts say different things.

REIQ Standard Conditions
5.3 In exchange for payment of the Balance Purchase Price, the Seller must deliver to the Buyer at settlement
(d) if requested, the Keys in the Seller's or the Seller's Agent's possession or control for all locks and security systems on the Property

ADL Forms

Clause 9.2 requires the Seller to deliver all keys and other devices for entry and exit and security.

REIQ
Clause 8.2(3) allows access to inspect property pre settlement

ADL Forms
Clause 17(4) allows access to inspect property pre settlement
 
Hi guys,

I spoke to my solicitor on Friday day and was able to push back settlement a week due to the clauses in the contract which RPI mentioned about not being able to provide a pre settlement inspection or provide the keys upon payment of the property at settlement.

Thanks to all for the input.
 
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