NSW - 5 day cooling off and inspections

[yjs]

Hi guys, I've done some research on this topic and I'm still confused! Looking for the pros to explain it to me.

If one was to purchase a property in NSW, do people typically do the inspections (B&P, strata etc) during the 5 day cooling off period, or do them before signing a contract and then sign a contract waiving the 5 day cooling off? I know it depends on the property and the competitiveness of the market, but yeah, what is the most common approach taken by people here?

It seems that 5 days is really not enough to do everything and if you do get unsatisfactory results, exercising the cooling off you'll still lose the 0.25% anyway. On the other hand, if you do everything before exchanging contacts, for competitive properties there's a chance you'll lose the property to another interested party.

Just want to get some insight and advice from the pros on here.

Thanks in advance.

 

[ok180]

The 5 day cooling off period is when you do your building and pest inspection. If the 5 days isnt enough time you can have your solicitor extend it. 5 days should be enough time to at least do b&p.

 

[DaveM]

10 days is standard these days unless you are a cash buyer as lenders take 7+ days to issue unconditional

 

[ZachAnSel]

Hi guys, I've done some research on this topic and I'm still confused! Looking for the pros to explain it to me.

If one was to purchase a property in NSW, do people typically do the inspections (B&P, strata etc) during the 5 day cooling off period, or do them before signing a contract and then sign a contract waiving the 5 day cooling off? I know it depends on the property and the competitiveness of the market, but yeah, what is the most common approach taken by people here?

It seems that 5 days is really not enough to do everything and if you do get unsatisfactory results, exercising the cooling off you'll still lose the 0.25% anyway. On the other hand, if you do everything before exchanging contacts, for competitive properties there's a chance you'll lose the property to another interested party.

Just want to get some insight and advice from the pros on here.

Thanks in advance.

There are 2 ways to purchase property, cooling off period should enough to do B&P inspection, prepare your deposit, etc. Even if not, like ok180 said you can always ask Solicitor to extend it on your behalf. Most of the case vendor will understand. Risk is you lose 0.25%

The second way is to order B&P, etc but not go with cooling off period. Until all reports are clear then you can sign the contract. Risk is other people pursue cooling off period faster, and you lose that property.

Different approach for different strategy..

 

[tgan]

can you pull out of the deal, no questions asked, within 5 ys?
I understand you loose.25%

 

[yjs]

can you pull out of the deal, no questions asked, within 5 ys?
I understand you loose.25%

Yes I believe that is the case.

So these days it's quite common for 10 days cooling off? Would I have to extend it to 10 days during contracts exchange or extend on say the 3rd or 4th day of the initial 5 days cooling off period? Thanks guys.

 

[neK]

Is there a way that you can get the 0.25% refunded?

 

[yjs]

Is there a way that you can get the 0.25% refunded?

Vendor's goodwill perhaps? Haha.