Property buying on other's behalf in WA

[svamin]

Hello,

I have a trusted person in other state who will be buying on my behalf. All financial risks will reside with me. He is not a licensed realestate agent rather than a relative who wants to undergo through the whole process together. In this light what are the legal specifics around this case? For example does he need a formal approval from me to make an offer? What names he should put in the contract? Any other consideration from fellow forum members?

Also would you recommend a trusted solicitor In Perth WA?

 

[Aaron_C]

You can provide him with a general power of attorney to purchase the property on your behalf.

 

[Ausprop]

why bother? just let them go and do all the legwork and when you are ready to sign off get the O+A faxed to you for signature.

 

[westminster]

why bother? just let them go and do all the legwork and when you are ready to sign off get the O+A faxed to you for signature.

I would agree with this one. It's very easy to buy in Perth from a remote location.

There are no section 32 etc over here. There is a standard Offer contract which you can put clauses on (ie Pest, Building, Finance) which you can sign remotely scan and email back. I live in Perth and I didn't meet my real estate once! Everything has been done via email.

Once accepted you pay a deposit to the Trust account of the RE - you can do this via chq or online as well.

Then you start on your Subject To things, arrange B&P inspections etc

Then you nominate a settlement agent (no solicitors required) and I have one I can recommend. They will handle settling at the property into your name once finance is all approved.

Apply for finance through your favourite broker. Once that is done your contract will normally be for settlement 14 days after finance approval.

Note: there is no cooling off period in WA but once your offer has been accepted by the Vendor they cannot take another offer. They can look at more than one offer but if they sign one then it's yours (subject to all Subject Tos)

 

[svamin]

Thank you so much Aaron_C, Ausprop! And my special thanks to these valuable details by westminster!

Still one clarification on this though - do fellow forum members recommend using solicitor/conv in WA or everything is so standard that just a settlement agent is required (what is this occupation by the way?)?

Could you refer someone knowledgeable in legal matters to help us with getting things done?

Thanks again!

 

[HotRod]

99% of settlements can use the garden variety settlement agent.

I guess if there is a legal matter, then you need a lawyer (such as a tricky special condition).

 

[westminster]

I have to go see a lawyer for my latest deal but that is because I am being guarantor on the loan for my Trust. It is only a one off appointment where he needs to rubber stamp a document - cost $220.

Everything is being handled by my settlement agent like distribution of funds, titles,

I use Heidi Hunter Settlements and they have been excellent for the 3 transactions I have used them for.

I have just checked my documents for you (I think it was another thread) and settlement agents have a set of scaled fees which are negotiable. My fee for my latest transaction was $2194 discounted to $1426 (35% discount). My transaction before that which was simpler was under $1000.

 

[Aaron_C]

The settlement itself is an easy matter. All it requires it that all boxes are ticked off, documents are provided, and that the money changes hands correctly. It ain't rocket science. Lawyers are mainly needed when it comes to legalities prior to signing and / or dispute resolution if there is a problem with settlement or the title.

 

[Blacky]

Hello,
What names he should put in the contract?

The buying process via remote is easy in WA. I live overseas 90% of the year and control everything via email/phone and fax - plus my brother has full POA.

In regards to the above statement though - it is vital that you get this correct. The contract name has to be in the name of the purchaser - and you cannot change it. If you do it is effectively a second sale, and you might incur double costs (stamp duty etc).

In WA you used to be able to purchase and state a Nominee. This is no longer the case. Buyer agents can be used and go on the contract "as agent for..." however the wording is very specific, as is the Buyer/agent contract which proves that the agent is in deed acting for the purchaser.

As others said easiest to have the negotiations carried out and the written contract faxed/emailed for signing.

Cheers
Blacky