Subject to Finance

[GreenTreeFrog]

We are waiting on pre-approval.

We HAVE to sell this place to make all the number works.

If we sign a contract with subject to finance on the other place, does that just mean if the loan is approved, then we have to go ahead with the sale? Or does that cover the fact that we have to sell this place to make the finances work?

I want to start negotiating on this property we want but need to understand the Subject to Finance clause.

Thanks!!

 

[bogie]

sounds like two conditions not just one - conveyancer /solicitor can advise you correctly according to state/territory

 

[Cherry Pro]

Hi Melissa

Think this is one for your mortgage broker / bank to consider as well along
with your solicitor /conveyancer.

Hope it all goes well.

 

[twobobsworth]

which state?

 

[RumpledElf]

AFAIK you can also have it subject to the sale of another property.

 

[GreenTreeFrog]

Thanks guys.

NSW

Spoke to conveyancer who basically confirmed what you all said. It would be two separate conditions and their solicitor would be likely to advise against it.

 

[Ms Jade]

I definitely wouldn't accept it if i was the vendor, unless the place had been on the market for ages & it just wasn't selling. I would talk to your broker about bridging finance. I understand that it's not expensive these days and means that you can negotiate on the new property and then sell your existing place later.