Buying a house is likely to be the most important investment that you ever make. With vendors seeking to exploit the market, auctions have become an increasingly popular method of sale.
Before attending an auction there are a number of things that you should do and which we consider imperative before purchasing any property at an auction. This includes:
- Ensure that you have finance approval. This is important for two reasons. Firstly you will need to know how much you can afford to bid. Secondly there may be special conditions attached to your finance approval and you need to ensure you can comply with those conditions before settlement, thus eliminating any last minute nasty surprises.
- Have Brydens Lawyers review the contract for sale. You will need advice as to the terms of the contract which may include penalties for late settlement, investment of the deposit funds, whether the property is offered as vacant possession or subject to existing tenancies, the nature of any easements and covenants etc.
- Consider qualifying an expert to inspect the property for any building defects or termite activity.
If you are successful at the auction in purchasing the property you will not have the benefit of any cooling off period as provided for under the current conveyancing laws in New South Wales. Therefore it is imperative that you be well prepared for the auction and have undertaken, at the very least, the steps set out above.
There will be a cost in properly preparing for an auction. However the costs of same will be completely outweighed by the costs that you could incur if something went wrong. Being prepared for an auction will provide that peace of mind that you need when undertaking probably the largest investment of your life.
Brydens Lawyers are the conveyancing experts and can provide expert legal advice and representation in reviewing all contracts and acting for both purchaser and vendor in connection with all conveyancing transactions.
Brydens Lawyers – protecting your future.