Westgate Conveyancers

What are my rights when buying a property?
Thursday, Feb 08, 2024

What are my rights when buying a property?

Written by westadmin

Thinking of buying a property or investing in building a house? You have achieved a great feat. Life is full of thrills and spills right now. Please make sure you have all the information you need on the rights of a property buyer. This will guarantee a smooth transaction. We have personally witnessed the large number of first-time homeowners who are unprepared for the overwhelming amount of paperwork needed.

The people you choose to surround yourself with greatly influence challenging transactions like buying a home. Your choice of companions significantly influences the transaction's ease. Here at Westgate Conveyancing, you are undoubtedly aware of our involvement in the conveyancing profession.

You can rely on us to support you at every turn and to break things down for you.

What are my rights as a property owner?

Knowing the buyer’s rights when buying a house and what to expect from the conveyancing process is useful, whether this is your first or tenth purchase.

Understanding Your Rights While Purchasing Real Estate

There are benefits that you may take advantage of as a buyer.

  • Obtain a copy of the vendor's statement and consult an expert before signing any paperwork related to a purchase. By law, the seller must give the buyer a vendor's statement that details the property, including any limitations, liens, easements, or title searches that may be necessary.
  • You must familiarise yourself with the vendor statement and its contents before signing a sales contract. If you're having trouble understanding the requirements, we may clarify them for you and write them out in simple English. You will be required to sign a legally binding contract of sale when you complete the transaction.
  • Everything on your contract, including your cooling-off rights, financial conditions, and other specifics, is included in this document as real estate buyer rights; therefore, you must read it carefully. Once again, these contracts contain material that may be challenging to grasp; so, we make every effort to review these contracts with you and provide explanations as needed.
  • Everyone involved in the sale and purchase must act within the bounds of their legal rights, which include both the vendor and the buyer. In the process of purchasing real estate, we can explain your rights and responsibilities under the law and in contracts.

What should I do when buying a property?

When buying a property, you always start with an inspection. But should you pay for the inspection?

Professional inspection

If you assume you will accept the property 'as is,' it implies accepting responsibility for any issues with the structure, insect infestations, or other deficiencies not immediately apparent. This commitment extends to unforeseen liabilities you may encounter. Therefore, it's crucial to carefully consider the implications before making such an agreement. As part of the rights of a property buyer, you can have the property inspected by a specialist regularly. Keep in mind that a few hundred dollars upfront might save you hundreds, if not tens of thousands, of dollars down the road.

Whether or not the property has been inspected should be disclosed to you by the real estate agent. But before you rely on them, find out who received them and whether there are any other restrictions or disclaimers that would compromise their accuracy.

Legal verification

Your lawyer should verify if the contract contains:

  • An analysis
  • Certification for construction
  • Proof of insurance coverage for house improvements made to the property
  • If you're buying at an auction, get a building and pest inspection first. This ensures you have a clear understanding of the property's condition and any potential issues. You probably won't have much of a chance to back out of the deal once the hammer hits.

Pitching Amount

Deciding on an offer amount is not an easy task. You should think about whether you should:

  • Either provide a lesser price and be ready to bargain higher, or give your best offer right away. If the seller has many bids, they may choose to accept one of them without letting you raise your offer.
  • Other than the price, the seller may reject an offer based on the terms attached to it. If your offer requires a longer payment time, the seller may reject it. Similarly, if another buyer offers the same price with the seller's desired settlement period, your offer may also be rejected.
  • Hiring a buyer's advocate can help you negotiate better terms.

Closing the deal on a home

The agent may ask if you would be ready to boost your offer if the seller rejects it.

In an attempt to reach a price and terms that satisfy everyone, an intermediary will mediate the talks. What kind of negotiation would this be?

The agent will arbitrate talks between the buyer and seller to decide on the selling price and the date of settlement, often between 30 and 90 days. They'll also determine whether to include or exclude certain items to achieve the best deal for the seller.

Property Transaction

If the transaction goes through, you have the right to verify that it is fair and that you will receive the property as promised.

  • Every buyer has real estate buyer rights to conduct a pre-settlement examination of the property during the week leading up to settlement day. This is usually taken care of by the real estate agent managing the sale; however, regional differences may apply.
  • It is imperative that you try your best to attend this inspection, or at the very least, send a reliable representative to your place. You may confirm that the property is still in the same condition as when you signed the selling contract by viewing it in person.
  • The property should not have any new damage, and any agreed-upon repairs should have been completed since you or your buyer's agent or representative visited it before.
  • Verifying the existence and operation of any included fixtures, appliances, and equipment is one of your duties as a buyer. Refrigerators and other equipment belonging to the prior owner or tenant should be removed as they are not part of the agreed-upon transaction.

To make sure the property fits your expectations as specified in the contract, as the buyer, you have real estate buyer rights to inspect it before settlement.

You can ask the seller to make the necessary repairs if you discover anything broken during the pre-settlement process. Alternatively, they can provide agreed-upon compensation for any discrepancies found. This is only relevant, though, if you can demonstrate that the harm occurred after the seller and you both signed the agreement.