Presenting your home

2017 ®

Questions.

Ten important questions you should ask when appointing an agent.

o What are your credentials?

o Have you sold any homes similar to mine recently?

o What is your buyer strategy?

o How will my home be marketed?

o Which types of media do you use, and why?

o What are your procedures for open for inspection?

o How long will it take to market and sell my home?

o What is your negotiation strategy?

o What guarantees do you offer?

o What are the next steps?

Terms.

Here are some important terms to know during the sale process.

CONTRACT OF SALE / SECTION 32

FINANCE APPROVAL

This document contains the details of your home and the

When the contract of sale is subject to finance, it’s the

conditions of sale. Organise one through your solicitor, and

responsibility of the buyer to obtain finance approval by the

don’t necessarily wait until you’ve chosen your real estate

specified date. If finance is declined, the contract ends and

agent. Having the Section 32 ready to go means that your

the buyer receives a full refund of their deposit. If the vendor

home can be advertised earlier, and buyers can view it sooner.

is not notified of whether finance approval has been obtained or declined by the specified date, the Contract of Sale becomes unconditional.

COOLING OFF PERIOD After the buyer has signed the contract, there’s a three day cooling off period. It gives them time for things like contacting pest inspectors and having their solicitor review the contract.

SETTLEMENT PERIOD After the contracts are exchanged, the settlement period

The cooling off period only applies to properties sold via

begins. The settlement period usually runs for either 30,

private sale; when a home is sold at auction the deposit is

60 or 90 days from the date of exchange, so you can use

paid and contracts are exchanged on the spot.

this time to find another home, organise your finances and arrange your move.

SECTION 27 (RELEASE OF DEPOSIT)

SETTLEMENT

Section 27 of the Sale Of Land Act states that the deposit

At settlement, the buyer pays the balance of the purchase

must be held in a trust by the real estate agent or solicitor.

price and picks up the keys. Usually, your bank and solicitor

Your solicitor can arrange for the early release of the deposit

will take their fees from the settlement proceeds and issue

under certain circumstances. The buyer has 28 days from the

you with a cheque for the remainder. Your real estate agent

receipt of the Section 27 statement to approve or decline the

will take their fee and commission from the deposit, and either

early release of the deposit to the vendor. Once the deposit is

sends you a cheque for the balance or directly transfers the

released, your real estate agent will receive their commission.

funds into your bank account.