If you feel it’s not necessary to engage an agent if you are considering selling your house – this can occur if you have a buyer set up, such as a renter, a neighbour or a family member. Similarly, if you are engaging directly with the property owner and looking to purchase directly from them.
If the buyer or seller (we refer to them as “purchaser” or “vendor”) has done their study, a fair agreement can be made and all documents correctly and legally produced without the assistance of a real estate professional.
Read on to discover the tips you need for buying or selling land without the help of an agent.
Buying or Selling Privately for Vendor
- Engage the services of a conveyancer or, better yet, a property-experienced wills lawyer. You can order government searches for your property through your conveyancer or lawyer, which are required to complete the sale and transfer documents if you locate a buyer.
- As soon as you find a buyer willing to pay the correct price, prepare a contract and Form 1 statement for signing. Remember that the majority of purchasers have a two-day “cooling off” period after signing a contract. As a result, seize the opportunity.
- The first responsibility of a vendor in a purchase is to ensure that the buyer has clear title to the property. While your lawyer or conveyancer can help, the responsibility ultimately falls on you, so plan ahead of time.
- Long settlements should be avoided. Instead of thirty or forty-five days, the buyer may seek a lengthier settlement period, such as six or twelve months. The longer the settlement term, however, the more likely something will go wrong.
- Agents, on average, do an excellent job of protecting their clients. In order to make themselves financially agreeable, they have a vested interest in a timely settlement. Without the assistance of a real estate agent, and especially without the presence of a lawyer or conveyancer, vendors and buyers may occasionally agree to unrealistic, ill-advised, or even unlawful terms and conditions. Even seasoned investors have difficulty understanding vendor finance arrangements, rent-to-own clauses, and alternatives. It is vital to seek conveyancing and legal advice.
Buying or Selling Privately for Buyers
- The first step after signing a contract to purchase a property is to record a caveat to protect your interest in the property until the settlement. A caveat prevents the vendor from selling or encumbering the property without your permission.
- Obtain a building inspection report, consult with neighbours, and enquire with the local council about any building or other limitations on the land before making a deal.
- Even if you are a seasoned buyer, you should have the contract and forms evaluated by a lawyer or conveyancer. Despite the fact that the law allows for a variety of representations, DO NOT consent to the vendor’s conveyancer functioning as your conveyancer.
- Check to see if your financial condition is steady and that you are paying fair market value or less. Obtain an official property valuation if necessary.
- If the vendor is not represented, the deposit should be held by the conveyancer. A conveyancer’s professional obligations include holding deposits in trust for both parties until the transaction is completed. While a lay vendor has no professional obligations, he or she does have legal obligations that are frequently enforced only in court.
Buying a house without the help of a real estate agent might be a great way to make or save money. However, you should still seek expert advice and assistance from a conveyancer or property lawyer to determine what you may and should do in the circumstances. This way, you can avoid legal problems in the long run.
Are you looking for Australian property lawyers in Ipswich? The Springfield Legal Service team is here to help you buy or sell property privately. Work with us today!