The Selling and Purchasing Process
The Selling Process
When sellers decide to sell their home, they must be very sure it is the correct decision they have taken and it’s really what they would like to do, because they will be making one of the biggest decisions of their lives.Once they are 100% sure, this is the route they will be taking, they appoint an estate agent to over see the process and to introduce the home into the market place, that it may get sold at the current market value of other homes being sold in the area, at the time of the sale.
Some sellers prefer to give their agent a limited period to market their home in, normally this time period is 90 days, the reason for this is, there is only one agent to report back and to update the seller on the progress of the sale.
Also the agents don’t trip up over each other taking the same purchasers to the same home, when they have already seen it with another agent. (Potentially dangerous claim for double commission).
The sellers also prefer to deal with one competent person and not 10 incompetent agents; otherwise the appointments can get very confusing.
While one agent is taking through their friend, that’s not really interested in buying and they are trying to impress the seller with their client base, the real purchaser, that may have been interested, has been told, another agent already had an appointment at the crucial time they wanted to see it.
Therefore there is also more control to avoid the above happening. If another agent has a genuine purchaser looking and the mandated agent does not know them, the mandated agent should have no problem in sharing in their commission with the introducing agent, if a sale is concluded, as the saying goes,
‘A BIRD IN THE HAND IS WORTH TWO IN THE BUSH’
The marketing agent would then draw up an ‘Offer to Purchase’, with the terms and conditions agreed, regarding the sale and the prospective purchaser/s would sign it.
The ‘Offer to Purchase’ would then be presented to the seller/s, for discussion and debate by them.
On agreement of the price and the terms of the sale, this agreement is signed by the seller/s, it is then ‘Accepted’ and becomes ‘a Deed of Sale’ any suspensive conditions, as part of the contract must be fulfilled before finality. E.g. a mortgage bond over the property or maybe it’s subject to another home being sold, etc..etc... , If it is subject to another property’s sale be sure to write that 72 hour clause into the ‘Offer to Purchase’to protect you, before you sign it.
The Purchasing Process
When a purchaser decides to purchase a property, they must prepare themselves properly, they should have been pre-approved to know how much they may purchase for, also they must know that there credit line is clear, otherwise they will just be wasting their time and everyone else’s, if there is a problem.
Nowadays couples tend to purchase together as it gives them more ‘Purchasing Power’ with taking two incomes into account they qualify for a higher home loan at the bank.
Remember when you are viewing homes if you feel that funny unexplainable feeling in your stomach and you can picture your furniture in this home, you have hit a Jackpot !! This is the home for you !
The next stage would then be you would make an offer to the seller, the ‘Offer to Purchase’ in the offer you give the seller, what you think the home is worth and the amount you are comfortable with, any conditions, you may want to put in are also written in at this stage, e.g. clearing up the yard before transfer.
You then sign the ‘Offer to Purchase’ and the sellers estate agent takes it, to be presented to him and hopefully accepted !On acceptance, if there is a mortgage loan condition in the contract, the loan must be applied for through the sellers estate agent, that have mortgage originators working for him, at this stage they take over the application and the responsibility of getting the loan, at the best possible interest rate and terms for that client.
Once the loan has been granted the ‘Deed of Sale’ gets sent to the sellers Conveyancers for transfer into the purchaser/s name, at this stage the transferring attorneys take over the process of the Sale and transferring the property as close as possible to the date specified in the ‘Deed of Sale’.
HOME LOAN ADVICE AND THE N.C.A.
TIPS ON PREPARING YOUR HOME TO SELL
THE SELLING AND PURCHASING PROCESS
CONVEYANCING & DEEDS OFFICE PROCESS
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'the rite way to go!’
