Buying A Home
The Professionals That May Be Involved!

Buying a home can involve a number of different professionals who can assist you during the process. They each offer very different home buying professional services. It is very useful to know who these people are, and what they do.

Information about what they do, should assist you when buying a home, to decide whether you need their services.

It is also important to understand their role, so you know how to deal with them. Also, you will need to budget for the costs that they will charge for their services.

The professionals you are most likely to encounter during the home buying process are:

REAL ESTATE AGENT

BROKER OR LENDER

SOLICITOR OR RESIDENTIAL CONVEYANCER

BUILDING AND/OR PEST INSPECTOR

SURVEYOR

STRATA ROLL INSPECTOR

Each of the above professionals can play a part in buying a home. Below is  a short outline of each of their roles.

REAL ESTATE AGENT - Although, there are some people who sell privately, most people still sell through an estate agent. If you are buying a home, you will most likely deal with an estate agent. 

You may have seen a property advertised that interests you, and you will want to make enquiries, and possibly look through it. This is where you will most likely meet the Real Estate Agent, unless the seller, known as the vendor, is selling privately.

An important fact you should keep in mind is: the Real Estate agent, is the agent for the vendor. The agent is the person, who acts as the negotiator, between, you and the vendor, but it is the vendor who pays the agent, not you.

It is the Real estate Agents job, when you are buying a home to provide you with a copy of the contract for sale, in fact, the agent or any vendor is legally required to have a contract available, if you are shown any residential property, in NSW. 

The contract is an important document as it provides details of the inclusions, and other important documents. Click to read more about the contract of sale when buying a home. You should insist on seeing the contract, on any property you inspect.

BROKER OR LENDER -If you have to borrow money to buy a home or other residential property, the broker or lender is important.You will need the loan approval to be able to buy.

You must not exchange contracts to buy a home, with the vendor, until you have the lender's formal approval,or, you are otherwise satisfied that the loan advance will be made. 

If you do, and the loan is not made, you risk losing thousands of dollars.

The only exception to this, would be if it is the Real Estate Agent does the exchange. Click to learn about exchange of contracts.

Your lender should detail the requirements for the loan, which will  have to be met,  before they will lend you the money.

SOLICITOR OR RESIDENTIAL CONVEYANCER - These are the professionals, who can provide legal advice on buying a home, and will ensure the legal transfer, to you, of the property.

Unless you have the time, skills and knowledge to do the legal conveyance yourself,you will need to engage a professional to buy a home. The job of the solicitor or residential conveyancer is to do the legal side of the conveyance. 

The solicitor or residential conveyancer is not responsible for your finance, that is between you and your lender. 

It is your responsibility to ensure that you have the money to complete buying a home.

The solicitor or residential conveyancer will discuss the contract with you and advise you what the terms of the contract are, when buying a home, and what all of the documents in the contract mean. 

The solicitor or residential conveyancer, on your behalf, will then deal with the vendor, or the vendor's solicitor or residential conveyancer, to make any needed variations to the contract, before you exchange the contracts to complete the deal, and, are legally bound by it, to buying the home.

After exchange of contracts, the solicitor or residential conveyancer should undertake whatever enquiries are necessary to ensure you get the legal title. 

They will contact your lender, and provide any information the lender requires, and then arrange for the settlement of the purchase to buy your home, which is when you become the legal owner of the property. 

You should note that a solicitor or residential conveyancer is covered by professional indemnity insurance,  if they make a mistake.

BUILDING AND/OR PEST INSPECTOR - Buying your home or other residential property is one of the biggest investments you will make. The last thing you want, is to make the investment only to discover that you have to spend a lot of money in repairs because it is riddled with white ants, or there are structural faults. 

So, unless you know what to look for, it is advisable to have the property inspected and a report prepared before you finally seal the deal.

The real estate agent, or a solicitor or a residential conveyancer, should be able to organise or advise you details of a reputable inspector when you are buying your home. You can even find your own.

It is vital that whoever does the inspection for you has professional negligence insurance, just in case they get it wrong.

The building or pest inspector should provide you with a written report and be available to discuss with you any aspect of their report after you receive it. If they report that work should be done on the property, they should also be able to give you a ball park figure, of what it will cost. 

It is a cost of the purchase, but it is money well spent.

SURVEYOR - Their job is to locate the property, based on its legal title, and to do a sketch plan of the property identifying the boundaries, and details of any buildings on it. You will receive a written report with the sketch plan, which will confirm whether any building has complied or not with Council requirements. 

It is another cost that, may be added to the purchase. You should discuss the need for a survey when buying a home with a solicitor or residential conveyancer.

STRATA ROLL INSPECTOR - if you are buying a home unit or flat where there are more than 2 units in the complex, at law, there has to be a body corporate, which is appointed by all the unit owners. The body corporate must have annual meetings, and is responsible for administration of the block of units. 

Amongst other things, the body corporate ensures the correct insurance is paid, and that sufficient funds are collected,to pay for the maintenance of the units. It also determines the annual fees to be paid.

The Strata Roll Inspector will check the books and records of the body corporate and provide a written report. This report will provide useful information, such as; if there is any anticipated expenditure in the future, whether there has been any problems with the building, or any disputes, as well as a lot of other information.

This  inspection should be carried out, before you exchange contracts for the purchase of a unit.

Finally

When buying your home, money can be tight.

It is a false economy not to use these professional services, in an attempt to try and save the money you will spend when buying your home, if, after you settle on the purchase of a property, you discover that there are problems that will cost you money that you have not allowed for.

All of the above professionals can assist you when buying your home. They each play a different role and provide a different service. 

Buying a home is a huge investment. 

Unless you have the skills and knowledge, it is better to spend the money, and get the professional service, and advice.

Buying your home can be a stressful experience.

Let the Professionals carry the burden.

Contact:

Phone 02-4333 5313        Fax 02-4333 5144