15 Nov 2021

| Home Loan

You’ve found a house that you love, and you’re ready to make an offer. The process may seem complicated, but once you understand what’s involved you’ll be confident in negotiating the best price for your new home.

Is your dream home selling at auction? Check out our Top Tips - Buying at auction article to learn all the ins-and-outs.

Review the contract

The vendor (seller) must have a contract of sale prepared and available when they are offering a property for sale. This contract will include:

  • Zoning certificate from the local council
  • A copy of the title to the property as recorded in the Land Titles Office
  • Copies of documents outlining other registered interests over the property (if any)

It is a good idea to send the contract of sale to your solicitor or conveyancer for them to review.

Conveyancing

Making an offer

After you are satisfied with the sale conditions you can make an offer on the property. It is best to put your offer in writing to the real estate agent, including any conditions such as finance, deposits, repairs, and your timeframe for moving in.

If you’re buying at auction, make sure you read our Top Tips - Buying at auction article.

Top tips for buying at auction

Negotiations

Your offer will be passed on to the vendor, giving them the chance to respond. The vendor may advise you that your offer isn’t enough, and ask if you want to submit a second offer. This is where researching negotiation tactics can pay off.

Exchanging contracts

Once you have agreed on a price with the vendor then it’s time to make it official and exchange contracts. You will need to pay the full deposit for the property, which is typically 10% of the purchase price, although you can negotiate a lower one. Your conveyancer will be able to help you through this process.

Be aware that in South Australia you have legal responsibility and an interest in the property from the date the contracts are exchanged, which means you take on the risk. It could be a good idea to consider insurance, in case something happens to the property before you move in. At Credit Union SA we can help, because we can arrange Allianz Home Insurance for our members.

If you already have contents insurance then you should advise your current insurer of your new address and intention to move. Some home insurance policies include a short period of cover for contents at both the old and the new address during a move. Some also provide cover for damage to contents whilst they’re in transit to a new address – check with your insurer to see if these are included in your cover.

If you’re buying a unit you’ll need to organise a Certificate of Currency from the Body Corporate’s insurer, to ensure the property is adequately covered.

Conveyancing

Cooling-off period

After the contracts are signed and agreed to, you are entitled to a cooling-off period unless you have bought a property at auction. During the cooling-off period you can choose to cancel the contract for any reason you like. This is the time to undertake building and pest inspections and reassess whether it is the house you really want.

Settlement

The settlement time is usually four to six weeks, but can be negotiated with the vendor.


$5,000 First Home Buyers Grant

We understand how hard it can be for first home buyers to get into the property market.

Find out more


Credit Union SA Ltd ABN 36 087 651 232 AFSL/Australian Credit Licence Number 241066 arranges this insurance as agent for the insurer Allianz Australia Insurance Limited (Allianz) ABN 15 000 122 850 AFSL 234708. We do not provide any advice based on any consideration of your objectives, financial situation or needs. Policy terms, conditions, limits and exclusions apply. Before making a decision, please consider the relevant Product Disclosure Statement available. If you purchase this insurance, we will receive a commission that is a percentage of the premium. Ask us for more details before we provide you with services.

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Call us on (08) 8202 7777 or visit us at 400 King William Street, Adelaide

FREQUENTLY ASKED QUESTIONS
View all Loans FAQs

Currently the South Australian Government’s First Home Owners Grant is only available for people who are buying or building a new residential property.

Credit Union SA’s $5,000 First Home Buyer’s Grant is available when you borrow at least $250,000 to purchase or build a first home with a loan to value ratio (LVR) over 80%.


Lending criteria, fees and conditions apply. Offer is current as at 23/04/2018 and is subject to change. Minimum loan $250,000 to purchase or build a first home with a loan to value ratio over 80%. All loans that are eligible for the First Home Buyers Grant will be subject to pay Lenders’ Mortgage Insurance. To be eligible, applicants must not have previously owned residential property in Australia. Available to natural persons only (i.e. not a trustee or a company).

There are two ways you can choose to receive your First Home Buyers Grant from Credit Union SA:

  1. Have it paid into an account of your choice after settlement. Please note the grant cannot be accessed prior to settle for new complete or established homes. If you are constructing, the grant will be paid on confirmation that the foundation has been poured.
  2. Choose to have it applied directly towards the settlement of your property purchase, or when constructing, the grant is paid when the foundation is poured.

Credit Union SA’s $5,000 First Home Buyer’s Grant is available when you borrow at least $250,000 to purchase or build a first home with a loan to value ratio (LVR) over 80%.


Lending criteria, fees and conditions apply. Offer is current as at 23/04/2018 and is subject to change. Minimum loan $250,000 to purchase or build a first home with a loan to value ratio over 80%. All loans that are eligible for the First Home Buyers Grant will be subject to pay Lenders’ Mortgage Insurance. To be eligible, applicants must not have previously owned residential property in Australia. Available to natural persons only (i.e. not a trustee or a company).

Struggling to save up enough of a deposit to buy your first home or first investment property? Then our Family Guarantee could be just the thing to get you into a place you can call your own. Our Family Guarantee enables first home buyers with limited savings to enter the property market sooner*.

Here's how it works – If your parents or other family members have equity in their home, investment property or have a Term Deposit with Credit Union SA, you can use that equity or investment to guarantee a portion of your loan.

Which family members can provide a Family Guarantee?

  • Parents
  • Parents-in-law
  • Step-parents

Credit Union SA will consider the provision of guarantees by other immediate family members where a guarantee from the above-mentioned family members would not be appropriate.

When can a Family Guarantee be used?

Guarantees from family members can only be provided to assist first home buyers/investors to:

  • purchase a new property;
  • purchase an established property;
  • build a new home.

Where a borrower is entitled to a government grant, the entitlement will not be affected by the provision of a Family Guarantee. Family Guarantees will not usually be accepted by the Credit Union where offered to support borrowings for a second/subsequent property or for any other purpose.

To find out more about leveraging the equity in Mum and Dad's home so you can get into yours, have an obligation-free chat with one of our experienced staff, Mobile Managers or download our guide.

Download our Family Guarantee Guide

*Subject to responsible lending criteria.

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