We are happy to report the first few months of 2012 have seen the property market pick up, especially in Queensland!
Despite a nice influx of Queensland contracts, we have noticed a distinct lack of legally binding contracts. What’s going on?
Missing disclosure statements, incorrect buying entities, omitted easements… all of these things can completely void the contract, and yet we are seeing these mistakes occur more often than ever before.
While we can only guess as to the reason for the above, we do know how to prevent it! If you have any doubt that the contract may be legally binding, ask us to check it for you before having the parties sign. Anybody can make a mistake, so why not safe-guard your commission by having another pair of eyes check over your contract rather than throwing caution (and perhaps money) to the wind. We provide this service to our clients free of charge, because not only does it provide peace of mind for all involved, but it saves the running around involved in having to get a new contract signed if the first one didn’t cut the cheese.
- Name of Seller – The Seller’s name must be exactly the same as detailed on the Title Search;
- Name of Buyer – Has the Buyer checked with their solicitor or accountant about the correct buying entity? All names must be detailed in FULL, including middle names, or ACN/ABN numbers if buying in a company name;
- Easements & Registered Covenants on title – These must be detailed as Title Encumbrances, wording should match that detailed on the Title Search.
- Building Covenants from the original Developer of the land – Is the Seller obliged to bind the Buyer to building covenants entered into on the original purchase of the land?
- Tenants – ensure the Tenancies section is filled out and attach a copy of the Tenancy Agreement (even if periodic) to the contract.
- Pool Fences, Safety Switches, Smoke Alarms & Neighbourhood Disputes – Ensure relevant boxes are ticked.
- PAMD – Ensure the contract complies with PAMD requirements and all relevant forms are included.
- Include current disclosure statement and full CMS if the property if the property is part of a Body Corporate.
- Electronic Transmission – Ensure all parties have signed an authority to use electronic transmission, if signing the contract via email or facsimile transmission.
- Timeframes in the contract must be clear and not subject to different interpretations.
- All special conditions must be drafted by solicitors.
For more information on the grant or stamp duty, please contact our office on 1800 621 071 or complete our online enquiry form by clicking here.