Buying a property successfully – what are the 4 essential steps for success?

Buying a property is often one of the biggest transactions we ever embark on. It’s a competitive environment and the surest path to a success is by taking the right steps – and by making the right moves.

At Buyer Marketing we know there are 4 must-haves if you are going to be successful in finding and buying a property that’s right for you, at the right price.

Getting each one of these principles right is a step in the right direction. With all four working for you, you’re in the best position for a great outcome!

Step 1. The search process.

The first step when buying a property is for Buyer Marketing to get an exact definition of your ideal property – your priorities, likes, dislikes, budget and must-haves.

We make a thorough analysis of recent sales that are comparable to the property you desire – comparing the compatibility of your property criteria and budget, with current market conditions.

We also examine properties that are currently on the market, and using genuine past sales as a guide, (rather than the agent’s quoted price) determine what these properties are likely to sell for. When this research is completed, the search for your ideal home or investment starts!

There are two main ways we search for property – on market and off market.

On Market properties
These properties are visible and advertised on major real estate Internet portals like realestate.com.au and domain.com.au or properties the selling agent will tell you about if you contact them directly.

For the average person buying a property, the volume of advertised properties and inconsistencies in how they are described and priced, can make researching and screening time-consuming and confusing.

As your buyers advocate, we do the legwork – and the homework, for you.

Off Market properties
Many properties, usually known as ‘silent listings’ are sold without being advertised. They bypass the usual marketing and auction process, for several possible reasons including:

Pre-market Opportunity
Agents inviting other real estate industry professionals like us to view the property before any advertising begins.

In-house Referral, or Direct Approach
An agent may introduce the new listing to their property management department, for inspection/acquisition by current landlords. The selling agent may believe they’ll achieve a better sale result by approaching qualified buyers individually, rather than by advertising or selling at auction.

Quiet Sale
Often, a property owner simply wants to sell without going public. This might be because they value their privacy, or other points, like avoiding family conflict, or have other financial pressures. It could be they don’t trust the auction process and want to avoid advertising costs.

Step 2. Evaluation.

After the detailed research we can recommend the best options for buying a property and securing that ideal property. The type and style. The ideal location. The quality. And most importantly within your budget. We’ll present you with a shortlist of properties that best fit these criteria and provide the greatest value.

We’ll also advise you on important considerations like building and pest inspections, council development and zoning plans, or any restrictions on the property.

When buying a property our evaluation contains a lot of facts and figures, but often the most valuable element is the insights we obtain during conversations with the selling agents – including the vendor’s circumstances, the agent’s own perspective and level of buyer interest.

Step 3. Acquisition.

Once we have your ideal property in our sights, we get to work securing it for you under the most favourable terms and of course, at the best possible price. Success in buying a property demands direct and regular communication with the sellers’ representatives. And it begins the moment we first contact the selling agent.

Effective Negotiation
Whether you’ve already found your ideal home or investment and just want a professional to negotiate the purchase, or we’ve worked with you from the very beginning to find and evaluate your property, it’s at the point of negotiation where having an expert on your side makes the greatest difference to the end result.

We’ve spent years communicating on a daily basis with selling agents and are skilled in tough negotiations. We protect your interests and negotiate the best outcome.

Auction Bidding
Buying a property at auction is an unfamiliar process for most people. Fear of overpaying, hesitating, being steamrolled by others, or missing out on your dream property can make it daunting.

Being the successful bidder does take knowledge, skill and experience. And that’s where we help. We have a range of bidding strategies to match the tactics of any selling agent or auctioneer.
And complete understanding of the rules of public auction and your rights.

We’ve actively participated in over a thousand Melbourne auctions, gaining invaluable first-hand insights into the market, local agents and most importantly, how to make sure that when the hammer falls, you’re the one who is celebrating!

Step 4. Legal and Financial Requirements.

Before buying a property and making an offer, or bidding at an auction, you have to be sure everything is in order – not only with the Property itself but also with all the sale documentation.

We make a thorough scrutiny of the documents, by Property Solicitor or Conveyancer where necessary, so there are no errors, omissions, or unexpected elements. There are a series of Legal documents involved, plus processes and preparations you will need to make.

We coordinate these and step you through them, including:

Contract of Sale
Reviewed by a Property Solicitor or Conveyancer before you sign it. If there are any special conditions they will explain the implications and may recommend amendments if required.

Section 32 Vendor’s Statement
A Section 32 Vendor’s Statement should also be reviewed by your legal
representative. Most of the time it is included with the Contract of Sale.

The Deposit
Your deposit is a sum payable as a first installment on your purchase. The deposit amount is documented on the Contract of Sale and deposited into the selling agent’s trust account. The balance of the purchase price is payable on the agreed settlement date.

Cooling Off Period
Cooling-off is a period of time after a sale contract is agreed, during which a buyer can cancel the contract without incurring a penalty. In Victoria the Cooling-off period is usually 3 clear business days.

Building and Pest Inspection
A qualified and registered building & pest inspector can help safeguard you against fault or pest-ridden properties when buying a property. They examine the property you intend purchasing and provide you with a written building and pest inspection report.

Joint Tenants, or Tenants in Common?
If you’re buying a property with one or more people, you will need to decide whether you’ll hold the property as either joint tenants, or tenants in common. Qualified Legal advice is recommended for buyers in this category.

Finance Conditions
When buying a property and if you are borrowing money to do so, it is essential that your finance be approved. If your finance is not approved at the time the Contract of Sale is signed, a finance condition must be included in the contract. Other terms can apply – you will need clear understanding of these.

Settlement Date
The Settlement date is the day, on the Contract of Sale, when the ownership of the Property passes from the seller to you. On this day you or your legal representative pays the balance owing on the property.

Land transfer duty
Buyers need to pay land transfer duty (also known as Stamp duty) when purchasing a property. This is paid upon settlement. The amount of Stamp duty is usually calculated on your purchase price.

Pre-settlement inspection
A pre-settlement inspection is conducted about a week prior to settlement. Its aim is to make sure any special conditions have been met, and that the property is in the same state as when the contract was signed.

Transfer of Land
Once settlement has taken place, the transfer of land document has to be lodged with the Land Registration Services office. This is usually handled by your legal representative.

Valuation
If the time frame allows, we recommend that a valuer independently values the property you intend to buy just to further clarify, and ensure you’re not paying too much.

Insurance
If your Contract of Sale states that the property is at your risk once you have signed the Contract, you’ll need to take out building insurance immediately. ‘Title Insurance’ is another form of insurance you can take out. Title insurance ensures you are protected from unknown risks associated with the property.

Adjustment Statement
Adjustments are made at Settlement, based on any existing rates, water costs or any applicable taxes that apply to the property – that need to be settled, or reimbursed.

At Buyer Marketing we’re highly qualified in researching, evaluating and acquiring the best homes in the market. Our aim is to secure the ideal home for you, at the best price possible. For more information, call us on 1300 835 835.

Buyer Marketing – Melbourne’s most experienced buyer advocates are your winning edge in property buying.