Going Unconditional
Congratulations on the new house! The next step is meeting the finance conditions as detailed in your pre-approval letter from your bank or lender and the conditions in your Sale and Purchase Agreement.
Meeting Finance Conditions
- You should provide your solicitor with a copy of the signed Sale and Purchase Agreement, they will commence undertaking of due diligence relating to the LIM (Land Information Memorandum) and property title searches. You solicitor will advise you of any issues identified.
- You need to also provide your broker or bank with a copy of the signed Sale and Purchase Agreement so they can approve the property as suitable security for your loan
- One of the finance conditions you may have to meet is obtaining a Registered Valuation – you should arrange this is soon as possible.
So what is a Registered Valuation?
- A registered valuation need to be completed by a Registered Valuer
- Based upon a full inspection of the property as well as related sales in the area being analysed
- You should also check that the valuer you have selected is approved by the lender or bank providing finance.
- If the report completed by a Registered Valuer highlights any structural concerns or serious issues, the bank/lender may require you to obtain a building inspection to investigate these issues further. You should not rely on the valuation to identify any structural issues with the property, as this is not the role of the valuer.
Builders Report
A builders reports will give you peace of mind regarding the structural integrity of the property. The inspection will look for signs of a leaky house and other hidden damage within the property. Often building reports are not undertaken as it is an additional cost, however it can be an expensive mistake to purchase a property with problems that may later cost thousands to remedy.
