Congratulations, you're preapproved! How exciting!
But ummmm... what's next?
Common questions answered:
A really good idea is to find a conveyancer or solicitor
When you are successful in making an offer on a home the agent will ask for your solicitors details - so it's handy if you have one! Your agent and indeed land vendor will always recommend one for you, just be mindful that you do want someone who is going to work for you, this is one of the most important purchases of your life.
Another way to find one is to ask your friends and family to recommend someone that they have loved, and then ring them and interview them - do you get a good feel?
Another point is, now is not the time to go cheap - if you do get what you pay for then this is one purchase you don't want no frills service for. That said - there's no need to pay more than necessary - there seems to be an average price that covers excellent service & we will discuss this in our allowances.
Conveyancer or solicitor?
The conveyancing institute says that a conveyancer can do everything for you that a solicitor can do - except represent you in court. So if a purchase goes to plan then there's essentially no difference to you. I would add that a small office solicitor who does trial work can sometimes be unavailable at crucial moments - whereas a solicitor who has a conveyancing team to look after this work generally gets around this problem.
What do I do next?
Once you're preapproved you're able to go and make an offer on a property. You can look (like you haven't already been!) and negotiate with confidence up to the limits that we have discussed. By the way, it's totally not unusual to call your broker (me) when you're in this stage - I'm always happy to help.
Can I go a little higher?
The short answer is, yes you can - if you come up with more savings!
The longer answer is:
There are usually reasons for why we have set a preapproval at a certain point: it may be due to your savings, or your income, or your preferred repayments. If you find you really need to look at something which is more than your preapproval then ring us and lets have a chat. It could be you may be able to negotiate the price down, or, we may be able to switch lenders - but first we are going to look at the reasons we sought the preapproval for the amount we have now in the first place.
When my offer is accepted, what's next?
The process varies from state to state but typically looks like:
Signing a contract with a cooling off period
handing over a holding deposit of sorts
and letting us know that you've done so
We are going to need the following details from you:
Your solicitor / conveyancers details
the agents details
the agreed price
cooling off term
and the property address
(Preferably links to the property too - because we are nosey....)
and we will start the valuations and getting the final approvals underway
You may see things like '66W' 'Unconditional exchange' or 'Auction' you need to ask your conveyancer and us for more advice about whether you can do this.
OK what is '66W' 'Unconditional exchange' or 'Auction', and can I do this?
All of these mean you've bought the property on the spot (in simplistic terms, obviously as per above refer to your advisers) and you can only do this if you are unconditionally approved for the property - or likely to be so - & have done your searches and checks - we need to chat before you do this.
How long does my preapproval last?
Depending on the lender 60-90 days typically, and in a lot of instances it can be extended, however, current environment is changing rapidly so its essential that if you are nearing the expiry you check in to see if we need to make any changes.
Got any other questions to add to the list? Send me an email here and I will happily respond and add to the list.
Here are a couple of handy diagrams that give you a little more about the buying process and each of the steps - including what you need to do, and a few additional handy tips:
And you're always welcome to check in with us at any time
Bec, Kylie, Kim
phone (02) 9002 0380
or on the mobile number provided on your first email from us.