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https://www.abc.net.au/news/2023-10-25/susan-kiefel-legacy-as-high-court-chief-justice-law-report/102998374?utm_campaign=abc_news_web&utm_content=link&utm_medium=content_shared&utm_source=abc_news_web

One of the most straightforward ways to build a new home is to purchase a house-and-land package.

House-and-land packages are usually offered by developers that have bought large areas of land and subdivided it into smaller lots to create a housing estate. These are often located in new suburbs, which are usually found at the edges of cities, in smaller regional towns, or in areas that were once occupied by rural properties. Sometimes, although less often, new suburbs are created when former industrial land closer to the city centre is converted to residential.

House-and-land packages are often created with a specific block of land in mind, with the house designed to best take advantage of the orientation of the lot. Alternatively, buyers may be able to select the exact block of land they want, choose from a range of approved designs, and customise the home to suit their needs.

When creating a new housing estate, developers usually create new roads and install services like water, electricity, gas and sewerage. Homes usually already have development consent, meaning minimal delays before construction can commence. Some homes are offered already built or under construction, meaning all a buyer has to do is move in.

Prices for house-and-land packages are usually fixed, meaning buyers won’t have any unforeseen costs during construction. These homes are usually more affordable than a custom-designed home because builders are usually constructing many homes in the one area at the same time, and can work more efficiently and quickly. Because house-and-land packages are often further from city centre, prices can be quite affordable compared to new and existing homes in inner suburbs.

Source: Domain Website.

 

 

http://affordableplusconveyancing.com.au

The NSW Government now provides first home buyers purchasing properties for up to $1.5 million the ability to choose to pay an annual property tax instead of stamp duty. The property tax will only be payable by first home buyers who choose it, and will not apply to subsequent purchasers of a property.

This initiative will lower the up-front costs of home purchases and help to boost the rate of home ownership in NSW. With rising home prices, home ownership has declined from around 70 per cent in the 1990s to around 64 per cent today. The decline in home ownership has been particularly evident among younger and lower income groups.

The savings required to meet the up-front costs of a home purchase are an important barrier for many would-be purchasers. Removing the obligation to pay stamp duty will lower these up-front costs and cut up to two years off the time needed by many first home buyers to save for a home.

Existing stamp duty concessions for first home buyers are available for purchases of up to $800,000, and these concessions will continue. The property tax option will be available for properties for up to $1.5 million, helping a broader group to become first home buyers. In total, these measures will offer support to about 97 per cent of all first home buyers, or about 57,000 people per year.

 

Source: Revenue NSW

 

Article published in news.com.au

A Brisbane couple has been left devastated after losing their hard-earned $75,000 house deposit to a “perfect storm” that involved “greedy” sellers and a screw up from their bank.

Mark 30, and Maddie 27, are warning other aspiring homeowners what to look out for after losing a huge chunk of their cash to unfortunate circumstances.

The pair, who have been together for more than 10 years and recently got engaged, were looking to buy a home in Brisbane where they could start a family.

They offered $965,000 for a 564 square meter two-story house in Jindalee, with four bedrooms, two bathrooms, and a pool.

The sellers gladly agreed however at settlement on October 20 their bank, Westpac, wasn’t ready in time.

As a result, the deal lapsed and legally the sellers were entitled to their entire deposit.

Instead of listening to their pleas to extend the deadline, the owners were happy to pocket their $75,000 and sell to somebody else afterwards, according to Mr Trau.

“It was part of the money we’d been saving up from the beginning of our working lives,” he told news.com.au.

“It [the $75,000] was everything. We’re not from wealthy families. We haven’t had any handouts from family, no second cousin’s aunty has passed away and left us a massive inheritance. We’ve worked hard for 10 plus years.”

Mr Trau said he was making “a number of frantic calls” as he saw the settlement deadline looming at the end of last month.

“My solicitors had said if we don’t settle in time — as in Queensland contracts, time is of the essence — you can be liable to forfeit your deposit,” he explained.

In most other Australian states you have a two-week grace period if your settlement goes under. Not so in Queensland.

He also made two pleas to the sellers, first for a week extension, and then a single day extension. Both were rejected, causing him to suspect an “ulterior motive”.

Unfortunately, the settlement lapsed.

“It wasn’t until the next day at 11am Westpac said they were ready for settlement,” Mr Trau recalled.

By then, it was too late. The sellers were already looking at other offers, he was warned.

The sellers then made a request for the $75,000 belonging to Mr Trau and Ms Goyder to be released to their accounts.

“People when they see money signs in front of their face can throw all humanity out the window, and not worry about anyone else but themselves,” Mr Trau said.

“Especially nearer to the end when there was an indication that we needed a slight extension and they saw the chance to get more money.”

he property ended up selling for $1,030,000, with the date of the purchase listed as October 20 — the same day Mr Trau’s deal feel through.

He suspects the sellers must have signed their new deal later that night.

Overall, the sellers walked out with an extra $140,000 in their pocket compared to the original deal — $75,000 from the deposit and an extra $65,000 from the higher purchase price — while Mr Trau and Ms Goyder were left destitute.

“It changed dramatically what we were able to afford,” he said.

“We were very close not having somewhere to live for a day or two.”

The couple, with Mr Trau working as a public servant and Ms Goyder a primary school teacher, faced homelessness as they couldn’t afford anywhere else and planned to surf couches from friends and family.

Comment: we understand later that Westpac has compensated the couple for all their loss and admit that admin error in their part. 

1. Research the market value in advance

When it comes to the sale price, it pays to do your research. Knowing the correct market value of a property will allow you to negotiate the price with confidence. Speak to your broker to access a property and suburb profile report which will provide valuable insights so you can make a fair and educated offer that reels the vendor in, whilst avoiding overspending.

2. Know your ceiling price

Before you begin negotiating, it’s important to know your spending limit. The easiest way to find out is to speak to your mortgage broker who can research your borrowing power. This is the amount a lender may be willing to let you borrow, given your personal financial circumstances.

3. Be confident of your finances.

4. Understand seller’s motivation: find out why the vendor is selling. If the sale is time sensitive you may be able to offer a shorter settlement period for discounted price.

5. Use your building and pest inspection report as a negotiation tool:
If your building and pest inspection come back with few surprises, it may give you leverage to get the vendor to lower the price.

6. Speak to your Conveyancer:
Sending Contract for sale for an insight review can crucial in allowing you to negotiate , amend or add some terms can give you peace of mind.

Call us to see if you are entitled to free Pre Auction Contract Review. Our phone number: 02 9601 1392 or Mob: 0420 685 856