First Home Buyers: A QLD Conveyancer’s Guide

The information in this article is current as at November 2024

Buying your first home can be a rewarding experience with the right preparation and guidance, and what better place to do so than the Gold Coast. While the process is exciting it can also be nerve wracking, it is important to understand the process, so there are no unexpected fees, delays or disappointment.

Below is a list of the most important steps first home buyers

1. Set Your Budget

You’ll need to consider several factors to calculate your budget, including:

• Deposit: Generally, you'll need between 5 – 10% of the property value which may be payable in two instalments (signing and unconditional date).
• Transfer (stamp) Duty: Transfer Duty is a tax you pay when you purchase a property in addition to the purchase price. Its important to speak to a solicitor to understand the costs, timeframes and any concessions that may apply.  
• Registration Fees: The Queensland Titles Office charges a ‘registration fee’ to register the transfer of title from the Seller to the Buyer in a property transaction.
• Adjustments at Settlement: Adjustments are made at settlement to account for fees paid/unpaid by the Seller at Settlement. These include water, rates, land tax. Allow some room in your budget to account for these adjustments.

It’s a good idea to speak with a financial advisor or mortgage broker to understand your borrowing capacity,

2. Contract and Settlement Process

Once your offer on a house is accepted, it’s time for the contract and settlement process. This typically involves the following steps:

• Contract Review: Engage an experienced solicitor to review the contract before you sign.  They will ensure that the terms are fair and you understand what you are signing.
• Contract Signing: Once both parties are satisfied with the contract and have signed.
• Conditions (standard):
  1. Building and Pest:

Contracts are generally subject to a Building and Pest Inspection of around 7 days. This allows Buyers to arrange a qualified inspector to inspect the property for structural issues or pest infestations. Once you have obtained the property report, you should speak with your solicitor about satisfying this condition, or your options if you are not satisfied.  

1. 2. Finance:

Contracts are generally subject to a Finance Condition of around 14 days. This allows Buyer’s time to receive satisfactory finance approval from a bank or financial institution. Once you have obtained the finance approval, you should speak with your solicitor about satisfying this condition, or your options if you are not satisfied. 

1. 3. Other Conditions:

Depending on your circumstances and the property it may be necessary to have conditions such as due diligence, body corporate records inspection, prior sale contracts. It’s important to get specialised legal advice before you sign a contract.

Once all conditions in the Contract have been waived or satisfied, the Contract is unconditional, and the Buyer must proceed to Settlement.

• Settlement: The final step involves making the necessary adjustments, paying the balance purchase price and fees and transferring the property into your name. This typically happens within 30–60 days after the contract is signed.
• Move In and Enjoy Your New Home!: After settlement has been effected, the Seller will release the keys to you and you can move in to your new home.

The processes can be complex and its important you engage an experienced solicitor to assist you before you sign a contract. At Holt Ronan Lawyers our solicitors and conveyancers have decades of experience and can work with you to ensure the process is straight forward and enjoyable for you.

Disclaimer: This advice is general in nature and is not intended to be legal advice.

If you would like legal advice, please call our office on (07) 5619 0440 and we would be pleased to assist you.