chels

Victoria seems to require more disclosure from vendors about their property than NSW, from what I can tell from vendor statements. There doesn't seem to be an equivalent in NSW, and I don't know how I go about finding out about properties. When I ask the REA questions at inspections, they just act dumb and say they don't know when the electrics were updated for example.

So is there any easy way to find out information, without having to individually contact various depts of the local council, the RTA etc.

In particular, how can I find out information regarding building permits issued in the past XX years and whether there are protection notices on trees. I tried asking the REA the other day, and should have saved my breath.

Also, does the sale of contract have to include information regarding covenants, easements and any other restrictions on title? The contract I have been given doesn't contain any such information. No survey either, or information about when the house was originally built etc which other contracts have contained.

If I ask the estate agent about things like how old the electrics are, the water system, whether additions to the property are legal, what major renovations have been done (and again, if they got council consent), do they have to find out from the vendor for me?

Or am I going to have to conduct my own investigations?

Does the vendor have to disclose any notices or orders issued by the authorities, regarding fencing, road-widening, sewerage etc? Or do I have to find this out myself? And how?

House auction is on Saturday, so before I got ahead and spend lots of money on inspections it would be good to get as much information as possible to decide whether it's a goer or not.

THANKS anyone who can help a really confused person. I've tried googling and finding out more re the process, but there seems to be an expectation that you know what you're doing / how to find out things :curse:

iPom

http://www.apm.com.au/

Australian property monitor is one group I knw which keep info, which you would have to subscribe to if you wanted info...
BUT they don't cover everything....
Perhaps if someone here has a subscription, they might check it out for you? I don't, so I can't.
I do believe that some info is free though.... so check it out how far you can go on that site. In particular click on:
http://www.homepriceguide.com.au/auc...&cb=0407103104
Might help some.

The REA SHOULD be the one who can tell you about the electrics and hot water system etc... he needs to ask the vendor who usually has all the info.
The vendor also should have all notices or orders within the contract, which should be available for you to see from the REA.
It might be that you could get a conveyancor to do some preliminaries for you? The things you want to find out sound like the searches they would do for you... so perhaps call a local one for advice?

If you're going into an auction, ask the REA for a copy of the contract. You have to see that before you do anything else. He has to give those out to everyone interested in the auction.

Sorry I can't be more help.

iPom

PS - As regarding disclosure, sectinon 19 of the Conveyancers act says that if the vendor doesn't disclose something which may affect your decision to buy the property, you have every right to back out of said sale with no impunity.

Three guesses how I know that.....

NickyC

As far as trees go - it might depend on the local council but I think all trees are protected, they certainly are in Randwick council area. You need permission from them to do major pruning or remove any trees that are over a particular size. Tree surgeons won't do any work on trees without seeing the council approval.

iPom

Yes, assume all trees are protected. It's simpler.

There are exemptions, I believe, on different trees... say you wanted to rip out the hideous non native pines (which kill off the bush) and replace them with native gums.... that's more easily done than just ripping out some trees because they're blocking your view. Depends on the council though.

chels

Thanks iPom - I've calmed down somewhat from my earlier panic... and remembered that I work with a bunch of lawyers and a former real estate agent

Have found out the house hasn't sold in the last 10 years, which is interesting as apparently the owners were very unhappy there so why they didn't move out earlier? But that does mean they didn't buy during the previous peak so don't have to recoup a certain amount. Now I just have to find out how much they paid for their current house and whether they'll be hoping to make silly money on this one! I have the last four years sales data for the area, so I've got an idea how much I think the house is worth...

Have put together a list of questions for the REA, will see how many they get answers for me for.

The sale of contract is apparently okay, the lack of easements etc shown on the survey would seem to indicate that there aren't any and I should stop worrying!

Seems like I have to phone the local council for info re planning consents and protected trees, so wish me luck with that one.

Jeeez, this isn't much fun at all And I've not even got to the auction yet...

And we haven't been on our Brisbane reccie yet, so I don't even know if I want to buy still in Sydney. Oh woe woe woe. I'm a mass of nerves and confusion today.

iPom

You're telling me... :-/


Perhaps the owners couldn't move out because they couldn't afford to buy anything else?

chels

Pah! What did they expect, living in Sydney

iPom

Its so true.

Good luck with it.

We're stuck between building and gambling on the auction at the weekend. I don't know if I can be bothered with all the faffing around.

chels

It is a right faff isn't it? Well, I'm doing everything I can at the moment that won't cost me any money, then we'll decide whether to start spending money and THEN whether to bid at the auction. Can't believe it's already 12pm, I've done no work yet! Thank goodness I don't have a 'proper' job

Good luck too with your auction, keep us updated about what you decide to do.

Oh heck, I've just discovered that the new house the vendors have bought cost $1.375m, so unless they've won the lottery I expect they'll be hoping to make a packet on their house sale.

walaj

From my experience - get the contract from the REA, get your solicitor to go through it, maybe request changes like 5% deposit (instead of 10%) and if you want settlement date different to the normal 6wks.

On the contract provided, there should be a section that states if there are any trees that are protected. Our local council is one of the strictest (read pain in the a$$) in Sydney. I enquired at the council office re some trees that I had seen been taken down, they checked if there had been an application, none, so state that they were probably exempt trees (liquid amber).

Advice from my solicitor is to check documents from the council (however my local one can take up to 2 wks to get this info, & you don't have time on your side). Also go around the neighbours and ask about any border disputes, and general info of the area - when I have done this either they are out or v friendly/helpful.

I would suggest you do a goggle search on the address eg "1 sydney" suburb, and this may show up DAs or other things on the address. Also if you ommit the number you may find other things about other houses in the street - most of it is useless, but you may find something of interest.

Even if REA provides info, it is always good to confirm some of this from other sources - I gather from ipom that she had a vendor a bit ecomnoical with the truth.

finally - all the best for Saturday

chels

Thanks walaj, great advice.

We seemed to have a hitch though - no chequebook with which to write a cheque for the deposit. And the bank has told me 10 working days to order one. We could guess at how much it will go for at auction and get a bankers draft, and rip it up if we're not succesful.

Can't believe such a small thing could cock everything up! At least we've found out now, rather than after the inspections...

I know, we should have sorted such things out weeks ago. Hindsight, eh.

nzer57

For newbies in the Sydney property market, beware!!!. I'm in Perth but lived there the last 8 years.

First of all if you're even considering buying then you absolutely need to use this service.

http://www.residex.com.au/

Residex provides data on NSW houses that can date back 50+ years, when sold, how much, other houses in street etc etc. Search fees are trivial for the amount of dollars you will invest. They also provide data on which areas are going up/down and areas with potential growth. Their service is comprehensive and considered a must have for any serious property buyer.

The Syd market is falling (only one on Oz) and to buy in a falling market you absolutely need to know what you're doing. The NSW economy isn't performing and the recent housing boom has left many in the market short.

Cutting down trees is a big no no in Sydney. Do it and you can expect a fine of up to $20k. You need authority to even prune a tree let alone cut it down.

Your conveyancer is responsible for all legal background checks on the property; title, boundaries, zoning etc. You're responsible for evaluating the condition of the house; structural, white ant/termites etc. Get a copy of the house floor plan to ensure there's no illegal extensions or equipment.

Lastly it's a buyers market. Use that to your advantage. Be super critical when assessing a property. There's lots out there.

walaj

re chequebook thing: how about agreeing to fixed deposit eg 5% of guide price, get a counter cheque (thats a banker draft, is'nt it?), then keep it v safe, use it if you buy, destroy if don't.

chels

Thanks for your comments, but a couple of things:

1. The area where I'm looking to buy is NOT a falling market. The median house price for 2006 was about $80,000 more than in 2005.

Certain Sydney suburbs have dropped in value, some have stagnated, and unfortunately a few have increased in value.

2. I have no need of the services of 'Residex'. I have four years worth of house sales information for the suburb courtesy of a local estate agent. I have checked a random sample, and they are correct. People should always investigate what free resources there are before paying for information.

I could go back further than that, but I believe this gives me a good indication of the value of house prices - although it will give me no indication of what the house will actually sell for as on the day, it will be down to what people are prepared to pay for it and how much they let their emotions get the better of them, and how much the vendor wants for it.

3. Actually, trees do get chopped down. It's not easy to get permission from the local council, no, but no extensions would ever get built if no trees were ever felled. The local council of the suburb in which I wish to purchase has all the forms and relevant information on its website. Protected trees are more of an issue, but thus far it would seem none of the trees on this particular property are specifically protected.

4. It's not a buyer's market in the suburb in which I'm looking - houses are going to auction, and as long as they're in reasonable locations, in reasonable conditions, they're selling. And while there may be 'lots' out there - although I don't quite agree with that statement unless you're prepared to widen your preferred location quite substantially and compromise of what you want - there are also a lot of buyers out there. I know. I see them. Every week. The same faces, missing out on houses at auctions. Funny what you can see when you actually live in the city you are talking about.

5. Finally, the NSW economy. It may not be booming like WA, but it's not in recession and as a result the middle to premium housing market has weathered a small (in some cases non-existent) reduction in house values.