The present situation of second-hand Housing Market in Australia
Australian residents` obsession with investment in second-hand housing is justified because more than 90% of property owners are profitable in resale transactions:
In the fourth quarter of 2017, 91.1 percent of Australian owners reported profit on resale deals, up from 90.9 percent in the previous quarter, according to the latest data from CoreLogic, a property market research firm, according to Radio 9. Stand-alone resale deals are more profitable than apartment resale deals, with 92.3 percent of the resale bringing profits to homeowners, compared with 88.2 percent of apartments.
The data show that the Australian property market is very profitable, in the fourth quarter of 2017, second-hand property owners as a whole made a profit of A $17.8 billion. Such a high trading profit ratio depends on rising house prices in Australia!
In the last quarter of 2017, the total value of about 10 million homes in Australia rose by A $92.9 billion to A $6.9 trillion, up 5 percent from the same period a year earlier, according to the Australian Bureau of Statistics. Total home values in the second and third quarters of last year were up 10.2 percent and 8.3 percent, respectively, compared with the same period a year earlier.
Australia`s housing market is worth nearly A $7 trillion, compared with a median of A $ six hundred and eighty six thousand seven hundred, according to data released Wednesday by (ABS), the Australian statistics bureau, according to Realestate, a property website.
Is it possible for overseas people to buy second-hand houses in Australia?
The Australian Foreign Investment Review Board (Foreign Investment Review Board/FIRB) provides that if a person who does not have Australian nationality or permanent residence wants to buy a home in Australia, You need to submit an application to the Foreign Investment Commission (minimum application fee is 5600 Australian dollars per purchase) before the application is approved before the purchase is carried out.
If a distinction is made on the basis of property attributes, the foreign investment committee provides for the purchase of property by overseas persons as follows:
Top 10 "anti-pit" secrets for second-hand housing sales in Australia
When will housing risk transfer be transferred?
[rule]: taking the Queensland Real Estate Association Standard contract as an example, the housing liability risk is transferred from the seller to the buyer from 5pm on the first working day after the contract is signed. Subsequent damage to the house, such as natural disaster, fire, or other accident, will be borne by the buyer even if it has not been fully closed.
The buyer needs to arrange proper insurance as soon as possible after the contract is signed in order to protect his rights and interests, otherwise it may cause unnecessary economic losses. If the buyer needs to borrow from the bank, most banks will also require the buyer to purchase housing insurance first.
After the sale contract becomes effective, the seller signs a separate mortgage contract
[rule]: the contract represents the true meaning of the parties, does not violate the relevant laws and regulations mandatory provisions, the contract is valid, the seller can not set up a separate mortgage for the transfer of the house does not affect the validity of the contract.
[case]: the buyer and seller sign a contract for the sale of houses and the seller sells a property located in New South Wales to the buyer. The contract for the sale and purchase of houses represents the true meaning of the parties and does not violate the mandatory provisions of the relevant laws and regulations, And after the contract signed, the buyer has been living since the house, so the buyers and sellers signed a contract for the purchase and sale of housing valid.
Although the seller has not completed the transfer formalities for the buyer after the sale of the house, and the mortgage has been separately secured elsewhere, the validity of the contract for the purchase and sale of the house signed by the buyer and the seller shall not be affected, The buyer has the right to demand that the seller cancel all mortgages and complete the transfer formalities.
(3) revoke the contract on loan terms?
[rule]: taking the Queensland Real Estate Association Standard contract as an example, a house sale may be approved by the buyer from the "loan bank" for the required "loan amount" before the maturity of the "loan date". And the terms of the loan are satisfactory to the buyer, provided that "loan amount", "loan bank" and "loan date" are correctly completed in the contract. In other words, if the buyer still fails to get a satisfactory loan after his efforts, the contract can be terminated on this ground.
[comment]: the contract also requires the buyer to make every effort to arrange the loan. If the buyer does not arrange the loan or is not realistic in deciding whether the terms of the loan are satisfactory or not, it will be regarded as a breach of contract. In this case, the seller will be able to forfeit the entire deposit and claim compensation for the resulting loss. If the buyer is unable to obtain approval of the loan before the loan date, the seller may be notified to terminate the contract.
Before confirming the success of the loan to the seller, the buyer must carefully read the terms of the loan contract and make sure that all the terms of the loan are acceptable. Once it is confirmed that the loan was successful, but the bank was unable to provide the loan in the end, leading to a failure to close the contract on time, the buyer could lose all the down payment and be asked to compensate the seller for the damage caused to the seller.
(4) revoke the contract with construction and pest inspection clauses?
[rule]: take the Queensland Real Estate Association Standard contract as an example, the contract can be based on the buyer to obtain satisfactory written house inspection and pest inspection report as a prerequisite. As with the loan clause, "inspection time", "house inspector" and "pest inspector" must be completed correctly, otherwise this clause will not enter into force.
[comment]: the buyer must make every effort to arrange the inspection and receive a report. If the buyer does not arrange the inspection or is not realistic in judging whether the result of the inspection is satisfactory or not, it will be regarded as a breach of contract. If the buyer, with reasonable consideration, still finds the report unsatisfactory, the buyer may propose to the seller the termination of the contract. This requirement must also be made before 5: 00 p. M., as stipulated in the contract.
If the seller is found to have breached the contract after delivery, can the buyer still claim compensation for the loss?
[rule]: if a loss is caused by failure to perform the contractual obligation as agreed, the loss shall continue to be performed and compensated.
[case]: balcony door and garage canopy are fixed decoration, according to the agreement should be transferred with the house. If the seller removes the moving door and garage awning, it damages the buyer`s legal rights and interests and causes the buyer`s loss. The buyer has the right to claim compensation from the seller for the loss.
6 The contract has been fulfilled, but it is too late to transfer?
If you entrust a lawyer to deal with the sale of a house, the law will go through the formalities and pay stamp duty for you. If you choose to complete the transaction yourself, you will need to pay stamp duty at (Office Of State Revenue), the state government`s tax department, and seal the transfer documents. After the transaction, the buyer or the buyer`s loan bank is required to submit an application for transfer registration to the property office, to register the buyer as the owner of the property, and to register the loan bank as the mortgagor.
After registration, the property office will inform the corresponding government departments of housing property rights changes, such as city government and state finance and tax departments. If the property you are buying is a property managed by a management company, such as a villa or a city apartment, you should also fill in the form in which you have notified the management of the change in property rights. Government will not proactively provide the entity`s title certificate, the owner is required to take the initiative to apply. However, the owner can search the (Title Search) through the property rights to find the proof of ownership of the property.
Will the seizure of a house affect the validity of the contract?
[rule]: the house is closed for the time being, but the validity of the contract is not affected by it.
[case]: the contract of Sale and purchase of Real Estate signed by the buyer and seller is the expression of the true meaning of the two parties, does not violate the mandatory provisions of the laws and administrative regulations, and is valid and lawful. Although the seller is in a state of being sealed down by the state government department because of illegal construction and tax arrears, it is temporarily unable to go through the transfer formalities, but does not affect the validity of the above-mentioned contract of Sale and purchase of Real Estate, so the contract of Sale and purchase of Real Estate signed by both sides of the seller and seller is valid. The seller shall transfer the account within the time limit stipulated in the contract.
8 the seller asks the buyer to give up the cooling-off period?
[rule]: take the Queensland Real Estate Association Standard contract as an example, when the buyer and seller sign the contract and the buyer or his lawyer receives the signed contract, as prescribed by law, The buyer shall enjoy a five-working-day cooling-off period and may reject the seller`s waiver.
[comment]: the buyer may terminate the contract at any time during this period, but the seller may require the buyer to pay a fine equal to 0.25% of the target amount of the contract. However, sales contracts concluded at auction are often not accompanied by a cooling-off period.
9 overseas people use the PR identity of local people to buy a house?
[rule]: the contract shall be null and void if it is deemed to be a lawful cover-up for illegal purposes (e.g. tax evasion).
Case: if the sale of houses between the two parties is not a normal transaction, the real purpose is to obtain bank loans or tax evasion tax fraud. In accordance with the relevant legal provisions, the legal form of cover-up of illegal purposes of the contract shall be null and void.
When the date of delivery approaches, the buyer only asks for a one-day postponement, but the seller "does not agree to die"?
In this case, the seller has the right to agree to an interest-free extension, to an interest-bearing extension or to refuse an extension.
