Hi Nathan,
There is no requirement for a cooling off period in WA.
See http://www.docep.wa.gov.au/homebuyers/downloads/HBSG_Section_2.pdf
Derek
[email protected]
The Investors Club http://www.monopoly.tic.com.au
0409 882 958
Skype – derekjones2113Hello Derek
Surely that means:-
a. It’s legal to have a cooling off period put in the contract.
b. As there is no cooling off period defined in law, if you don’t put it in you can’t just change your mind.
Or have I misunderstood something?
Cheers [smiling]
Elkayou can contract whatever you like – throw it in if it pleases you… the Seller probably won’t accept it though. you may want to word it as a due diligence clause.
http://www.megapropertygroup.comINVESTMENT SALES * RENTAL SOLUTIONS * STRATA MANAGEMENT
Originally posted by elkam:Hello Derek
Surely that means:-
a. It’s legal to have a cooling off period put in the contract.
b. As there is no cooling off period defined in law, if you don’t put it in you can’t just change your mind.
Or have I misunderstood something?
Cheers [smiling]
ElkaHi Elka,
There is no legal requirement for a cooling off period as is the case in Qld (where 5 days is standard fare in all transactions excluding auctions).
If however vendor and purchaser want to include a cooling off clause in the offer and acceptance then there is no stopping them.
Mind you I cannot see a vendor inserting said clause off their own bat, nor could I see a vendor acception such a clause if the purchaser inserted one. Especially not as things are at the moment.
Finding a property and getting an offer accepted ahead of others at a reasonable price seems to be more the issue.
Derek
[email protected]
The Investors Club http://www.monopoly.tic.com.au
0409 882 958
Skype – derekjones2113Hi Nathan.
If you want a cooling off period in WA the best clauses to insert in your O&A are, as AUSPROP says, a 21-day Due Diligence clause (meaning that your numbers and reports have to stack up for you to be satisfied with the deal) and a 28-day Subject to Finance clause (but be sure this is worded such hat the finance has to be on your terms otherwise the seller could turn around and offer financing at 40%pa and you might be obliged to accept it).
Two issues ago (July, 06) in Australian Property Investor mag there was a great piece on clauses. I’d recommend reading it if you can find a copy. If you can’t find a copy or order a back issue, send me a PM and I’ll scan the pages for you.
Art
‘Great spirits have always encountered violent opposition from mediocre minds.’ – Albert Einstein
Art would you word it that way ” a 21-day Due Diligence clause ” or would you be more specific?
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsI would personally find that wording way too open – redwing drop me an email if you want an annexrue that is more comprehensive. Bear in mind you have to get a seller to agree to thsi stuff!
http://www.megagroup.com.au
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