For most of your clients, buying a property can be a daunting prospect, especially for first home buyers, especially if the incorrect due-diligence is followed by their conveyancer.
Generally speaking, those new to the purchaser’s circle will be green to the expenses that come after they decide on their new home, or investment opportunity.
And for many trying to minimise their expenses where they can, it may sway you to alter your additional due-diligence searches.
However, where do you draw the line between providing your client with a quality service and offering them the best ‘bang for their buck’?
In a purchasing matter for a conveyancer there will always be unavoidable searches.
For example, a conveyancer will often order a Title Search, Registered Plan, Easements and Encumbrances (if the title search reveals any) and Land Tax Search in a purchase matter.
In addition to these, a conveyancer can opt to carry out more searches for their client, but which are most important?
We have narrowed down three of the many optional searches you should carry out in a purchase matter in Queensland, NSW and Victoria to ensure your clients are getting the best service possible.
1. Building Pest Combined Report
Combined pre-purchase building and timber pest reports provide vital information about your client’s potential property.
They detail any structural damage and defects in the property (both major and minor) as well as the damage and presence of timber pests, such as termites, borers and decay. In addition, building reports can include estimates of repair costs.
It can help your clients make the correct purchase decision and be an asset in any negotiations on price. Which can make a big difference to a client, one that far outweighs the cost of the report itself.
If it isn’t carried out because you’re trying to offer the best price for your clients, and a pest or building structural problem is discovered after settlement, you can likely say good-bye to any future return business and word of mouth referrals.
2. Strata Inspection Report
While this report may only be relevant for conveyancers whose clients are purchasing a strata property, such as a townhouse within a complex or a residential unit, we have still included it in our three crucial reports as it may divulge information which could be critical in contract negotiations.
The Strata Inspection Report is vital as it follows an in-depth review of the Owners Corporation records.
It provides your client inside knowledge as to the kind of people and issues they will be dealing with should they purchase a property within that scheme, saving your client from purchasing a property that can later cause them future problems.
Therefore, it is recommended that you add a contract clause stipulating it be subject to change depending on the strata report findings.
3. Valuation Due-Diligence Report
A Valuation Report is an inspection of a property that will determine its value. A property valuer will examine the property’s condition and location to set the value. It is designed to help set a price of a property.
The report will often include details such as: address of the property; date of valuation; type of property; size of the land; number of floors, rooms, and bathrooms; detail on construction; age and estimated future life of the property; condition of the property; issues that may arise; and details on other property prices within the area.
Including this report in a pre-purchase matter is a vital step for accurately valuing a property, with its history fully detailed for your client. It is an optional report but is one which can have a considerable impact during negotiations.
All due-diligence report searches, certificates and services are available at competitive prices through the triSearch platform. You can book in an obligation-free demonstration at any time to see how easy the platform is or click here to start searching.
You can also Contact Us via the website for any questions.