When you make an offer on a property, it’s common for the offer to be conditional on certain things being met before the sale can go through. Essentially, this means that while the offer has been accepted by the seller, there are still some conditions that need to be met before the sale is finalized.

The specific conditions that are attached to a conditional offer can vary depending on the situation, but some common ones include:

  • Finance: This means that you need to secure financing from a bank or lender, and the financing needs to be acceptable to the bank. A common condition is getting a valuation. There may also be other conditions that need to be met within your finance approval, such as closing credit cards or providing proof of boarder income. It’s important to work with your broker to meet these conditions as quickly as possible so that your finance can be signed off. 
  • Builder’s report: If you’re purchasing a property, it’s a good idea to have a professional builder inspect the property to make sure there are no major issues or defects. This report will usually be a condition of the sale, and you’ll need to arrange for the inspection to be carried out.
  • Solicitor’s approval: Your solicitor will need to review the LIM report and legalities of the title to the property to ensure that you understand what you’re getting into. It’s important to work closely with your solicitor to meet this condition.
  • LIM report: A LIM (Land Information Memorandum) report provides information about the property, such as zoning, consents, and any known hazards. You’ll need to obtain this report and review it carefully to meet this condition.

Meeting the conditions of your conditional offer is important to ensure that the sale goes through smoothly. It’s important to stay in communication with your lender, builder, and solicitor to ensure that everything is on track and all the necessary conditions are met within the specified timeframe.

 

Disclaimer:

Everything shared in this blog post is general financial advice. For financial advice tailored to you, please book a kōrero with us.