When you find a block that is perfect for you, you can purchase it using a conditional or unconditional contract. For example, a condition could be subject to your finance being approved. When you buy something ‘subject to finance’ you are not penalised in the event that you are unable to secure your finance within the specified timeframe—usually fourteen days. However, one of the aims of this system is to avoid such heartache. So, if you are in any way unsure about any changes that might occur in your financial position, include the condition ‘subject to finance’ in the contract. Then take the contract of sale to your chosen home lender and make an application for finance.
Your conveyancer is the best person to discuss whether you should use a conditional or unconditional contract with.
Visit Build Your Home Masterclass Series to learn more.