A short YouTube conversation between Aaron Whybrow (residential mortgage broker) and Judy Hogarth (conveyancer) explaining three essential elements for safely exchanging property contracts: contract review/conveyancing, financial approval, and pest/building inspections. They stress collaboration between brokers and conveyancers to identify contractual risks (e.g., deposit release, penalty interest, land issues like landslip), align finance with contract terms, and reduce emotional exposure for buyers. The video encourages buyers to seek professional help rather than rush when presented with a contract.
Hey, my name is Aaron Wybrow. I'm from Diagnostics and Finance and a residential mortgage broker.
My name is Judy Hogarth and I'm from KLH Conveyancing.
And today we wanted to talk about the three steps to make it easy for you to exchange on a property that you're purchasing. As the purchase of a property is very personal choice, you want to imagine yourself cooking your next roast dinner, you want to see where your kids are going to play. A backyard is important, and maybe the extra plush carpets could keep you warm in winter. So the three points we wanted to talk about today, one is looking at the contract side of things and the conveyancing, the financial approval, and also the pest and buildings. So with working all together, why is it so important for brokers and conveyancers to work together?
Because we speak the same industry jargon and have direct access to the vendor's representatives.
And from a broker's point of view, we have a direct link back into the conveyancing side and the contract terms that allows us to help speed up or adjust what we need from a banking point of view with the credit managers and bank valuers. So with working together, why is it so important for a client to have.
The representation of a conveyancer for the objective approach? So we understand that you have the emotional connection to the property. And having been through the purchase process myself, I can understand how stressful it can be and exhausting. And when you finally found the property you love, the search is over. So it's our job to then ensure that you are not exposed to risk through the process of settlement.
And as we get this representation by yourself, there's the kitchen and all that stuff that we've imagined ourselves cooking on. And now we've been presented with this big, thick document called a contract, and the real estate agent or whoever you're buying it from is asking for deposits and all this stuff all in a rush, all at once, and you're going, wow, what's going on? So with a conveyancer representing you, why is the contract review so important?
Essentially, when you are signing that contract, you are agreeing to the terms and conditions of that agreement. Obtaining advice on the contract prior to signing it ensures that you are made aware of the terms and agreement and actually understand them.
And it's really important with regards to understanding terms and conditions because it's not necessarily getting the finance approved. And I've had stories with clients that the finance has been approved, but the purchase hasn't gone ahead due to some of the terms and conditions of the contract. It could be you as a buyer not being happy with the release of deposit to the. To the vendor. Or it could be the penalty interests are just not favorable to what your goals and objectives are.
Yes. So whilst there are special conditions that can bring a purchase unhinged, there are also other aspects that can be revealed. For instance, once I was reviewing a contract and it disclosed that the property was subject to landslip. Whilst this isn't uncommon in some areas of the, in some areas around western Sydney, the client wanted to build on the property and he discovered that that would increase his building costs and accordingly, he didn't proceed with the purchase of that property.
So when we're purchasing properties, it's really, really important that you imagine your kids playing. You imagine cooking the great meals as a family together. But when you get thrown a contract, the need for financial approval all at once. When the agent or whoever's selling you the property and don't get overwhelmed, contact the professionals and we're here to help.
