If you’re purchasing property and you aren’t an Australian, there are a few things you need to do:  Continue Reading →

1. Make sure you cover the legal issues. If you aren’t an Australian citizen, you will need to gain permission from the Foreign Investment Review Board (FIRB) before you can purchase a property. After you apply, you should have an answer within 40 days, however they do have the right to extend the number of days to 130 in unusual circumstances. You can exchange contracts before you have received approval from the FIRB, but make sure the contract is conditional upon approval. If you don’t, you can be in breach of contract and have to pay financial penalties if you aren’t approved. You can’t, however, purchase at an auction without the approval, because auction sales are without conditional clauses.

Another way to make a good profit is buying deceased estates. A deceased estate, as the name implies, is the property and assets of a person who is deceased. Usually, the deceased estate will be held in trust until the property and assets are transferred to the listed beneficiaries. An executor administers the deceased estate and is either appointed in the will or appointed by the court.

You do have to beware of the property ownership and the legal implications before you decide to purchase and sign a contract. Usually, the sellers are motivated to sell, but if you want the property to be transferred correctly then carefully review the property ownership structure before you sign.  Continue Reading →

So to clarify what are mortgagee possession properties?

Okay so I will break it down for the beginners or folks who still don’t quite get it. When someone sets out to purchase property in Australia, typically what happens is they will borrow the money from one of the big four to help purchase that home. In doing this, the lender is the one who takes a mortgage in order to secure the loan. And as we’re all aware, if someone is unable to maintain payments according to the terms of the loan, it gives the lender permission essentially to take possession of the secured property.  Continue Reading →