Going Unconditional
Congratulations! Your offer has been accepted. Now it's time to meet all the conditions in your Sale and Purchase Agreement.
Key Points About Going Unconditional
- Going unconditional means you are legally committed to purchase the property
- Complete all due diligence BEFORE conditions expire (building report, LIM, finance)
- Arrange house insurance before going unconditional - banks require it
- If valuation comes in low, you can negotiate or use your finance condition to exit
- Your deposit becomes non-refundable once you go unconditional
- Allow realistic timeframes for all conditions to avoid last-minute stress
Meeting Your Finance Conditions
Provide to Your Solicitor:
- •Copy of signed Sale and Purchase Agreement
- •They'll start LIM and title searches
- •They'll advise of any issues identified
Provide to Your Broker/Bank:
- •Copy of signed Sale and Purchase Agreement
- •They'll approve the property as security
- •They'll arrange registered valuation
Registered Valuation
Required by most lenders when you have less than 20% deposit
A Registered Valuation is a Full Market Valuation conducted by an independent registered valuer to confirm the property is worth what you're paying.
Important:
- •Arrange ASAP - valuers can be very busy
- •Required by most lenders when you have less than 20% deposit
- •Must be done by a registered valuer
If Valuation Comes in Low:
Don't panic - you have options:
- 1.Negotiate with vendor to reduce price to valuation amount
- 2.Increase your deposit to make up the difference
- 3.Walk away using your finance condition
- 4.Request a revaluation (if you believe it's incorrect)
Builders Report
Essential for Peace of Mind
A professional building inspection is worth every cent and can save you from costly mistakes:
What It Checks:
- • Structural integrity
- • Weathertightness (leaky building syndrome)
- • Hidden damage or defects
- • Code compliance
- • Maintenance issues
Worth the Investment:
- • Typically $500-$800
- • Could save you $100,000+
- • Gives you negotiating power
- • Peace of mind
If Problems Are Found:
Proceed Anyway
Accept the issues and budget for repairs
Decline to Proceed
Walk away using your building report condition
Negotiate Repairs
Ask vendor to fix issues before settlement
Negotiate Price Reduction
Request lower price to account for repair costs
Bank Confirms Finance
Once all conditions are met (satisfactory valuation, building report, LIM), your bank will provide an unconditional letter of offer:
Receive Unconditional Letter
Bank confirms they'll lend you the money
Request Formal Confirmation
Get it in writing from your lender
Pass to Solicitor
Your solicitor needs this to confirm finance condition met
Solicitor Confirms to Vendor
Your solicitor tells vendor's solicitor all conditions satisfied
House Insurance - CRITICAL!
DO THIS BEFORE GOING UNCONDITIONAL!
Full cover house insurance is required by your lender to protect their interest in your property. You MUST check that the property CAN be insured before you go unconditional.
Why This is Critical:
- •Some homes are harder or more expensive to insure (weathertightness issues, flood zones)
- •Recent weather events have made insurance essential
- •If you can't get insurance, your bank won't lend
- •Don't leave this to the last minute!
House Insurance
Contents Insurance
Car Insurance
Personal Insurance
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Frequently Asked Questions About Going Unconditional
Frequently Asked Questions
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