The REIWA Contract for Sale of Land General Conditions is a legally binding document that outlines the terms and conditions of selling or buying property in Western Australia. If you`re looking to purchase or sell property in this region, it`s important to understand the REIWA Contract for Sale of Land General Conditions.
The contract was formulated by the Real Estate Institute of Western Australia (REIWA) and is used in the majority of real estate transactions in the region. The document includes various clauses that protect both the buyer and the seller and ensure that the transaction is conducted in a fair and transparent manner.
One of the most important clauses in the contract is the finance clause. This clause specifies that the transaction is subject to the buyer obtaining finance for the purchase of the property. If the buyer is unable to obtain finance, they can terminate the contract and receive their deposit back.
Another important clause is the building inspection clause. This clause specifies that the transaction is subject to a satisfactory building inspection report. If the building inspection report reveals any defects, the buyer can either terminate the contract or negotiate with the seller to have the defects rectified.
The contract also includes clauses relating to settlement, which is the process of transferring ownership of the property from the seller to the buyer. The settlement period is usually 30 to 90 days from the date of the contract and includes the payment of the balance of the purchase price.
In addition, the contract includes various warranties and representations made by the seller, such as that there are no encumbrances on the property and that all rates and taxes are paid up to date. These warranties and representations protect the buyer and ensure that they are purchasing a property that is free from any legal or financial issues.
It`s important to note that the REIWA Contract for Sale of Land General Conditions is a standard document that can be amended or varied based on the specific requirements of the transaction. For example, if the property is being sold through auction, the contract may include additional clauses relating to the auction process.
In conclusion, the REIWA Contract for Sale of Land General Conditions is an important legal document that forms the basis of most real estate transactions in Western Australia. It`s important to read and understand the document before signing it, and if you have any doubts or concerns, it`s advisable to seek legal advice. Ultimately, the contract provides protection and transparency for both the buyer and the seller, ensuring that the transaction is conducted in a fair and efficient manner.