There is a lot of trust when it comes to dealing with property (or a lack of trust, as the case may be). In Queensland especially, where the current state of affairs is very much “buyer beware”, buyers are reliant on the information provided by a vendor (and their agent) when it comes to a property and its history. There is a duty of disclosure, particularly around stigmatising events (death in a property, drug labs, etc.) but outside of those black and white situations there remains a lot of grey.
As a buyer, (or even a prospective seller), how do you know what to trust? As with many transactions in life, it helps to know the right questions to ask in the first place – and this is an area where a well prepared buyer can put themselves in a much better position – being able to calculate and plan at the start of a potential purchase, rather than post-transaction when costs and risks are entirely theirs.
The kind of questions you might ask will vary wildly from person to person, and even based on the style of property and location. In regards to that last, following the excitement of December, certain locations and questions around “flood zones” can go hand in hand.
For Queenslanders, you might ask what year the property was built (for an indication on likelihood of asbestos), whether a property has been restumped or roofed, and that all important question of whether lower levels are legal height or just tall enough not to knock your head.
In a more modern home, the name of the builder might be more relevant to get an idea of quality and style, and the approval status of sheds or any other improvements.
A vacant land buyer can find things both simpler and more complicated, as covenants (restrictions imposed by the developer), easements and particular council requirements can make literally hundreds of thousands of dollars difference when it comes to not just building costs, but where and whether you can build what you want at all in the first place.
One area that is becoming increasingly important is that of dealing in tenanted properties. As an existing lease (and its accompanying tenant/s) is attached to a property, a buyer automatically inherits the tenancy along with the house or apartment. If that’s NOT what you’re looking for, its far easier to address before signing, than after.
Things will soon get a little easier for buyers though, with new disclosure requirements on the horizon. In the meantime though, keep that list of questions handy!