OFF-THE-PLAN CONVEYANCING SPECIALISTS HEATHCOTE

Before committing to an off-the-plan property, take the time to research who’s behind the build. Look into the developer’s history, inspect their past work, and where possible, speak with previous buyers about their experience. Issues like defect resolution or long-term build quality can tell you a lot. Reviewing older projects can also reveal whether any hidden problems appeared after handover.

Also note, the developer listed on the contract may not be the same party responsible for completing the build. Developers often have the right to change builders or assign the project to another company. So while one project may have been completed well, it doesn’t mean the same standards will apply here.

After the contract is signed and any cooling-off period ends, the agreement becomes legally binding. If you cannot secure finance, you may still be required to proceed. Many banks won’t provide unconditional approval until the development is close to registration or completion.

Several factors may affect your ability to secure funds, including:

• Changes to your income or employment
• Lending policy updates
• Discrepancies in property valuation
• Extended construction timelines

Advertisements can be polished, but they aren’t legally enforceable. Only the details included in the contract carry weight. If you expect particular finishes or appliances, those items need to be listed specifically, with brand and model information. Vague phrases like “quality European appliances” offer no guarantees.

Standard adjustments such as council rates and water usage are expected. However, some contracts may attempt to pass on additional costs, like Land Tax, to buyers. These terms should be reviewed closely to avoid being left with charges that aren’t usually your responsibility.

Most off-the-plan contracts give the developer flexibility to change certain features of the build. That might include layout tweaks, finish variations or modifications required by authorities. Some contracts set clear limits on these changes, while others don’t.

If possible, include terms that let you walk away if certain thresholds are crossed. For example, a reduction in size beyond 5 per cent, or changes not required by law, may justify cancelling the deal.

Residential projects above a certain value typically require Home Warranty Insurance. But this doesn’t apply to every build. Developments over three storeys or those built by owner-builders may not be covered. Check if insurance applies and what protections it offers, especially in larger or more complex projects.

Many contracts require buyers to settle even if minor defects are present. Often, you’ll be given one chance to flag issues after settlement. But some faults might not be obvious straight away.

Push for a reasonable post-settlement defect period and avoid contracts that limit you to a single report or place tight restrictions on future claims.

It’s not uncommon for disputes to arise over items like substitutions or build changes. A well-drafted dispute resolution clause can allow for faster, less costly outcomes via mediation or expert review. This avoids having to go straight to court if something goes wrong.