RISKS AND REWARDS

It’s all down to timing as turnaround waits for finance are blowing out

DID you hear? 28 is the new 21. Nah, I’m not talking about age. Rather, I’m talking about finance clauses as I contemplate the seventh contract this month in which a four-week finance clause features.

I’ve highlighted this issue before about the fact that finance timeframes have been blowing out for a while now, with a two-week turnaround almost impossible, three weeks an optimistic stretch and even four weeks occasionally hopeful when it comes to receiving a bank’s stamp of approval on your purchase.

Waiting a month to know whether that dream home your heart’s set on will be yours is stressful enough. Maybe it’s a vacant block of land that’s ticked every box to build the perfect family home? Or it’s an ideal investment property to help secure your financial future? And what about looking at it from a seller’s perspective too?

In more settled times, with less urgency in the market, such limited conditional periods are a more accepted rule of thumb, and in the scheme of things a reasonable timeframe to have a property tied up. Within the first 14 days of an offer being accepted, you would know whether it’s going to happen (within reason). What’s the worst-case scenario? Recommence marketing without too much time lost.

With four weeks of contract conditions now frequently a bare minimum, and a good chance of a finance extension request (or two!), there’s an added level of risk that may just give some sellers pause. In 2020, a month is a pretty long time with restrictions and lockdowns coming and going, and a lot can change. As much as the market continues to show unexpected strength, 4-6 weeks is a long time to be out of the game to then come back in and hope for the same level of interest as in the first week.

How does a seller decide whether to take an offer and what conditions are reasonable? The vast majority of contracts will be subject to finance, so it’s difficult to dodge this one. But you can have your agent spend more time drilling into a buyer’s circumstances before closing the deal. Do they have pre-approval? Are they borrowing more than 80 per cent of the property’s value? Has their income been affected recently? It might seem rude to ask, but these are important questions and as a buyer, it’s worth recognising that being upfront might be more in your favour. Then it just comes back to the headline – take the risk, to hopefully, reap the reward.

AFTER moving around to settle and call Stratford home, the hunt is now on for a buyer to call this relocated Queenslander their own.

Once located in the Cairns CBD, this traditional Queenslander has been carefully renovated, well maintained and now sits on a

587 sqm block at 46 Behan St, Stratford.

The four-bedroom house is listed with Ray White Cairns South principal Therese Plath, who said the “beautiful” home was well suited to the picturesque suburb.

“Immaculately presented and offering fantastic liveability, this wonderful Queenslander has been beautifully maintained and must be inspected to be truly appreciated,” she said.

“It’s got lovely street appeal and as people walk through it they’re impressed with the warm, cosy feel, even though it’s a traditional Queenslander.”

Ms Plath said beyond the charming front garden and timber staircase of the home, the front door unlocked into an open-plan living area with easy care finishes throughout, showcasing its exemplary characteristics with timeless, solid red oak floorboards, tropical tones and high ceilings.

“It encourages the relaxed Queensland family lifestyle, welcoming an abundance of natural light and encouraging breezes to permeate through.

“It’s open plan but at the same time there are lovely traditional decorative features separating the rooms, which was one of my favourite things about the house.”

She said the kitchen formed the heart of the home, with granite preparation areas, plenty of storage, as well as quality appliances, a gas cook top, electric oven and dishwasher.

“The kitchen, dining and living areas flow gracefully from the interior on to the rear breezy veranda overlooking the established landscaped yard – entertaining will be something to look forward to,” Ms Plath said.

The three upstairs bedrooms are well appointed and light-filled with casement windows, all with easy access to the newly renovated bathroom complete with a claw foot bath, shower and single vanity.

Completing the ground floor is a granny flat with ensuite and small kitchenette providing versatility and possible income, fourth bedroom or multipurpose room with legal height providing potential for current or future expansion.

Ms Plath said work circumstances were forcing the current owners to list the property, which they loved.

“Set in a friendly, leafy village with restaurants, shops and Jalarra Park children’s playground a short walk away, combined with an energetic bike way joining Cairns City and Redlynch, this location is ideal,” she said.

“The owners loved the feeling of being located in an elevated street with a nice atmosphere.

They didn’t feel like they lived in a city even though the CBD is only 10 minutes away.”

Other highlights include a laundry downstairs, secure lock-up car accommodation with parking for two cars, and additional storage, big enough for a boat.

The property is also in the Cairns State High School catchment zone.

nts, ke