Hypotheticals by Manny Wood. Published in the Coffs Coast Advocate on 9 April 2016.
Grey Nomads, John and Jane, commence their journey from their Sydney home and head up the coast in their motor home.
Despite their intention to traverse the nation, they arrive at the mid north coast and decide that they don’t want to leave. They look into the local real estate market and realise that the first step is to sell their Sydney home.
They discuss their plans with a local solicitor.
Their solicitor tells them that they will need a “listing” contract before their Sydney home can be marketed. The contract can be prepared within a week and during this time, they are advised to find a real estate agent in Sydney to sell the property.
John and Jane are also advised to shop around before signing a Real Estate Agency Agreement. They are able to source an agent that they are comfortable with and work out the fees and commission that will be payable.
After obtaining the relevant searches, their solicitor prepares the contract and emails it to the agent.
A purchaser is soon found.
John and Jane prefer an extended settlement, so that they will have time to co-ordinate, with the assistance of their family, the removal of their belongings into storage.
After the purchaser pays a 10% deposit to the real estate agent, contracts are “exchanged” and the sale is “locked-in”. The settlement date is set for two months later.
At settlement, their solicitor ensures that there is an adjustment in favour of John and Jane for the council rates that they have paid and also directs the purchaser to pay John and Jane’s legal fees out of the purchase price.
Soon after settlement, the real estate agent deducts their commission from the deposit and accounts to John and Jane for the balance.
John and Jane take the opportunity to up-date their wills, with the assistance of their solicitor.
They now have the funds to take advantage of a sea-change bargain.
