Buying process + solicitor recommendation in Howick area

[andygjones]

Hiya

Been in NZ 6 months now and loving it. We might be putting in an offer on a property and was hoping someone could recommend a good solicitor in the Howick area? Also just wondering how the process usually works.

Do we talk to the estate agent about making an offer and do any paperwork or should we go directly to the solicitor first? And any idea how much they might charge for the process if our offer wasn't successful.

Any help much appreciated!

Cheers
Andy

[Thyrza]

Hi Andy,

Would suggest giving some solicitors a call about their rates. Each firm has a different price structure, and the firms may also have a different rate if the contract does not go through. The cost may be higher depending on how much time the solictor spends on your file, the calls you make to them, any issues, etc. Barring issues, the solicitor cost could be less than $1,500 to close on a transaction, but again, best to call the solictors and discuss.

I am not sure where in Howick you are thinking about purchasing, the solicitors below are ones that my mum has worked with over the last few years in real estate (she has been one of the top agents with Pakuranga & Howick Realty for the several years as well as a residential investor) that she has found to be good:

Les Divers
CHURTON HART & DIVERS
26A Aviemore Drive
Highland Park
Phone: 533 9476

Jenny Wang
Jenny Wang & Associates
Level 1, Laidlaw Business Park
8/42 Ormiston Road
East Tamaki
Phone: 273 9678

David Rooke
David Rooke LLB
First Floor, Fountain Lane South
Botany Town Centre
Phone: 277 7949

You don't need to have a solicitor before you sign a contract, although it is good to have. A good real estate agent will also advise you whether you would like to consult with your solicitor first before signing a contract.

If the property you are buying is a private sale by the vendor (seller), then the vendor may not entertain any buyers represented by a real estate agent. If the property is listed with an agent (the listing agent), you don't necessarily have to have your own real estate agent. The listing agent can also be your agent, and they will act on behalf of the seller and the buyer (yes, there is some form of conflict of interest here). However, if you have already seen the property through that listing agent, you are not likely to have another agent to act on your behalf as the listing agent will already claim you as a client.

In any case, if the listing agent also acts on your behalf, the process may be smoother as the listing agent knows the vendor and there tends to be less delays in negotiations. The listing agent is also motivated to sell the property themselves.

You should ensure that you have at least these standard conditions in your contract:

1. LIM report (more information about LIM report here: http://www.manukau.govt.nz/EN/Buildi...emorandum.aspx). This is something your solicitor will order.
2. Building inspection. This is something you generally would order.
3. Appraisal report. This is something you generally order in conjunction with your lender.
4. Solicitor approval. This allows your solicitor to review the contract and title information.
5. Financing approval. If required.

Once the contract is signed, your real estate agent will collect a deposit from you (which will be held with in the real estate agent's firm's trust account) and you or the agent will send a copy of the contract to the solicitor and this is generally when the solicitor's role begins. Among other things, the solicitor will order title, order the LIM and obtain approval from the lender. The solicitor will be the one to communicate to the real estate agent and the vendor's solicitor whether the conditions of the contract are met and when the contract goes unconditional.

Once the contract goes unconditional, the contract deposit may be released for disbursement to the vendor (if requested by the vendor and upon approval by both the buyer and vendor solicitors). There is generally one final inspection by the buyer prior to the settlement date to ensure the house is still in order (e.g. chattels remain in place, etc.). The solicitor will coordinate loan documentation (where applicable) and disbursements upon settlement.

Hope that helps!

[Fern01]

A buyer usually lets the agent know where they are at as regards putting in an offer, the agent then does the paperwork, the buyer contacts their solicitor he should point out the pros and cons and it goes on from there.
good luck, nice to hear you are enjoying New Zealand.

[andygjones]

Wow that's great info - thanks so much for taking the time! Went back for a second viewing and still love the house. We're still weighing up whether now is the right time to buy. We would be renting the place out until our rental agreement is up (we signed for 2 years so still 18months to go).

The exchange rate (GBP>NZD) very much against us at the moment but feel we might be able to get a good price and figure the market may start rising again later in the year so don't want to miss the boat.

So far we've settled in NZ better than we could have imagined. We took the plunge and came here on working holiday visa's as we didn't get enough points for a residency application. Moved into a lovely rental place, got cars and found permanent jobs within 1 month of arriving so our residency application is now in progress. We've missed friends and family but are surprised at how little we miss the UK in general. Haven't doubted our decision once (and absolutely love Howick).

Anyway thanks again for all the info - has really helped us!

Andy

[lin]

Hi Andy

I posted a list of the websites we found useful on another thread & they may be of benefit to you: http://www.enz.org/forum/showthread.php?t=28803

We got some good advice from both the bank & our solicitor regarding the process for buying, especially regarding how the pre-purchase contract clauses are worded. For example our contract specified "...upon the Purchaser arranging finance on terms & conditions satisfactory to the Purchaser..." so if we didn't like the bank terms on offer, we had the choice not to proceed with the sale.

We didn't have to pay the deposit until we went unconditional ie we had 10 working days to arrange finance, get our builders report & for our solicitor to review & approve the contract & the LIM. (The LIM can take longer than 10 days which I think the contract also takes into account).

Its also worth negotiating with the bank to see if they will waive the loan setup fees & contribute towards the solicitor fees.

Good luck with the house-hunting!

[Thyrza]

You're welcome! Glad you love Howick I grew up around Pakuranga/Howick area as well and just came back after living in the US for 8 years.

Before you jump into buying a home, it may be a good idea to consider the current discussions under consideration as it relates to property taxes (unless you have already). The changes in discussion relates to real estate investors generally, but depending on what happens (I believe a decision is set to occur in May 2010), it may affect housing prices.

Here is a link of an article about it:

http://www.stuff.co.nz/business/pers...ngry-investors

Good luck!