The Complete Guide to Buying a House in Australia

Overview

Buying a house is one of the biggest decisions most Australians will ever make. Whether it’s your first home, an investment property, or your next move, understanding the process from start to finish is crucial to making informed, confident decisions.

This guide explains the entire journey of buying a home in Australia. We’ll walk you through everything—from upfront budgeting and researching the market, to navigating legal steps, securing finance, and finally, reaching settlement. We’ll also outline state-specific nuances you need to know if you’re buying in New South Wales (NSW), Queensland (QLD), or Victoria (VIC).

Whether you’re a first home buyer, upgrading, downsizing or investing, our goal is to simplify every step and provide practical insights that empower you to move forward with confidence. With Zettle, you’ll also get jargon-free guidance, a stress-free digital process, and expert support when you need it most.

What to Consider When Buying a House

Before diving into the property market, it's important to step back and consider the full picture. Buying a house isn’t just about finding the right home—it’s also about being financially prepared, understanding your legal obligations, and making sure the property fits your long-term plans.

Key considerations include:

• Budget and affordability: Understand your borrowing power, savings, and how much deposit you need. Consider whether you’re comfortable with your future loan repayments and build a buffer to accommodate changes in interest rate. Remember to factor in upfront costs such as stamp duty, legal fees, and inspection reports. You may also find it useful to set aside some budget for upgrading, renovating or attending to rectification of defects and issues presented at the property.
• Suburb and lifestyle research: Investigate school zones, transport options, amenities, infrastructure plans, neighborhood, and local market trends. Ensure the area aligns with your lifestyle and goals.
• Future plans: Consider how long you plan to stay in the property and whether it suits your future needs, such as growing a family or working from home. This will influence not only what you buy but also where you buy.
• Ancillary and hidden costs: This includes expenses such as building and pest inspections, strata inspection reports (NSW and QLD), and settlement adjustments, such as reimbursing the seller for any large credits on their council or water rate accounts. Post-settlement costs can also add up quickly: council rates, water rates, strata levies (or owners corporation fees in VIC), maintenance, and insuranceall need to be budgeted for.
• Property condition and inspections: Conduct thorough inspections. A building inspection will reveal any structural issues, while pest inspections can uncover termite damage. Strata inspection reports (NSW/QLD) will highlight the status quo of the strata management, including the financial and legal standing of the body corporate.
• Legal review: Always have your contract of sale reviewed before signing. A trusted conveyancer or solicitor can explain the terms, identify risks, and ensure the deal protects your interests.
• Grants and concessions: Research what government incentives you may be eligible for, such as first home buyer grants or stamp duty exemptions, and how to apply for them in your state.
• Ownership structure: Will you buy as an individual, couple, company, SMSF or trust? The right structure depends on your financial goals and should be discussed with your accountant or financial adviser.

State-specific notes:

• In NSW and QLD, it is highly recommended to obtain strata inspection reports —especially for apartments and townhouses. These reports provide essential information about the financial health of the strata scheme, highlight any ongoing or upcoming building works, and flag any legal disputes or issues that could affect your enjoyment of the property or its future value.
• In VIC, when an owners corporation is applicable, the seller is required to include a s 151 Owners Corporation Certificate in the Section 32 Vendor Statement.  This certificate provides essential information about fees, the financial position of the owners corporation, any outstanding works or issues in discussion, and minutes of the owners corporation meetings.
• What’s referred to as strata levies in NSW and QLD are known as owners corporation fees in VIC. These fees contribute to the maintenance of shared spaces, insurance, and long-term capital works.

Failing to review these documents or to understand their implications can result in unexpected financial burdens or legal complications after settlement. By identifying these details early in the process, you give yourself the best chance to avoid unwelcome surprises.

Buying a home is about more than just liking the kitchen or backyard—it’s about understanding the bigger picture and making a purchase that fits your goals and lifestyle. Taking the time to consider these aspects early will save you money, stress, and surprises down the track.

State-by-State Home Buying Snapshot

Steps to Buying a Property

Buying a house isn’t just a purchase—it’s a process. From setting a budget to receiving the keys on settlement day, each stage carries its own risks, responsibilities, and decisions. Here’s a detailed, step-by-step guide that walks you through the entire process of buying a property in Australia, with special notes on how things differ in NSW, QLD, and VIC.

1. Research

Begin by familiarizing yourself with the property market. Research the suburbs you’re interested in—what’s recently sold, what’s currently listed, and what the trends are. Consider your lifestyle needs (schools, transport, parks) as well as future capital growth. If you're an investor, assess rental demand and yield, tax ramifications, capital gains liabilities and negative gearing benefits. Attending open homes and auctions is a great way to gauge pricing, property quality, and local demand.

Determine Costs: Purchase Costs and Post-Settlement Costs

Understanding the full financial picture is essential. The purchase price is just the beginning.

Upfront costs may include:

• Deposit (usually 10% of the purchase price)
• Stamp duty (transfer duty)
• Legal and conveyancing fees (including property searches)
• Loan application and establishment fees
• Building, pest, and strata inspections
• FIRB fees (if you’re a foreign buyer)

Post-settlement and ongoing costs include:

• Council rates and water rates
• Strata levies (NSW/QLD) or owners corporation fees (VIC)
• Land tax (if applicable)
• Repairs, maintenance, and home insurance
• Mortgage repayments
• Utility connections, furniture, and moving costs

Settlement adjustments: You may need to reimburse the seller for any prepaid council rates, water rates, or strata fees, especially if they have a credit balance. These are finalised by your conveyancer before settlement and will affect the amount you need to pay on the day of settlement.

Determine Budget

Once you understand the total costs, set a realistic budget. This includes how much you can borrow, how much deposit you’ve saved, and how comfortable you are with repayments. It’s wise to build in a financial buffer to account for interest rate changes or unforeseen expenses. Talk to your lender or broker early to get a clear idea of your price ceiling.

2. Finance Planning

Map out how you’ll fund your home. This includes deposit saving, reviewing your credit history, minimising debt, and comparing home loan features like redraw, offset, and fixed or variable interest rates. A mortgage broker can help you understand the lending environment and compare deals across multiple lenders.

Save for Deposit and Purchase Price

A 20-25% savings at hand is ideal (to avoid lenders' mortgage insurance), but it’s not essential. Many buyers enter the market with 5–10% deposits, depending on lender criteria. Beyond the deposit payable under the contract, make sure you’ve saved enough for upfront fees, stamp duty, and inspections.

Determine Grants, Exemptions and Concessions Available

Check whether you qualify for government assistance, such as:

• First Home Owner Grant (FHOG)
• Stamp duty exemptions or concessions
• Shared equity schemes or regional buying incentives

Each state has different eligibility rules. In VIC, for example, first home buyers may receive a full exemption from stamp duty for purchases under a certain threshold. In NSW and QLD, partial exemptions or concessions might apply depending on price, property type, and whether you plan to live there.

Loan (If Required): Find a Loan  

Start comparing loans and lenders. Consider interest rates, flexibility, repayment options, and whether you’re better suited to a fixed or variable rate. Mortgage brokers can help guide this search and present tailored options based on your financial profile.

Get Pre-Approval

Before you start making offers, get pre-approval from a lender. This means they’ve assessed your financial position and agreed (in principle) to lend you a certain amount. Pre-approval isn’t a guarantee, but it shows sellers you’re serious and helps you avoid wasting time on homes outside your budget.

3. Pre-Purchase

Inspection  

This is where due diligence ramps up. Once you’ve found a property, inspect it carefully.

• Physical inspection: Walk through to check for layout, condition, and any deal-breakers.
• Building and pest inspection: A qualified inspector checks for structural issues, water damage, pests (especially termites), and safety concerns.
• Strata inspection report (NSW & QLD): If buying a unit, townhouse or apartment, this will highlight the financial health and legal standing of the body corporate.
• Owners corporation certificate (VIC): Contains similar info—annual fees, fund balances, maintenance history, and future works. This certificate is annexed to the Section 32 Vendor Statement. Please ensure that you read through it to understand the management of the owners corporation.

Strata by-laws (NSW and QLD) and owners corporation rules (VIC): When buying a unit, townhouse or apartment, please ensure that you peruse these by-laws or rules before proceeding. They govern the behaviour of occupiers of the strata scheme or owners corporation and may affect your use and enjoyment of the property and common properties.

Contract Review

Before signing anything, have your contract reviewed by a licensed conveyancer or solicitor. They'll explain your rights, flag unusual terms, and recommend certain special conditions be included in (e.g. subject to finance or inspection) or excluded from the contract (e.g. special conditions that are too seller sided).

Price Offer

Make your offer through the real estate agent, ideally with guidance from your legal adviser. Offers can be verbal or written (written offers are usually preferred by the real estate agent and the seller) and often include specific conditions. The seller can accept, reject, or negotiate.

Negotiation

Negotiation may involve the price, inclusions (e.g. window furnishings, appliances), or the settlement period. In NSW, your legal adviser can assist with the negotiations whereas in VIC and QLD, the negotiations usually take place directly between the buyer and the agent.

Be prepared to move quickly—especially in a hot market.

4. Sign Contract

Once both parties agree on terms, contracts are signed and exchanged.  In VIC and QLD, contract signing and exchange are usually organised through the agents and in NSW, contract exchange are sometimes facilitated through the solicitors or conveyancers.

5. Conditional Contract (If Applicable)

If your contract includes conditions (e.g. subject to finance or inspections), those must be fulfilled before the deal is binding. If any condition isn’t met, you can generally withdraw without penalty. QLD and VIC contracts typically include these; in NSW, this may depend on timing and negotiation and the sellers would usually expect you to satisfy yourself as to finance and building and pest within the cooling off period.

6. Get Final Approval

Submit the signed contract to your lender or broker. Your lender will subsequently undertake a valuation of the property and review your documentation. Once they issue final (unconditional) approval, you should notify your conveyancer and provide them with a copy of your finance approval.  .

7. Unconditional Contract

With finance and other conditions satisfied, the contract becomes unconditional. From this point, all parties have legally committed to the purchase and successfully completing settlement.

8. Pre-Settlement: Provide Documentation

As settlement approaches you’ll need to:

• Complete your Verification of Identity (VOI) with your conveyancer
• Peruse, sign and return stamp duty documents to your conveyancer
• Prepare to pay transfer (stamp) duty
• Sign your loan documentation
• Arrange home insurance (this is often required before settlement)
• Complete a final inspection to ensure the property is in agreed condition

Your conveyancer will also prepare settlement figures, including adjustments and remaining balances.

Sign Loan Documentation

Your lender will issue you with your mortgage documents. Read them carefully, sign where required, and return them promptly. This step is essential to ensure your loan funds are available at settlement.

Do Final Inspection

Usually, 24–48 hours before settlement, you’ll do a final walk through of the property. Check that it’s in the same condition as when contracts were signed, and that any inclusions (like appliances) are still present and in the same condition as they were on the day of sale.

9. Settlement

On settlement day, your conveyancer, the seller’s legal representative, and your lender will work together to finalise the transaction. The funds are transferred, the title is registered in your name, and you become the legal owner of the property. Once this is completed, you’ll collect the keys from the agent and can take possession—congratulations!

State-Specific Nuances: NSW, QLD and VIC

While the general process of buying property is similar across Australia, there are differences in how contracts are handled, particularly around timing and buyer protection.

New South Wales (NSW):

In NSW, the process of exchanging contracts is very different from other states. Contracts are often exchanged much earlier in the process—sometimes even before all due diligence (like building and pest inspections or finance approval) is complete. This creates the risk of gazumping, where a seller accepts your offer verbally but then accepts a higher one from another buyer before contracts are signed. This practice is legal in NSW and can leave buyers out of pocket for inspection or legal fees.

The contract exchange in NSW typically occurs between Step 3 (Determine Budget) and Step 7 (Make an Offer and Negotiate). Because of this, NSW buyers should act quickly to attend to their due diligence when you are genuinely interested in a property. This way, you get a head start to get contracts exchanged as soon as possible. A statutory cooling-off period usually applies, but sellers may request for it to be waived in competitive scenarios.

Queensland (QLD):

In QLD, contracts are usually subject to conditions—most commonly subject to finance and building/pest inspections. This gives buyers protections and time to organise final approval and checks. Gazumping is rare here, and the process tends to be more straightforward and buyer-friendly.

Victoria (VIC):

VIC also allows conditional contracts and includes a standard three-day cooling-off period, unless the purchase was made at auction or within 3 business days on either side of the auction date. Buyers receive a comprehensive Section 32 Statement (vendor statement) and, if buying a unit or townhouse, an owners corporation certificate in place of a separate strata report. Like QLD, buyers in VIC typically have more safeguards in place before contracts become binding.

Transfer Duty / Stamp Duty Explained

Stamp duty—also called transfer duty—is one of the biggest upfront costs you'll face when buying a property in Australia. It’s a government tax calculated on the purchase price (or market value) of the property and is usually payable before or at settlement.

Stamp duty rules differ by state and territory. Rates are progressive, meaning the more expensive the property, the more you’ll pay. There many states offer different concessions and exemptions, particularly for first home buyers.

In NSW, QLD, and VIC, here’s what you need to know:

• NSW offers a First Home Buyer Assistance Scheme, which may reduce or eliminate transfer duty for eligible purchases. You’ll need to pay duty on the earlier of the settlement date or three months after the contract date. If you are buying an off-the-plan property and plan to use the property as your principal place of residence, you may be eligible to defer the payment of stamp duty until 15 months after the contract date.
• QLD offers a full first home concession for homes under $700,000, with a partial concession up to $800,000. Introduced in May 2025, the QLD Government introduced a complete exemption for first home buyers who are purchasing new homes or vacant land with no capped purchase price. Stamp duty must be paid within 30 days of the contract date or 30 days from the contract becoming unconditional.  
• VIC offers a full exemption for first home buyers on properties under $600,000, and a concessional rate up to $750,000. Principal place of residence and pensioner duty concessions are also available for eligible purchases. Payment of stamp duty is generally due at settlement.

Some buyers may be eligible for off-the-plan concessions, pensioner exemptions, or special shared equity scheme discounts.

To calculate how much stamp duty you’ll need to pay and check what concessions you may be eligible for, visit our in-depth stamp duty guide.

Buying as a First Home Buyer in Australia

Buying your first home is a major milestone—and in Australia, first home buyers have access to several grants, concessions and schemes to help make that first step more affordable. But eligibility and benefits vary widely between states, so it’s important to understand what support is available where you’re buying.

First Home Owner Grant (FHOG)

The First Home Owner Grant is a one-off, tax-free payment designed to help you buy or build a new home. It’s administered by state and territory governments, and each sets its own criteria.

• NSW: $10,000 for new homes valued up to $600,000 or new builds up to $750,000.
• QLD: $30,000 (as of mid-2024) for eligible new homes under $750,000.
• VIC: $10,000 for new homes up to $750,000 in value (regional and metro areas treated equally since 2021).

In all states, the property must be intended as your principal place of residence, and you typically must live in it for at least 6 to 12 months.

Transfer Duty (Stamp Duty) Concessions

As a first home buyer, you may also be eligible for full or partial stamp duty exemptions or concessions. These vary by state and are often based on property value.

• NSW: Transfer duty exemptions for homes under $800,000, with discounts up to $1 million.
• QLD: Full exemption on homes under $700,000, and discounted duty up to $800,000.
• VIC: Exemption for homes under $600,000 and concessional duty up to $750,000.

Do First Home Buyers Pay Stamp Duty?

Not always. If your property falls under your state’s threshold and you meet eligibility conditions, you may pay nothing or a reduced amount. Above the threshold, full duty may apply. Your conveyancer can discuss this with you during the contract review if the purchase price is available to them. They will provide further advice in this regard during the settlement preparation process.

How to Apply

You typically apply for the First Home Owner Grant  through your lender at the time of loan application, and stamp duty concessions through your conveyancer during the settlement preparation process. Here's what you'll need:

• Proof of identity and citizenship/residency
• Signed contract of sale
• Evidence the property is new (for FHOG)
• Declaration that you intend to live in the property as your principal place of residence

Your Zettle conveyancer will help you complete and lodge the necessary forms as part of your conveyancing process—so you don’t miss a deadline or benefit.

Tips for First Home Buyers:

• Get pre-approval before you start house-hunting
• Have your contract reviewed before signing
• Factor in all costs—not just the deposit
• Don’t rush into a property that doesn’t suit your long-term needs

With the right guidance and preparation, buying your first home doesn’t have to be overwhelming. At Zettle, we’ll help you understand every legal step, without the jargon, and make sure you don’t miss out on the help you’re entitled to.

Buying a Second Property or Investment Property

After purchasing your first home, you may consider buying a second property—either to upgrade your lifestyle or to start (or grow) an investment portfolio. Whether you’re purchasing a holiday home, upsizing for family needs, or seeking rental income and long-term capital growth, buying a second property comes with new financial and legal considerations.

Using Equity from Your First Property

Many buyers use the equity from their first home as a deposit for their second property. Equity is the difference between your property’s current market value and the amount still owing on your mortgage. If your first home has increased in value—or you’ve paid down a good chunk of your loan—you may be able to borrow against that equity.

This strategy can reduce the need to save another full deposit, but it does come with risk. You’re increasing your debt load, and both properties may be tied to the same mortgage. Speak to your broker or financial adviser to assess your borrowing capacity and risk appetite.

Tax Considerations

Investment properties are subject to different tax treatment than homes you live in. You may be able to claim deductions on:

• Loan interest
• Property management fees
• Maintenance and repairs
• Depreciation on fixtures and fittings

Rental income is taxable, and when you sell the property, capital gains tax (CGT) may apply. A qualified tax adviser or accountant can help you set up the right ownership structure and ensure you understand the implications.

If you're planning to live in the second property and rent out the first, this can also affect your eligibility for transfer duty exemptions or the principal place of residence (PPR) land tax concessions.

Strategy: What Are Your Goals?

There’s no one-size-fits-all strategy. Before purchasing, consider:

• Are you chasing capital growth or rental yield?
• Will you self-manage or use a property manager?
• Is this a short-term or long-term hold?
• What will your exit strategy be?

Your answers will shape your finance structure, location selection, and what type of property to target.

Legal and Conveyancing Considerations

The process of buying a second property is largely the same as buying your first, but your contract and financing options may be more complex—especially if purchasing through a trust, SMSF or company structure (see Section 12). It’s crucial to have your contract reviewed early by a conveyancer who understands investment transactions.

Zettle can guide you through the legal process and ensure you understand all compliance obligations—whether you're a seasoned investor or buying your second home.

Reminder

Before committing, we strongly recommend speaking with a financial adviser or tax professional. They can assess your financial position, discuss investment risks, and help determine the right structure and strategy for your circumstances.

Buying as a Foreign Buyer in Australia

Australia has long attracted international interest in its property market. However,if you’re not an Australia citizen or permanent resident, there are extra rules to understand before making a purchase. Foreign buyers must follow strict approval processes, face additional taxes, and may have limitations on the types of property they can buy.

Current Restrictions on Foreign Buyers (2025-2027)

Effective from 1 April 2025 to 31 March 2027, the Australian Government has imposed a two-year ban on foreign buyers purchasing established dwellings, including temporary residents. This measure was introduced to address housing affordability issues. Limited exceptions apply, such as acquisitions intended for redevelopment that increase housing stock.

Foreign buyers are generally permitted to purchase:

• New dwellings, including off-the-plan properties
• Vacant land, provided construction of a new dwelling is completed within four years
• Redevelopment projects, where the existing dwelling is demolished and replaced with multiple new dwellings.

FIRB Approval: Eligibility, Exemptions and Application

Foreign buyers must apply for and receive approval from the Foreign Investment Review Board (FIRB) before entering into a binding contract. The FIRB assesses applications based on:

• The type and value of property
• Residency and Visa status of the Buyer or their spouse
• Intended use of the property

Exemptions may apply to temporary residents buying a home to live in, or to joint purchases with an Australian citizen spouse. In all other cases, FIRB approval is required.

You must apply before signing an unconditional contract. In most cases, your contract will need to be made conditional on FIRB approval to avoid penalties or complications.

FIRB Fees and Timelines

Application fees depend on the value of the property. As of 2024-2025:

For new dwellings or vacant land

• Properties up to $1 million: $14,700  
• Higher tiers apply above $1 million, increasing with value

For established dwellings (where permitted):

• Up to $1 million: $44,100
• Higher tiers apply above $1 million, increasing with value

Processing time is usually 30 days, but it may take longer depending on the complexity of the application. It’s essential to factor this timeline into your contract conditions.

Key Contract Considerations

• Always ensure your contract includes a condition subject to FIRB approval, unless you already hold written approval or the seller of the property has already obtained a bulk new dwelling exemption certificate for the development project.
• The condition should allow sufficient time to receive the FIRB decision, generally 45 to 60 days.
• If you’re refused approval and the condition is not included, you may still be liable to settle or face significant penalties.

Zettle can help ensure your contract is compliant and tailored to your status. We’ll also work closely with your adviser or migration agent to make sure the legal process aligns with FIRB requirements and timelines.

Buying with Vacant Possession vs Existing Tenancy

When purchasing a property in Australia, one important detail to confirm early on is whether the property is being sold with vacant possession or is subject to an existing tenancy. This distinction affects not only when you can move in, but also your legal rights, settlement obligations, and even your eligibility for certain grants and tax exemptions.

What is Vacant Possession?

Buying with vacant possession means the seller is required to ensure the property is completely unoccupied at settlement—no tenants, occupants or lease agreements in place. This is standard for most owner-occupier purchases and allows the buyer to move in or begin renovations immediately after settlement.

What is an Existing Tenancy?

A property sold with an existing tenancy is subject to a lease agreement that continues after settlement. As a buyer, you become the new landlord and inherit the terms of the lease. Even if the lease is due to expire before the settlement date, the tenant may remain unless formal notice has been given in accordance with state tenancy laws.

Key point: Unless the contract specifically states the property must be provided with vacant possession, you are legally obligated to honour the existing lease.

Vendor and Purchaser Obligations

If you're purchasing a tenanted property:

• You inherit the lease as the new landlord and must comply with all tenancy laws
• You may be restricted from moving in or making changes until the lease ends (unless the tenant agrees to leave early)
• Your lender may treat the property as an investment, which can impact your loan approval and terms
• Land tax may be applicable when the property is treated as an investment property.

If you want vacant possession, this must be explicitly written into the contract, and the seller must serve the appropriate notice to the tenants well in advance—this process and notice period vary by state.

Things Purchasers Should Consider

• Inspection access: You may have limited access to inspect the property before settlement if tenants are in place
• Loan assessment: Your bank may assess the purchase differently (as an investment loan), potentially reducing your borrowing capacity
• Grant eligibility: Some first home buyer grants and stamp duty exemptions require you to move in within a specific timeframe—an existing tenancy may make you ineligible
• Insurance: You may need landlord insurance from day one if a tenant is in place
• Settlement expectations: If you agreed to buy the property vacant and the tenant hasn’t vacated by settlement, settlement delays or breaches of contract may occur
• Land tax may be applicable when the property is treated as an investment property.

State-Specific Nuances

NSW

Tenants must receive at least 30 days’ notice to vacate once a contract for sale is signed, assuming the lease is periodic. For fixed-term leases, they generally cannot be evicted until the term ends—unless both parties agree. If you're claiming a first home buyer duty exemption, you must move in within 12 months and live there for 6 consecutive months.

QLD

The required notice is 2 months if the lease is periodic and the property is being sold. Fixed-term tenants cannot be required to leave before the lease ends unless both parties agree. QLD also requires you to live in the home for at least 12 months to maintain certain transfer duty concessions.

VIC

A minimum of 60 days’ notice is required if the lease is periodic. If the property is being sold and the tenant is on a fixed-term lease, they are entitled to remain until that period ends. VIC first home buyer duty exemptions also require the buyer to move in within 12 months and live there for 12 continuous months.

Understanding the difference between vacant possession and a tenanted property isn't just about moving dates—it can affect your legal obligations, tax status, and even whether you're eligible for government support. Zettle will help review your contract, clarify any tenancy-related clauses, and ensure you're fully informed before you sign.

Auctions vs Private Treaty – What Buyers Need to Know

In Australia, residential properties are typically sold via two main methods: auction or private treaty. Each has its own rules, advantages, and risks, so it’s important to understand how they work and how the process may differ depending on the state you’re buying in.

What is a Private Treaty Sale?

A private treaty sale is the most common method, especially outside of capital cities. The seller sets an asking price (or price guide), and interested buyers make offers directly to the agent. There’s room for negotiation on price, terms, and settlement dates.

Benefits of private treaty

• More time to conduct inspections and review the contract
• Flexibility to include conditions (e.g. subject to finance, building and pest)
• Cooling-off period in most states

Risks:

• Sellers can still reject your offer or negotiate with other buyers at the same time
• Properties may be underquoted or priced to attract interest, so due diligence is key

What is an Auction?

An auction is a public sale - held in person or online- where prospective buyers place bids in real time. The highest bidder wins the property, provided the reserve price is met.

Key features of auctions

• Bidding is unconditional—you must have finance ready and do your inspections beforehand
• No cooling-off period applies (in most states)
• If you win, you must sign the contract and pay a deposit (usually 10%) on the spot
• If the property is passed in (doesn’t meet reserve), the highest bidder may be invited to negotiate privately afterwards

Benefits of auctions

• Can be quicker and more transparent
• You see who you're competing against
• If you’re prepared and confident, you may secure a good deal

Benefits of Risks

• High-pressure environment—easy to overbid
• No time to include conditions or change your mind
• If you're not successful, you may lose money spent on pre-auction inspections or legal reviews

State-Specific Nuances

NSW

• No cooling-off period applies at auction or contracts entered into on the auction day after the property is passed in
• Private treaty sales come with a 5-business-day cooling-off period (unless waived) or exceptions apply, such as when the property is non-residential land, is a large property exceeding 2.5 hectares in area or for a vacant land used for non-residential purpose.
• Gazumping is a risk in private treaty if the contract hasn’t been exchanged

QLD

• No cooling-off at auction
• Unable to negotiate the inclusion of conditions such as subject to finance or inspection

VIC

• Auctions or contracts entered into within 3 days before or after a public auction come with no cooling-off
• Private treaty offers a 3-business-day cooling-off period from when the purchaser signs the contract, unless exceptions apply, such as when the property is used mainly for industrial or commercial purposes, when the property is more than 20 hectares and used mainly for farming, when you previously signed a contract for the same property within the same terms and when the buyer is an estate agent or corporate body.
• If the property is passed in at auction, negotiations usually begin immediately with the highest bidder

Which Option is Right for You?

It depends on your risk appetite and level of preparation. If you need time to sort finance or want to include conditions, a private treaty may be safer. If you're well-prepared and confident, auctions can deliver quicker results.

At Zettle, we recommend always having your contract reviewed—regardless of the sale type—and being clear on your budget, conditions, and obligations before making an offer or raising your paddle.

Financial Considerations When Buying a House

Finances are at the heart of any property purchase—and getting them right from the start can make the difference between a smooth buying experience and a stressful one. Whether you’re a first-time buyer or expanding your investment portfolio, understanding your borrowing power, loan options, and the full range of costs is crucial.

Understand Your Borrowing Power

Borrowing power refers to how much a lender is willing to let you borrow, based on your income, expenses, debts, and credit history. Every lender uses different assessment criteria, so it’s wise to compare options or work with a mortgage broker.

Lenders will consider:

• Income and employment status
• Existing debts (credit cards, car loans, HECS/HELP)
• Living expenses and number of dependents
• Deposit size and savings history
• Property type and location
• Your credit score and repayment history

Online calculators can help you estimate borrowing power, but a broker or lender will give you a more accurate picture of what you can afford.

Home Loan Types and Features

There’s no one-size-fits-all loan. You’ll need to consider different loan features and structures based on your goals and financial situation. Key loan options include:

• Fixed vs variable rates: Fixed rates offer stability in repayments while variable rates may provide more flexibility and potential savings if rates fall.
• Offset accounts: These link your savings to your home loan to reduce the interest you pay
• Redraw facilities: Allow you to access extra repayments you’ve made in advance – helpful if unexpected expenses come up
• Interest-only vs principal & interest: Investors may consider interest-only loans for cash flow, while owner-occupiers usually repay principal & interest

Deposit Requirements and Lenders Mortgage Insurance (LMI)

A 20% savings in pocket is ideal to avoid LMI, which is an insurance premium paid when your deposit is below that threshold. LMI protects the lender (not you) and can add thousands to your loan.

Some lenders do offer low-deposit loans (as low as 5%), but these often come with stricter lending criteria or higher interest rates.

Stamp Duty and Upfront Costs

In addition to your deposit, you’ll need to budget for several upfront costs, including:

• Stamp duty (transfer duty)
• Legal and conveyancing fees
• Building and pest inspections
• Loan establishment fees
• FIRB application fees (if applicable)
• Mortgage registration and transfer fees

Ongoing and Post-Settlement Costs

Once you’ve settled, ongoing expenses can add up. Make sure to plan for:

• Mortgage repayments
• Council and water rates
• Home and contents insurance
• Strata or owners corporation fees
• Utility setup and ongoing bills
• Maintenance and repairs

Subject to Finance: What It Means

Including a "subject to finance" clause in your contract protects you if your loan application is delayed or rejected. This condition is common in private treaty sales and gives you time (usually 7–14 days) to obtain full loan approval. If finance falls through, you can usually exit the contract without losing your deposit.

At auction, this condition is not available, so ideally finance should be fully approved beforehand or you have at least obtained pre-approval and are confident with your financial arrangement before attending the auction.

State-Specific Finance Notes

NSW

Finance clauses are not standard in private treaty contracts. Buyers are sometimes expected to waive their cooling-off rights in a competitive market, so obtaining a pre-approval is essential prior to making an offer.

QLD

"Subject to finance" clauses are widely accepted. Buyers typically have 7–14 days to confirm finance, and the cooling-off period (5 business days) provides further protection.

VIC

Similar to QLD, finance conditions are commonly included in private treaty contracts. Buyers have a shorter 3-business-day cooling-off period, so it’s still wise to move quickly.

Financing a home isn’t just about getting a loan—it’s about choosing the right loan for your goals, budgeting for upfront and ongoing costs, and making sure your contract gives you the protection you need. Zettle can connect you with local experts and ensure your purchase proceeds smoothly from offer to ownership.

Common Pitfalls and How to Avoid Wasting Time or Money

Buying a property is exciting—but it’s also easy to get caught out by hidden costs, legal oversights, or rushed decisions. These mistakes can delay your settlement, impact your eligibility for grants, or cost you thousands down the track. Here are some of the most common pitfalls—and how to avoid them.

Failing to Get the Contract Reviewed

One of the biggest mistakes buyers make is signing a contract of sale without getting legal advice. Every contract is different, and even seemingly minor clauses can have major consequences.

Avoid it: Always have a licensed conveyancer or solicitor to review your contract before signing. This can reveal hidden risks, give you room to negotiate terms, and protect your rights.

Skipping Building and Pest Inspections

Waiving inspections to speed up a purchase or cut costs can be a costly oversight. Structural defects, water damage, or termite activity might not be visible at first glance, but they can result in massive repair bills later.

Avoid it: Always organise a qualified building and pest inspection, and don’t rely on reports provided by the seller unless independently verified.

Overlooking Strata or Owners Corporation Records

If you’re buying a unit, apartment or townhouse, understanding the financial and legal health of the owners corporation (strata) is critical. A building might appear well maintained,—but if the strata fund is in debt or involved in legal disputes, you could be inheriting costly and stressful issues.

Avoid it: In NSW and QLD, order a strata inspection report. In VIC, carefully peruse the owners corporation certificate and review all attached documents. Look for red flags like special levies, upcoming repairs, legal disputes or low capital reserves.

Underestimating Post-Settlement Costs

After settlement, your financial commitments don’t stop. Council rates, water rates, home insurance, strata (owners corporation) fees, and loan repayments all kick in—often sooner than new buyers expect.

Avoid it: Budget ahead and keep a cash buffer for at least the first 3–6 months of ownership. Include these costs in your affordability checks—not just the deposit and loan.

Assuming the Property Will Be Vacant at Settlement

Some buyers are caught off guard when a tenant remains in the property after settlement, even if the lease was due to end. Unless the contract specifically requires vacant possession and formal notice has been given, the tenant may be legally entitled to stay.

Avoid it: Confirm the tenancy status in writing. If you need vacant possession, ensure the contract clearly states this and that the seller gives the tenant the required notice within the required timeframe.

Not Understanding Loan Conditions

It’s easy to assume pre-approval equals guaranteed finance, but things can change. Valuations may fall short, credit issues may arise, or lender policies may shift before settlement.

Avoid it: Read your loan documents carefully and maintain financial stability until settlement. If using a “subject to finance” clause, ensure the timeframe is realistic and allows for delays.

Missing Grant or Concession Eligibility

Some buyers miss out on valuable government benefits by failing to meet deadlines or live-in requirements. Others mistakenly assume they’re eligible, only to be denied after signing the contract.

Avoid it: Confirm your eligibility early and get professional help with the application process. Be aware of any residency periods or property value limits.

State-Specific Nuances

NSW

• Gazumping risk is real—ensure quick contract exchange and clear terms
• Transfer duty must be paid on the earlier of the settmenet date or within 3 months of contract date for existing properties.  For off-the-plan transactions, you may be eligible to defer the payment of stamp duty until 15 months after the contract date.

QLD

• Cooling-off period is 5 business days, but be careful not to miss the deadline
• Finance and building/pest conditions are common—but must be clearly stated and completed in full in the contract
• Buyers must move into the property within 12 months of settlement to maintain eligibility for stamp duty concessions

VIC

• Shorter 3-day cooling-off period
• Finance and building/pest conditions are common—but must be specified in the contract
• Buyers must live in the property for 12 continuous months within 12 months of settlement to be eligible for varied stamp duty exemptions

Zettle’s conveyancing team is here to help you avoid these traps. With proactive guidance, contract reviews, and support from day one, we ensure you stay in control, make confident decisions, and avoid costly surprises.

Buying Property under Company Name, Self-Managed Super Fund or Trust

Not all property purchases are made by individuals. If you're planning to buy under a company name, through a self-managed super fund (SMSF), or via a trust, there are added layers of legal and financial complexity. These structures can offer tax or asset protection advantages—but they also come with strict rules, higher compliance costs, and potential impacts on stamp duty and loan eligibility.

We strongly recommend seeking guidance from a financial adviser or accountant before proceeding.

Buying Property under a Company Name

A company can buy property in its own name, often for commercial or investment purposes. This structure keeps ownership separate from personal assets, which may provide asset protection or tax flexibility for businesses.

Things to consider:

• Companies are not eligible for first home buyer grants or stamp duty exemptions
• Some lenders restrict or reduce borrowing limits for company purchases
• Company title purchases may attract higher ongoing tax obligations differ from personal ownership
• You'll need to verify ASIC registration details and company resolutions when signing contracts

Buying Property through a Self-Managed Super Fund (SMSF)

An SMSF can invest in residential or commercial property, but there are strict ATO rules that apply.

Key restrictions include:

• The property must be solely for investment purposes—you or related parties cannot live in or use the property
• The purchase must comply with the fund’s investment strategy
• If borrowing, the SMSF must use a limited recourse borrowing arrangement (LRBA)—not all lenders offer these, and the process can be complex
• All rent and expenses must be handled through the SMSF’s accounts

Important: Stamp duty and capital gains tax still apply, and SMSF loans typically require larger deposits and higher interest rates.

Buying Property through a Trust

Trust structures—like discretionary (family) trusts or unit trusts—are commonly used by investors or families for asset protection, estate planning, or tax planning purposes.

Key considerations:

• Trusts can complicate borrowing; not all lenders accept them
• You’ll need a valid trust deed and may be asked to provide a copy before signing contracts
• Some grants and concessions are not available to trusts (e.g. first home buyer exemptions or principal place of residence concessions)
• Trust income and tax distributions must follow the deed’s rules and be managed annually with an accountant’s help

State-Specific Nuances

NSW

Only the trustee of the trusts and SMSFs can be registered on title and the names of the trusts do not appear on the title registration. When entering the contract, you must ensure that the correct entity is noted as the purchaser in the contract. You won’t be eligible for residential concessions like first home buyer benefits under these entities.

QLD

Trusts cannot be named directly on the title—only trustees can hold the property “as trustee for” a nominated trust. As with other states, duty concessions are not generally available. Trusts must be clearly declared on contract execution.

VIC

Trusts cannot be named directly on the title—only trustees can hold the property “as trustee for” a nominated trust. When entering the contract, you must ensure that the correct entity is noted as the purchaser in the contract. This adds an extra legal step and makes compliance more complex. Like elsewhere, residential benefits do not apply to trusts or SMSFs.

Alternative ownership structures can be smart—but only when used correctly. At Zettle, we’ll work with your accountant or financial adviser to ensure contracts reflect the correct entity, protect your compliance, and support smooth settlement.

Ready to Buy? What Happens Next

You’ve found the right property, signed the contract, and secured your finance—so what happens next? The final stage of buying a house is all about preparation, paperwork, and peace of mind as you head toward settlement. This period usually spans 30 to 90 days, depending on your contract.

Here’s what you can expect:

Pre-Settlement: Final Checks and Paperwork

As you approach the settlement date, several important tasks need to be completed to avoid delays or surprises.

• Loan documentation: Your lender will prepare formal loan documents. Be sure to  read them carefully, sign them, and return all required identification and paperwork promptly.
• Stamp duty (transfer duty): This must be paid on or before settlement . Your conveyancer will manage the timing based on your state’s requirements.
• Insurance: You should arrange for building insurance as soon as you become liable for the property, which can occur upon signing the contract in some states.
• Final inspection: Conducted usually 24–48 hours before settlement, this allows you to check the property is in the agreed condition (e.g. no damage, inclusions present, cleaned and vacant if required).

Your Zettle conveyancer will coordinate all the moving parts, liaise with your lender, and ensure the transfer of ownership is legally sound and stress-free.

Settlement Day

On the day of settlement:

• You pay the balance of the purchase price to the seller, using the funds from your loan and any of your contribution (if required)
• Your conveyancer completes the transfer of ownership
• Title registration and legal documents are lodged
• The seller’s mortgage is discharged and relavant rates or levies are adjusted between the parties and any outstanding rates or levies are paid

Once settlement is confirmed, you receive the keys and legal possession of the property. If the property is vacant, you can move in right away. If it’s tenanted, you will take over as the new landlord from that date.

What Comes After

After the settlement, it’s time to focus on setting up your new home or managing your investment. Make sure to:

• Finalise utility connections and insurance
• Notify relevant authorities of your new address
• Set up ongoing payments (rates, strata, mortgage)
• Review your ownership structure with your accountant for tax and record-keeping

At Zettle, we believe that buying a house shouldn’t feel overwhelming or unpredictable. With clear guidance, transparent communication, and digital tools that keep you informed at every step, we help you reach settlement with confidence—and without the legal headaches.

Ready to move forward?

Request your free conveyancing quote now and let Zettle help you buy with clarity and confidence.