Just a quick one. If I exchange contracts as the buyer, do I have a back out clause/cooling off period? If so and i elect to use it what if anything do I lose by doing so?
Can I exchange, then transfer the name of the buyer, ie put someone else on the contract to buy, before settlement?
Thanks for any help.
The clauses should be in your contract – eg subject to finance approval, building inspection etc. I think there is a cooling off period in most states too.
You can only put another buyer in your place, you would be required to pay stamp duty again. There MAY be ways around this by adding “and/or nominee” after your name, but this would depend on your state and the way it is done – see a solicitor first.
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I wonder…..if you can add ” or nominee”, would that mean you could on-sell it before settlement to anyone??
I am thinking this may be a great way to avoid a double stamp duty if you can quickly find a new buyer (eg as in a flip, or rejuv job)Hi Misty
If you use “and/or nominee” on the Contract of Sale, in NSW, double stamp duty will be payable.
However, if you option the property and then assign the option (at a higher price) to somebody else, our experience is that double stamp duty isn’t payable.
Please check with your lawyer about this.
Cheers, Paul
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