Tax and legal advice

Buyers to benefit from new laws

By Reporter

Property investors in NSW will soon have access to greater discounts and more streamlined processes when purchasing property.

Recent changes announced by the NSW Minister for Innovation and Better Regulation Victor Dominello mean prospective home buyers will have greater access to pre-purchase inspection reports, with more opportunities for peer-to-peer cost sharing.

Amendments to the Property, Stock and Business Agents Regulation 2014 (NSW) will help reduce the duplication of property inspection reports by requiring a real estate agent who is listing a property to disclose all reports taken out by a vendor or potential buyer. The agent will need to provide a buyer who takes out a sales contract with the names of companies that have recently completed inspections of the property. The register will also need to indicate which firms enable peer-to-peer sharing discounts.

Mr Dominello said the announcement was good news for property buyers and would ultimately mean lower costs, greater transparency and less wasted time.

“Building and pest inspection reports can cost anywhere from $200 to $600 each, which represents a significant outlay for potential buyers,” Mr Dominello said.

“This reform is a practical demonstration of the NSW government’s commitment to embracing the collaborative economy. We want to encourage market disruptors whose business models rely on delivering better consumer experience and greater transparency, to flourish.

“This policy is the first of its kind in Australia and forms part of the NSW government’s broader reform of the real estate sector.

“Having start-ups and disruptors compete in the property market and offer inspection reports is reflective of our 21st-century economy. It also increases competition and reduces the price of these reports for potential buyers.”

Agents will be required to update their disclosures after each new report is completed. The new laws are due to come into effect before July.

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Karen Davies is a regular listener of the Smart Property Investment Show and is almost ready to leap into the world of property investment in Australia. Taking advantage of her position as a first home buyer and utilising her super for her first investment deposit, Karen shares her plans with host Phil Tarrant. 

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She shares the life altering changes that she will need to make to purchase a property using the strategy which she wishes to employ and discusses how her career changes which have seen her transition from music management to engineering in just seven years have prepared her for such movements.
 
Karen unpacks the strides that she has made so far toward her first property investment, the process of using funds from her super as a deposit and her plans for building a portfolio going forward.

If you like this episode, show your support by rating us or leaving a review on iTunes (The Smart Property Investment Show) and by following Smart Property Investment on social media: FacebookTwitter and LinkedIn.

If you have any questions about what you heard today, any topics of interest you have in mind, or if you’d like to lend your voice to the show, email [email protected] for more insights!

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Dominique unpacks how, by relying on her background in law, she was able to overcome that debt and in doing so develop a unique investment strategy which she believes many can utilise today.

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Creating equity in a falling market and a long-term view of what to expect

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