When it comes to Christmas shopping, there would be few gift purchases as large as a new property purchase.
It is common at this time of year for property buyers to rush to beat the Christmas deadline.
However, as the 24th creeps closer, it is inevitable that contract conditions such as finance, building and pest or settlement will fall due over the festive period.
What happens to contract dates that fall due during the Christmas / New Year period?
The standard terms in an REIQ Contract, which is commonly used for the sale of established residential or commercial property, provides that ‘a day in the period 27 to 31 December (inclusive)’ is not considered to be a Business Day.
Accordingly, any condition which falls due during this period will automatically transfer to the first business day being Tuesday, 4 January 2022.
There are exceptions
This exclusion may not apply to non-REIQ contracts; off-the-plan contracts; or, contracts which exclude this provision by way of special condition.
We strongly recommend you seek legal advice in relation to the terms and conditions of the contract to understand your obligations and ensure you can meet the conditions. You may even consider negotiating a settlement date a week or two into the new year to avoid any settlement delays.
Non-contract dates such as the statutory cooling off period will not be affected by this variation and will commence on the first business day the buyer receives a copy of the contract signed by all parties and will conclude at 5pm on the 5th business day.
MBA Lawyers remains available to help you over the break
Whilst most law firms will be closed over the Christmas / New Year period, MBA Lawyers will remain virtually available to assist with your property queries.
For more information and assistance with property law and conveyancing, contact the expert team at MBA Lawyers.