How does the finance clause operate?

The buyer must complete the finance amount, the financier and finance date in the schedule of the contract in order for the contract to be subject to finance.

The buyer must take reasonable steps to obtain finance approval – at least one application should be made to a financial institution.

The standard finance clause does not cover other scenarios such as the buyer receiving proceeds from a settlement, selling their property, deceased estate or superannuation proceeds.

If a buyer is relying on funds of this nature then they should seek advice to include appropriate special conditions.

Should you require assistance with your contract or have any questions regarding the finance clause, please do not hesitate to contact our friendly team on 1300 765 488.