A Buyers' Land Purchasing Journey

Finance pre-approval is when a bank or lender looks at your income, expenses and savings and gives you an estimate of how much they may be willing to lend you.

It is a helpful guide, but it is not a guarantee. You will still need full approval before settlement.

Pre-approvals usually last between 3 and 6 months. If your financial situation changes during that time, the bank may change or withdraw their offer.

Things that can affect final approval include:

• The bank’s valuation of the land
• Changes to lending rules
• Changes to your income or expenses

While not compulsory, pre-approval gives you confidence about your budget before you commit to a block of land.

When you make an offer on land, it can be either:

Conditional

This means the contract depends on certain things happening first, such as:

• Getting formal finance approval
• Selling your current home

If those conditions are not met by the agreed date, you may be able to withdraw from the contract.

Unconditional

This means there are no outstanding conditions. You have immediate access to the funds and the contract will proceed straight to settlement.

A cash offer means you have enough money in the bank to pay for the land in full, not just the deposit.

We will ask for a bank statement showing your name and available funds.

With a cash offer, there is no finance condition in the contract. Settlement usually takes place 21 days after the title is issued.

Once your block has been allocated, we will email you to collect the details needed to prepare your contract. This includes:

• Full legal names
• Current address
• Your broker or lender details, if applicable

Your contract will then be prepared and sent to you via DocuSign. You will have 48 hours to review it, ask questions and sign.

Your deposit, which is the upfront payment to secure the land, is payable within 3 working days, once you have signed the contract.

In Western Australia, the contract of sale is called an Offer and Acceptance contract, often referred to as an O and A.

It is made up of two documents:

1. The Offer and Acceptance
2. The General Conditions

The Offer and Acceptance includes:

• The purchase price
• The settlement period
• Any special conditions

Once both parties sign the O and A, it becomes legally binding.

The General Conditions include:

• Where the deposit is held

Legal terms relating to the property

A condition is something that must happen for the contract to continue.

If the condition is not met by the agreed date, the contract may end.

Common conditions for vacant land include:

Finance clause

The purchase depends on you receiving formal loan approval by a set date.

Subject to sale clause

The purchase depends on you selling your current property within a set timeframe.

You can have more than one condition in the same contract.

A land contract generally outlines:

• The purchase price
• The deposit amount
• The settlement timeframe
• Any special conditions
• Withdrawal rights if conditions are not met

Once a contract is issued, any changes must be agreed to by both parties.

If changes are required (such as name changes, conditions, or settlement dates), these must be updated formally in writing, they cannot be changed verbally.

This is why it is important to review your contract carefully and ask questions before signing.

Your settlement agent or conveyancer can help you understand the contract and confirm if any changes are needed.

Once the contract is signed by both parties and accepted, the purchase price listed in the contract is locked in.

That means the developer cannot increase the land price after the contract is fully signed.

However, other costs (such as government fees or loan-related costs) may change depending on your personal situation or changes to regulations.

Once your contract becomes unconditional, it is legally binding.

This means you are committed to purchasing the land, even if your circumstances change.

For example, changes such as:

• job changes
• relationship changes
• changes in borrowing power
• unexpected expenses

may affect your ability to settle.

This is why many buyers include finance conditions in their contract and seek advice from a broker or settlement agent before signing.

If your circumstances change at any stage, it is important to speak to your broker and settlement agent as early as possible.

When buying land, you may see the terms titled or untitled.

Titled land

The legal title has been issued, and the land is ready to settle.

Untitled land

The land is still being developed, and the title has not yet been issued.

Settlement usually happens once the Certificate of Title is issued by Landgate. The expected title date affects when you can settle and start building.

What happens if titles are delayed?

If you are purchasing untitled land, the title date provided is an estimate, not a guaranteed date.

Titles can be delayed for several reasons, including:

• weather impacts
• construction timelines for roads and services
• approvals from authorities
• surveying and Landgate processing

If titles are delayed, settlement will also be delayed because settlement cannot happen until the title is issued.

If you have finance approval or a building contract underway, it is important to stay in contact with your broker, lender, or builder, as they may need to adjust timeframes.

Encumbrances are rules or rights that may affect how parts of your land can be used.

These can include:

Easements

For example, sewer, drainage or service lines that run through part of your block.

Restrictive covenants

Rules about how the land can be used, such as building height limits or fencing requirements.

Some areas may also have additional planning or bushfire building requirements.

These details are outlined in your contract documents.

A building covenant is a set of design guidelines for the estate.

They help maintain a consistent and attractive streetscape across the community.

Covenants may cover things such as:

• Exterior colours
• Building materials
• Roof design
• Setbacks
• Fencing
• Driveways
• Garaging

They are included in your contract and are also available on the estate website. You should provide them to your builder and designer when planning your home.

Settlement is the final stage of the purchase.

It is when:

• The remaining balance of the purchase price is paid
• Legal ownership transfers to you

The settlement timeframe is written in your contract.

Your settlement agent will guide you through this process step by step.

How long does settlement take?

The settlement timeframe depends on whether your land is titled or untitled:

If the land is already titled, settlement usually happens within the timeframe listed in your contract (often a few weeks).

If the land is untitled, settlement cannot happen until the land is officially registered with Landgate and a Certificate of Title has been issued.

Once the title is issued, settlement usually occurs shortly after, based on the timeframe in your contract.

A conveyancer, also called a settlement agent, manages the legal and financial process of transferring the land into your name.

They will:

• Prepare and lodge legal documents
• Work with your lender
• Organise payment of stamp duty and other fees
• Arrange the transfer of funds
• Ensure the title is correctly registered in your name

They guide you through the settlement period and make sure everything is completed properly.

After settlement:

• The land title is updated to show you as the new owner
• Your settlement agent registers the documents with the land titles office
• Relevant authorities such as the local council and water provider are notified

From this point, you officially own your block and can move forward with building your new home.

Your builder will lodge the plans with Satterley through the BuildPro portal. Assessment generally takes two weeks.

Your submitted plans will be assessed for compliance with the applicable estate design guidelines.

You can usually start building once:

• the land is titled
• settlement has occurred
• the land is legally in your name

If the land is untitled, you cannot begin building until the title has been issued and settlement has been completed.

Some buyers may start preparing early by speaking with builders, choosing designs, or applying for finance, but construction cannot begin until the land is officially settled.