Understanding WA Property Sale Contracts

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Understanding WA Property Sale Contracts

Updated • Mandurah, Western Australia

When you buy or sell property in Western Australia, your agreement is built around two core documents: the Offer & Acceptance (O&A) and the Joint Form of General Conditions. Below, we explain what each part means—plus the clauses we see most often in Mandurah deals—and how to protect your interests from offer to settlement.

1) Core Documents in a WA Property Sale

The O&A contains the specifics of your deal (price, deposit, dates, conditions), while the General Conditions set the standard rules that apply to most WA transactions. Together they form the contract of sale once both parties sign.

2) What the Contract Includes

Expect to see:

  • Property title details and legal description
  • Names of seller(s) and buyer(s)
  • Agent and settlement/legal representatives
  • Purchase price, deposit amount and payment timing
  • Balance owing at settlement and settlement date
  • Agreed special conditions (finance, inspections, repairs, etc.)
Agent tip: Dates, amounts and condition wording must align across O&A and annexures to avoid disputes at settlement.

3) “As Is” Sales

An “as is” sale means the buyer accepts the property in the condition viewed at contract date. The seller isn’t obliged to carry out extra works unless written in the contract. Buyers should still arrange appropriate inspections and factor findings into price or conditions.

4) Special Conditions (Examples)

Special conditions are custom clauses added to the O&A. They must be precisely worded and signed/dated by all parties. Common examples in Mandurah include:

  • 48-hour clause: If the buyer’s offer is subject to sale of another property, the seller can keep marketing and require the buyer to go unconditional within 48 hours if a second acceptable offer is received.
  • Building/pest/plumbing inspections: Define the inspector type, timeframe, what constitutes an unsatisfactory result, and remedies (repair/price adjustment/termination).
  • Repairs prior to settlement: Specify the exact works, standards, trades and evidence (invoices/photos) required.
  • Electrical, gas & plumbing in working order: Clarify testing method and remedy timeline if faults are found.
  • Subject to sale/settlement of another property: Include address, dates and what happens if the related sale is delayed.
Legal note: Poorly drafted clauses create uncertainty. Get your agent and settlement professional to sanity-check wording before signing.

5) Subject-to-Finance Explained

If no loan is needed, the buyer can mark finance as not applicable. Where finance is required, the clause should state the approval deadline and (optionally) a preferred lender. Buyers typically must:

  • Apply promptly to at least one lender and use best efforts
  • Provide written evidence of approval or rejection when requested
  • Notify the seller/agent immediately when a decision is made

If finance is declined within the timeframe and notice is given correctly, the contract can be terminated and the deposit refunded. If the deadline is missed, parties may agree in writing to extend. In some cases a finance clause can still be enforceable—timely written notices matter.

6) Key Parts of the General Conditions

The Joint Form of General Conditions typically covers:

  • Encumbrances: Easements, caveats, restrictions on title
  • Deposit handling: How and where the deposit is held
  • Settlement mechanics: Adjustments, delays and penalty interest
  • Possession: Vacant possession terms and timing of keys
  • Risk & default: Responsibility for damage and remedies on breach
  • Strata disclosure: Information the seller must provide for strata lots
  • Services/costs: Allocation of costs for things like underground power or sewer connections

Underground power: Generally, the seller pays if Western Power’s costs were set before contract date; the buyer pays where the requirement/costs arise after contract date or are not yet determined. Check your area plan with Western Power.

Sewerage & septic: If the property can be connected by contract date, the seller is commonly responsible for connection (or paying the buyer at settlement). If not connectable by contract date, the buyer typically bears future connection and any septic decommissioning. Confirm with Water Corporation.

7) Seller Compliance & Safety Items

  • Smoke alarms: Mains-powered for most properties built after certain dates; where impractical, long-life battery models may apply.
  • RCD safety switches: Two RCDs are required before sale under WA regulations.
  • Pool & spa barriers: Fencing must meet Building Regulations prior to settlement.
  • Electrical, gas & plumbing: If agreed to be in working order, ensure testing and rectification before handover.
Agent tip: Get compliance works done early. Non-compliance discovered at final inspection can delay settlement or trigger penalty interest.

8) Fixtures, Chattels & Inclusions

Fixtures are items attached to the property (e.g., built-in cabinetry, hard-wired lighting) and usually stay. Chattels are movable items (e.g., freestanding appliances) and usually go—unless listed as included. To avoid disputes, list every item to remain or be removed (e.g., dishwasher, window treatments, garden sheds, CCTV).

9) Buyer & Seller Checklists

Buyer:

  • Confirm finance dates and approval requirements
  • Book inspections early; specify remedy options in clauses
  • Clarify inclusions/exclusions in writing
  • Read the General Conditions—understand settlement timing and penalty interest

Seller:

  • Prepare safety/compliance (smoke alarms, RCDs, pool fencing)
  • Resolve known faults or disclose as appropriate
  • Be clear on underground power/sewer responsibilities
  • Have invoices/records ready for settlement and final inspection

10) Common Pitfalls to Avoid

  • Vague wording: “To the seller’s satisfaction” invites dispute—be specific.
  • Missed dates: Diarise finance/inspection/settlement deadlines.
  • Assuming items stay: If it matters, list it.
  • Late compliance: Leave time for smoke alarms/RCDs and re-inspection.
  • No extension plan: If finance/works run late, draft a short, signed extension.
Reminder: Unfair terms in standard-form contracts can be struck out under Australian Consumer Law. Aim for clarity and fairness.

Talk to Our Team

Buying or selling in Mandurah? We navigate O&A, General Conditions and special clauses every day—reducing risk and keeping settlements on track.

📞 0457 545 214   |   📧 hello@mandurahcre.com.au

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