What to Expect When Buying Your First Home

Buying your first home is one of the most significant financial decisions you will ever make. The legal process — conveyancing — transfers ownership of the property from the seller to you. Understanding what happens at each stage helps you avoid costly mistakes and ensures settlement goes smoothly.

Step 1: Contract review

Before you exchange contracts, your solicitor reviews the contract of sale. This is critical. The contract contains the terms of the purchase, any special conditions, and details about the property title. Issues identified at this stage — such as easements, zoning restrictions, or outstanding orders — can be negotiated or may prompt you to walk away before you are legally committed.

Step 2: Exchange and cooling-off

Once both parties sign and exchange contracts, you are legally bound to the purchase (subject to any cooling-off period). In NSW, residential buyers generally have a five business day cooling-off period, during which you can withdraw — though a 0.25% penalty applies. Auctions have no cooling-off period.

Step 3: Pre-settlement searches and checks

Your solicitor conducts a range of searches — council, water, land tax, and title searches — to confirm there are no surprises before settlement. You will also arrange a pre-settlement inspection of the property.

Step 4: Settlement

On settlement day, your solicitor coordinates with the seller's solicitor and your lender to transfer funds and register the title in your name. In NSW, this is now done electronically through PEXA. Once complete, you receive the keys. At Djeric Legal, we guide first home buyers through every step — contact us before you sign anything.