It may be a long time since you bought a house and the processes you need to go through may no longer be familiar. This section explains some of the key things you will need to take into account.
If you have decided you would like to sell your home and buy something more suitable for your current and future needs, you need to work out how you would afford it. For information about this see in the
'Choosing the right type of home' section.
Different styles of housing
You might also want to think about moving to a different style of home from the houses you have previously lived in. Think about whether a smaller garden would give you more time to do some of the other things you have looked forward to doing in retirement. Courtyard homes, terrace houses, villas or townhouses can have some advantages. They generally offer as much security of tenure as a detached house but have smaller yards and lower upkeep costs, while still giving you privacy in courtyards and perhaps a garden.
Sometimes these homes have separate titles. Alternatively, they may be on a strata title. Under a strata title, the land and buildings are subdivided into lots and common property. The lots are the individual units (dwellings) and other areas such as garages or carports that belong to individual owners. Depending on the design of the development, common property may include areas such as stairways, garden areas and service yards.
By law, owners of strata title housing must form a body corporate to control the administration and funding of common property. This means fees are levied by the body corporate so all residents are contributing to costs such as lighting the paths and maintaining the building exterior and gardens. The body corporate committee is usually managed by the unit owners. Sometimes the committee appoints a professional managing agent to look after the accounts and administration. The body corporate usually meets at least once a year and all owners are entitled to attend and raise any matters of concern.
Once you have worked out what kind of place you are looking for and how much you can afford to spend, the main steps involved in buying a property include:
- looking at homes
- expressing an interest in a property
- paying a holding deposit (usually only a small amount)
- applying for a loan or bridging finance (if you need this because you are purchasing a home before you have sold your existing home)
- obtaining building and pest inspection reports
- paying the deposit
- exchanging contracts
- waiting out any cooling-off period that may apply in your state or territory
- undertaking final checks
- making the settlement on the property.
Some of these steps also have to be carried out in relation to the house you are selling.
While you may choose to carry out some of these tasks yourself, most people choose to get expert help. For example, it is common to engage a real estate agent to help with selling and buying. Most people pay a solicitor or conveyancer in relation to the legal aspects of buying and selling. It can be advisable to engage a qualified inspector, with suitable insurance, to carry out the building and pest inspection reports. In some states and territories it is the seller's legal responsibility to obtain building and pest inspection reports, though the seller may be entitled to reimbursement.
If you are considering buying a house or unit where there is a body corporate, you should ask to see the body corporate minutes and the current budget reports. If the body corporate fund is low and the building needs painting or other maintenance work, you need to be prepared to set aside extra money to cover a special body corporate levy which may be needed to pay for this work.
In some parts of Australia it is common for houses to be bought and sold by auction. At an auction, bidders make an unconditional offer, so the sale is fairly certain. Most properties for sale at auction have a reserve price (that is, the lowest amount the seller is prepared to accept for the property). If you are selling at auction and the reserve price is not reached but the bids are close, the auctioneer may stop the auction and give you the opportunity to lower the reserve. If the bidding does not reach your reserve, the property is passed in and not sold. However, the highest bidder has the right to try to negotiate a sale with you.
If you are buying at auction and yours is the successful bid, you will be required to pay the deposit (usually 10 per cent of the purchase price) on the spot. If you buy at auction, remember not to bid above what you can afford. If you are nervous about bidding, you can ask someone else to bid on your behalf.
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How selling your home may affect your pension
If you receive a pension from Centrelink or the Department of Veterans' Affairs (DVA), there are special rules about how the money from the sale of your home will be treated. If you intend to buy another home, in most cases the money from the sale of your home will not counted as your asset for the next 12 months. If, despite reasonable efforts, you have not been able to purchase, build, rebuild, repair, or renovate a new principal home within 12 months, the principal home sale proceeds may be exempt from the assets test for up to 24 months. Regardless of the period of exemption, the proceeds of the sale will be subject to the deeming provisions explained in the
'How deeming works' section.. For more information, contact Centrelink on 13 2300 or DVA on 13 3254. There may also be tax implications. To find out more, talk to the Australian Taxation Office.
The actual move
Moving house and working out what to do with the possessions of a lifetime is a major undertaking. However, good planning can help make the process easier. A key decision is how much of the work you will pay a removalist to do and how much you decide to do yourself.
Deciding how to move
This is a big decision and you need to take into account a number of factors such as insurance coverage, costs, and the impact on your health. It is a good idea to decide first what you will be taking, as this will affect the quotes you receive.
Leaving it all to the removalist
The removalist can pack your possessions (other than items such as passports, jewellery, etc.), transport them to your new home and unpack them. This is the easiest way to move but also the most expensive. You should get three written quotes so you can compare prices and services. The quotes should include:
- packing and unpacking
- hourly rate, or amount for the whole job
- storage, if necessary
- insurance.
If you have special items like a piano, or if you are moving a long distance, verify that the removalist can handle this.
It is very important that you understand what insurance cover applies to your belongings during the removal and any period of storage. Some policies provide full cover for loss or damage from any external cause. Restricted cover, which is less costly than full cover, insures only against specified risks such as fire, flood, collision and overturning of the conveying vehicle during transit.
If your furniture is going into storage, ask the removalist to give you options and prices and check whether charges apply if you need to get something out in an emergency.
Doing your own packing and getting a removalist to do the loading, transporting and unloading
With this option you do your own packing and unpacking. The removalist loads and unloads all of your furniture and packed boxes. You can get written quotes for the move or you can pay the removalist by the hour.
If you choose to pay by the hour, you will need to be well organised to make sure everything is ready at the pickup and delivery points. You will be charged for waiting times. Check what happens if, for example, the truck is delayed by a flat tyre. Ask the removalists to tell you how long they expect the move to take so you can make a proper comparison.
Important: you need to find out about what your insurance cover is in this situation before you decide on this option. Check with your removalist and home contents insurer.
Moving the small items yourself and getting removalists to move the large items
To save money and avoid the really heavy work, you could pack and move the smaller items yourself and get a removalist to move the larger things.
Important: you need to find out about what your insurance cover is in this situation before you decide on this option. Check with your removalist and home contents insurer.
Doing the entire move yourself
You could undertake the removal yourself by hiring or borrowing a truck or trailer and a furniture trolley and, perhaps, asking family or friends to assist. However, moving is very heavy work and requires the right equipment and knowledge. There is always the possibility of serious injury to you or one of your helpers.
Important: you need to find out about what your insurance cover is in this situation before you decide on this option. Check with your home contents insurer.
Tips for do it yourself packing
- Collect boxes in advance from, for example, removalists, retailers of packaging materials, second-hand suppliers, friends, the supermarket or people advertising in your local paper.
- Avoid overloading the boxes.
- Pack separate boxes for each room at your destination, label them according to the room they are intended for and list their contents.
- Seal the boxes securely with packing tape. If you have to return the boxes, check first what sealing is acceptable.
- Pack only clean washed clothes and linen to avoid transferring pests.
- Wrap all fragile items carefully and separately and label them as fragile.
- Identify any dangerous items like scuba tanks and decide whether you will be taking them. If so, carry them separately and safely.
- Think again about whether you want to take little-used items with you or, instead, give them away or sell them.
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Moving day
You are about to move to your new home. You have sold your old home. You have gone through your belongings, sorted them out and sold or given away the things you no longer need. By now, you should know the last date by which you have to be out of your present home. This is usually the settlement date. Now you need to plan your move.
Plan, book and clean up
About six to eight weeks before the move:
- Keep all documents together.
- Book a removalist.
- If necessary, book travel arrangements (if, for example, you are travelling by air or rail to your new address).
- If driving, plan your journey. If you have a long journey to make, consider doing it in stages. Book accommodation, if necessary.
- Ensure there will be someone at both your old and your new addresses when the removalists arrive.
- Arrange for storage, if necessary.
- Get a floor plan of your new home and mark where you want your furniture to go.
- Have a clean up and sell/give away unwanted items. Hiring a skip is an option but you should arrange for it to be located in a spot that will not attract dumping by strangers.
- Start to run down supplies of food items.
- Keep a list of senders' addresses from incoming mail.
- Get boxes, bubble wrap and wrapping paper, sealing tape, labels and marking pens to identify boxes (unless you are leaving the entire process to a removalist).
- Advise doctors, dentist, etc. that you are about to move and discuss transfer of medical/dental records if necessary.
- Organise a farewell, if you wish.
About two to three weeks before the move:
- Ask friends to assist on moving day.
- Arrange final accounts for services.
- Plan how and when to pack things.
- Check in sheds and similar storage places for items to be cleaned and packed or disposed of.
- Separate items for packing now/later.
- Wrap china and glass in white paper (newspaper smudges) and line boxes with bubble wrap.
- Use larger boxes for lighter things like sheets and towels.
- Use small boxes for heavy or fragile items such as books or glassware.
- Keep essential or valuable items not to be packed separate. Clearly define area.
- List items in each box in a notebook.
- Mark fragile boxes.
- Ensure you have adequate supplies of any prescription medication to cover the time of the move and at least a few days later.
- Make arrangements for pets to be cared for before and during the move.
- Update your pets' immunisations and ensure you have the certificates.
Final week:
- Arrange connection of services, like phone and electricity at your new house.
- Wash items from laundry hamper etc. before packing.
- Notify people (including Centrelink or DVA if you deal with them) of your change of address-use addresses you collected from incoming mail.
- Arrange redirection of mail. (Australia Post requires three full business days to process your request before the service can commence.)
- Confirm removalist arrangements.
- Reconfirm house sale/purchase details, such as when you need to vacate your current property and when you will have access to your new home.
- Return library books/borrowed items.
- Pick up lay-bys, dry-cleaning and repairs.
- Cancel deliveries-milk, newspapers.
Final check up and clean up-last days:
- Ensure you are prepared to make necessary payments to removalists etc.
- Clean and defrost fridge.
- Prepare special equipment such as washing machine, fridge, computer or sound system for removal according to manufacturers' instructions.
- Empty water beds.
- Have final clean out.
- Get rid of flammables, and of any other items neither you nor the removalist can transport.
- Start to pack valuables and other things you will be carrying with you, keeping them separate.
- Confirm time with friends who will assist.
- Keep medication and important documents safe, separate and accessible.
- Borrow extra cleaning equipment from a friend or relative.
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Moving-last day:
- If possible pack your car first-keep it locked.
- Check and clean rooms as cleared.
- Return borrowed items.
- Throw or give away left over food etc.
- Read meters and turn off the power and all gas and electrical equipment.
- Sort out which keys to take and which to leave.
- Leave contact details for the new owner.
- Check nothing has been accidentally left, such as pets, keys.
- Remember to take regular rest breaks and drink plenty of fluid.
Moving in and unpacking
Congratulations-you have arrived at your new home! No matter what your age, moving can be very tiring. Make sure you take plenty of rest breaks and do not try to lift things that are too heavy-get some help instead. Remember to take your regular medication, allowing for any changes in time zone.
Settle pets first. If you have a pet, it will probably be confused. Make sure it is settled and has water. Usually the familiar water bowl, bedding, a little food and some attention will be enough reassurance.
After you have moved in
To settle in quickly, it's useful to get into new routines. Here are four good things to start with.
- Decide where you will leave your keys, medications and wallet or handbag. This will make finding things easier.
- Switch on the power and turn on the water supply if necessary. You may also need to turn on the gas furnace and the hot water service. Make sure you know where the mains water supply tap (usually near the meter), the gas meter and the electrical fuse box are located.
- Put a list of important numbers by the phone. If you had stored numbers for automatic dialling on the phone at your old address, re-program your new phone. If you need help, call your telephone service provider.
- Arrange for deliveries, such as newspapers.
Where to start unpacking
The first things you will need are probably in the kitchen to make a hot drink or prepare a meal. Check the manufacturers' instructions for how long the fridge should rest before being turned on. Then get the fridge going as soon as possible so you can store perishables. Next make up a bed to sleep in - if you are not staying elsewhere. Once your bed is made, you can have a rest any time you like.
Check your insurance
If you have purchased the house, you should ask your solicitor when you should start to insure it. This is usually when the sale becomes unconditional. You should also notify your contents insurer of your new address. If you have had any breakages or losses during the move and you had the appropriate insurance, make an insurance claim as soon as possible.
Update your will
When your circumstances change you may need to update your will. For example, if you move to another state or territory your decisions over inheritance can be affected. If necessary, make an appointment with a solicitor to update your will. At the same time, check that any enduring power of attorney is still valid, especially if you have moved interstate.
Go and meet the neighbours
Even if you do not want to be too friendly with your neighbours, it is a good idea to make an effort to meet them. If you do, you will know who lives around you and you will recognise anyone who does not belong near your place. As an introduction, you could ask on what days the garbage is collected.
Get rid of packing materials
If you have hired packing boxes or they were supplied by the removalist, you will need to tell them when they are ready to be collected. If you bought them, you can advertise to sell them. It is best to get them out of the way as soon as possible.
Re-establish your social life
After all the effort of moving, you may feel a bit flat after things quieten down. You may feel homesick but this is not the time to lock yourself away. Remember, you decided to move to improve your lifestyle. Here are some things you can do:
- Have a house warming. Invite your friends and neighbours over so they can admire your new home.
- Join your favourite clubs to make new friends.
- Visit the local council or library to get details of activities, clubs, groups or services that are of interest to you. Above all, enjoy your new home and surroundings.