Can you make an offer before a contract review in NSW?

Know the stage

An offer and an exchange are different decisions.

NSW Government guidance lists getting the sale contract, having it examined, arranging finance pre-approval, and then making an offer as the preparation sequence. Offers can be verbal or written; writing helps keep a record of the price and terms discussed.

Until contracts are exchanged, the seller may keep negotiating with other buyers. An agent saying an offer is accepted does not, by itself, reserve the property. Exchange takes place when the parties exchange signed contracts; that is when the sale becomes binding.

If the agent asks you to sign, pay a deposit or exchange before your review is complete, ask exactly which step is proposed. A refundable expression-of-interest payment before exchange is different from the deposit paid on exchange.

Before exchange

Four things to clarify while the offer is moving.

1 · Get the complete contract

Ask for the Contract of Sale and relevant attachments early. For a unit, ask what strata material is available and whether a separate report is needed. A property contract review can identify questions to raise before exchange.

2 · Put proposed terms in writing

Confirm the price, deposit, settlement date and any request about inclusions, vacant possession, access or inspections. Saying an offer is “subject to review” does not itself change the sale contract. Have your legal representative confirm agreed amendments with the seller’s representative.

3 · Name what remains unchecked

Be clear about finance status, building and pest inspections, strata records, and any limits on property access. Pre-approval is not the same as final loan approval. Your solicitor or conveyancer can help you decide which checks and contract terms matter for this property.

4 · Confirm the exchange date

Tell your legal representative when the agent wants an answer, whether an auction is scheduled, and whether anyone has asked you to waive cooling off. If time is short, ask what review scope is available before deciding whether to proceed.

Cooling off is a separate question

Do not treat cooling off as a free contract review window.

For a typical NSW residential private treaty purchase, the statutory cooling-off period starts at exchange and ends at 5 pm on the fifth business day after the day of exchange. If the buyer rescinds during that period, the seller is entitled to 0.25% of the purchase price. The period can be changed by written agreement, and a buyer may waive it with a section 66W certificate after seeking advice.

There is generally no cooling-off period when a property is bought at auction or contracts are exchanged on the same day after the auction is passed in. Off-the-plan contracts have a different period. The actual contract and transaction stage matter more than an agent’s shorthand description.

If the contract or strata report has not been reviewed, ask your legal representative about the consequences of exchanging now. For the broader steps after an offer, see buyer-side conveyancing in Sydney.

If you are buying your first home

Keep the next decision small and specific.

You do not have to solve the entire purchase in one call with the agent. Ask for the contract, put your proposed price and terms in writing, identify the review and inspection questions, then confirm the exchange step with your legal representative. Our first-home-buyer conveyancing guide explains the wider path from contract to settlement.