Owner Finance Purchase Agreement Template for Australia

The Owner Finance Purchase Agreement is utilized in Australian property transactions where traditional bank financing is either not preferred or not available. This comprehensive document combines the elements of a standard property purchase agreement with detailed financing terms provided by the seller. It's particularly relevant in situations involving unique properties, commercial arrangements, or when buyers face challenges accessing conventional mortgage financing. The agreement must comply with Australian consumer credit protection laws, state-specific property regulations, and general contract law principles. It includes essential provisions for property transfer, payment terms, security arrangements, default remedies, and title transfer conditions. This type of agreement requires careful consideration of both property law and credit legislation to ensure enforceability and protection of both parties' interests.

1. Parties: Identification of the Vendor/Owner-Financier and the Purchaser with full legal names and addresses

2. Background: Context of the agreement including property identification and intention to enter owner-finance arrangement

3. Definitions: Definitions of key terms used throughout the agreement

4. Sale Agreement: Core terms of the property sale including purchase price and deposit

5. Finance Terms: Detailed terms of the owner financing including principal amount, interest rate, payment schedule, and loan term

6. Security Arrangements: Details of security measures including mortgage and caveats

7. Settlement and Possession: Terms regarding settlement process, timing, and transfer of possession

8. Title and Property Transfer: Provisions regarding transfer of title, including conditions and timing

9. Purchaser's Obligations: Ongoing obligations including property maintenance, insurance, and rates payments

10. Default and Remedies: Consequences of default and available remedies for both parties

11. Insurance Requirements: Mandatory insurance coverage and requirements

12. Costs and Outgoings: Responsibility for various costs, fees, and ongoing expenses

13. Dispute Resolution: Process for resolving disputes between parties

14. General Provisions: Standard contractual provisions including notices, amendments, and governing law

15. Execution: Formal execution clauses and signing requirements