Should I go unconditional on property contract?

Going unconditional means making an offer without any finance clause. While this approach carries more risk, there are times when it can work in your favour.

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Going unconditional on the property contract

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Should I go unconditional on property contract
You are confident in your finance
If you already have formal loan approval or your financial situation is very strong and straightforward, going unconditional may be a calculated risk worth taking. This is especially true if your broker confirms everything is in place and your bank is ready to go.

 

It gives you a competitive edge
In a hot market or when multiple buyers are interested, going unconditional can help your offer stand out. Sellers often favour unconditional offers because they are less likely to fall through, and settlement can move faster.

 

The property is going to auction
In most auction sales, buyers must bid on an unconditional basis. If you are planning to buy at auction, you will need to have your finance arranged ahead of time, including a completed property valuation if possible.

 

Your broker is backing your position
Working closely with a mortgage broker gives you more insight into whether going unconditional is genuinely a safe option for you. We can assess the status of your loan, liaise with your lender, and confirm what needs to happen before making a no-conditions offer.

 

However, be aware that if your finance falls through after going unconditional, you may lose your deposit and face legal consequences. This is why we strongly recommend speaking with us before making that call.

Why making an offer subject to finance is a smart move:

You’re not locked in without a loan

Making your offer subject to finance means you’re not committed to the purchase if your home loan is declined. If your bank doesn’t approve your application, you’re not left scrambling to buy a property you can’t afford. This clause gives you a clear, legal way to walk away.

 

It protects your deposit

If your finance falls through and you didn’t include a finance clause, you could lose your deposit or even face legal consequences. Including this condition in your offer helps safeguard your finances.

 

You get time to finalise your loan

A finance clause usually gives you between 7 and 21 days to finalise your loan approval. This includes time for your lender to complete a property valuation and confirm any outstanding approval conditions. When you work with our mortgage brokers, we help you manage every step so you don’t need to feel rushed or overwhelmed.

 

You’re being smart, not taking risks

Including a finance clause shows the seller that you are serious about the purchase, but also that you are approaching it responsibly. It gives both sides confidence that the transaction will go ahead once the finance is confirmed.
How long does a finance clause last

How long does a finance clause last?

Most finance clauses run for 7 to 21 days from the date the contract is signed. The exact timeframe depends on the property, how flexible the seller is, and how quickly your lender can move.

Shorter clauses may be more appealing to sellers, but only if you are close to full loan approval. If you have only just started your home loan process, ask for at least 14 days so you have enough time to secure your finance.

Partnering with one of our brokers makes this easier. We can liaise with your lender, manage paperwork, follow up on approvals, and keep everything moving quickly so you are more likely to meet your deadline with time to spare.

Can sellers reject an offer with a finance clause?

Yes, they can. A seller may choose to reject or negotiate your offer if they are looking for a faster or unconditional sale.
 
However, this doesn’t mean your offer won’t be accepted. In slower markets, sellers are often happy to consider offers with finance clauses, especially if they are dealing with serious and motivated buyers. In competitive markets, you may need to show pre-approval and keep the finance clause as short as possible to stay competitive.
 
If you are unsure about what terms to offer, speak with our team. We can work with your real estate agent or buyer’s agent to help you make an offer that balances buyer protection with seller appeal.
 
For more insights into how different sales methods affect your strategy, take a look at our guide on private sale versus auction.
Can sellers reject an offer with a finance clause

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Meet our First Home Buyer Specialists

Minji Kim

Minji Kim

Finance Broker
Albert Kavcic

Albert Kavcic

Finance Broker
John Empey

John Empey

Finance Broker
Richie Kasai

Richie Kasai

Finance Broker
Sally Whitworth

Sally Whitworth

Finance Broker
Russel Shaw

Russel Shaw

Finance Broker
Sharon D'Costa

Sharon D’Costa

Finance Broker
Matthew Papuga

Matthew Papuga

Finance Broker
Matthew Mannaert

Matt Mannaert

Finance Broker

First Home Buyer Guide

Am I ready to buy a house?

What is a first home buyer?

Will I be able to get a loan?

Is my Credit History and Rental History important?

Buying versus renting

How much deposit do I need?

Understanding deposits

How to meet the banks genuine savings rules

Deposit calculator

Grants and schemes for FHB's

First Home Owner Grants

First Home Guarantee Scheme

Latest government announcements to help FHB’s

Getting finance pre-approval

Pre-approval process

Benefits of getting a pre-approval

Are all pre-approvals equal?

Mortgage brokers vs Banks?

Why use a mortgage broker?

How much does a mortgage broker cost?

Are all mortgage brokers equal?

How to buy a property

Pre-approval process

Benefits of getting a pre-approval

Are all pre-approvals equal?

Preparing for settlement

Going unconditional on the property contract

What does a converyancer/solicitor do for a property purchase?

What happens on the day of settlement?

Managing your mortgage

Understanding loan repayments

Extra repayments, redraw and offset accounts

When is the right time to review your home loan?

Get the answers to your questions.


One of our team will touch base within four business hours.