Buying Or Selling - What Is Conveyancing?

What is conveyancing? I get asked this a lot! So let's break it down...

Conveyancing is a process where an individual or company transfers ownership of property. It is the legal process that transfers ownership of a property from one person to another. It also ensures that there are no outstanding debts or mortgages on the property.

The steps in the conveyancing process are split into three stages as follows:

 

Pre-contact

Preparation of the contract and vendor statement. When the contract comes into existence, this is when the sale agreement becomes binding and often a holding deposit is paid at this stage.

 

Pre-completion

• Legal searches of title and other documents
• Surveys and valuations (if required)

 

Post-completion

Exchange of contracts. Now, contracts of sale are signed by both parties.

Issue of a mortgage or charge for sale. The balance of purchase money is paid and the title is transferred to the purchaser.

 

Beyond these key steps, the conveyancing process also includes:

• Finding the right property to buy
• Soliciting and negotiating an offer
• Mortgage discharge and/or transfer in the settlement process

 

Do I need conveyancing when buying a home?

There are many reasons why you might need conveyancing when buying a home.

Your conveyancer, and sometimes solicitor as well, will then act on behalf of both parties in order to complete the legal transfer of ownership and ensure that all conditions are fulfilled before completion takes place – this is called conveyancing. Despite its complexity, conveyancing is necessary because it ensures that both parties are satisfied with the terms of their transaction before they enter into an agreement.

 

What does a conveyancer do?

Conveyancers and solicitors are not the same thing. A conveyancer has qualifications specific to conveyancing with a high level of expertise in the field.

A solicitor, however, is a qualified legal expert who may operate in many fields with conveyancing being just one of them.

 

While someone can be both a conveyancer and solicitor, a conveyancer who is not a solicitor cannot advise on matters of property law and is not equipped to handle complicated legal issues.

While a conveyancer will have qualifications specific to conveyancing and will have a high level of expertise in this field, they are limited in the services they can provide. A conveyancer who is not also a solicitor cannot advise on matters of property law, and may not be equipped to handle any complicated legal issues that arise during the course of settlement.

 

Below is a list of what a conveyancer can do for both a buyer and a seller during the home buying process.

For a buyer, a conveyancer can:
✔️Research the property and its certificate of title
✔️Deposit money into a trust account
✔️Create and lodge legal documents, such as a contract or sale, vendor disclosure, and memorandum of transfer
✔️Calculate adjustments of rates, taxes and stamp duties
✔️Settle your new property – they will act on a buyer’s behalf, advise when the property is settled, and contact your bank or financial institution upon payment
✔️Represent your interest with a vendor or agent during sale negotiations

 

For a seller, a conveyancer can:
✔️Complete legal documents
✔️Confirm that the seller is the legal owner
✔️Review the contract of sale and vendor disclosure statement to flag abnormalities or issues
✔️Confirm that the property meets council standards
✔️Advise on contract conditions that could protect you (the seller) during the process
✔️Arrange finances as well as deposits and stamp duty deposits
✔️Researching information that may not have been previously available – like fence disputes or illegal building work
✔️Represent you and your interest when negotiating with the buyer

 

If you are looking to buy or sell or looking for some advice, contact us today!

📞 Jess on 0424 187 162
📧 sales@harbourquays.com.au

 

Disclaimer: This blog post is not to be considered legal advice. If you are seeking specific legal advice we suggest that you consult a legal professional before making any significant decisions in this regard.

Reference: Realestate.com.au