FAQ

Every transaction is different. At Clarity Conveyancing, we would expect a standard transaction to take between six and eight weeks to reach the expected settlement date. We endeavour to provide a smooth process, however sometimes circumstances prevent the progression of settlement for a short period. We cannot guarantee timeframes and do suggest that our clients do not make solid arrangements for moving into their new property until a settlement date has been confirmed

Once you have signed the contract, the Real Estate Agent will notify you of the due date of when the deposit is due and the details of where to bank them, most commonly it is due 7 or 14 days from acceptance. At Clarity Conveyancing we make contact the with the Real Estate Agent and ensure that the deposit has been paid, making that condition of the contract met.

Keys can be collected from the Real Estate Agent. If the seller used the property has their primary residence they have till lunch time the day following settlement to vacate the property and you cannot collect the keys till then. If the property was vacant at the time of settlement you can collect the keys as soon as the settlement agent notifies the Real Estate agent the property has settled.

If there is a bank involved most of the time insurance is a condition of the loan and needs to be arrange prior to settlement. It is normal practice to insure the property from the day in which settlement takes place.

If it is a Strata Property please check with your Settlement agent as there may be joint insurance of the complex.

If it is cash then it is in your best interest to ensure that you have insurance over the property.

Please note that if it is an investment property then you can take out landlord insurance.

OR

If buying insurance should be arranged as soon as possible to take effect from the date of settlement.

It is best practice, yes. The Real Estate Agent normally discusses this with at the time of signing the contract.

To alleviate the chances of fraud your Conveyancer is required to identity you by conducting a verification of Identity (VOI) either in person or by asking you to attend Australia Post with an agency specific form.

If you are overseas during the settlement then the VOI procedure is slightly different you will be required to attend the Australian Consulate Office (by appointment) and carry out the verification there.

A settlement date can be agreed upon between both parties through their Real Estate agents, however there are no guarantees as unexpected delays can occur.

Settlement is the finalisation of the sale or purchase process. There are usually 4 parties involved:

1. Settlement agents for buyer
2. Settlement agents for seller
3. Bank for seller
4. Bank for buyer

On settlement, the buyers bank will exchange monies as per the instructions of the purchaser’s conveyancer and, in return, receive the Certificate Of Title and ‘discharge of mortgage’ (if applicable) form the seller’s bank.

Once settlement has taken place the buyer’s bank then registers the Discharge of Mortgage, the Transfer of land and the new Mortgage documents.

Although rare, settlement can be inevitably delayed, usually by a problem with misplaced documentation or a third party holding the process up. Clarity Conveyancing will make best endeavours to ensure the transaction is settled on time, however we cannot provide a guarantee at the outset that everything will be in order by the settlement date. Some common causes of delay include:

• Mortgage lender delays.
• Problems with change of name documents (ie, lost originals)
• Searches or enquiries revealing an unexpected issue
• delays by one (or both) parties
• Issues arising from inspection reports

Transfer duty is a general tax imposed under the Duties Act 2008 on real estate or certain business assets.

Transfer duty is calculated differently depending on the scenario ie General Rate, Residential Rate.

Here at Clarity Conveyancing we are happy to provide you the transfer duty amount if you call our office.

Conveyancing is the legal process of transferring the title of property from one person to another. It also includes liaising with buyers and sellers mortgagee’s, preparing transfer documents and associated declarations, conducting relevant searches on the property and calculating adjustments for outgoings (such as council, water corporation etc).

Buying or selling property is one of the biggest financial transactions of your life. Due to the financial and legal aspects of transferring property, the consequences of making a mistake can be both costly and stressful.

A disbursement are the expenses incurred during the process of searching and obtaining title searches, plans or certificates from government authorities or local councils.

Your local council, Water Corporation and Aqwest and the Body Corporate/Strata (if applicable) will all be notified of your purchase by your settlement agent/conveyancer.

Conveyancer’s understand that they need to be easily understood and fully transparent to their clients, however you must explain all of your requirements and any foreseeable issues to your conveyancer to enable a smooth process. If you have tight time limits, severe financial restrictions or any other special requirements that will impact on the transaction, you must inform your conveyancer. Some beneficial questions include:

• Are you a member of an accredited body, such as the Australian Institute of Conveyancers?
• What is the maximum I may be liable for in fees and charges?
• What are your fees and what is included?
• What government fees and charges do I need to pay?
• How will you keep me informed as to the transaction process?

Costs and expenses arise in all areas of property purchase. These include (but are not limited to):

• Mortgage fees and charges
• Stamp Duty
• Land Office registration fees
• Search costs
• Rates and taxes for your ownership period
• Conveyancing fees
• Moving costs

There are many costs involved in any real estate transaction and it is important to be aware of them to allow them in your budget. Some may be obvious and some can be unexpected and will usually involve (but are not limited to):

• Loan repayments
• Fess and charges applicable to mortgage discharge
• Advertising costs to real estate agent
• Sales commission to real estate agent
• Rates and taxes for the period you own the property in that financial year
• Conveyancing fees and minor administration costs
• Moving costs
• Costs related to specific transactions.

No it is not necessary. Licensed Settlement Agents are experts who specialise in property settlement. Some lawyers are qualified in conveyancing; however it is not a requirement to be both. Holding a license and have the additional memberships like the AIC and CPC is your assurance of your conveyancer’s expertise and qualification.

If they wish. Settlement Agents are licensed to act for both parties as long as they have written consent from both parties. However, if a conflict of interest arises (such as restrictions in advice to be shared), the conveyancer must cease to act for one for in some instance both parties. Conflicts can arise in cases such as delayed settlement, unfulfilled special conditions etc and this all delays your transaction if a mutual conveyancer can not act due to a conflict of interest.

Yes. If you know of a reputable conveyancer yourself, you are welcome to use them for all of your real estate transactions. Your real estate agent may suggest a conveyancer that they are affiliated with or have a working relationship established and this is appropriate if the conveyancer is reputable and you do not know of a conveyancer yourself. You can check your local member’s directory or AIC direct to find your own conveyancer.

Yes. You still need a conveyancer to assist in the prepare the contract of sale and any other documentation required to proceed with the sale.

Transferring a house to your children or another family member involves the same processes as selling. Your conveyancer can ensure you meet your legal obligations but cannot give detailed financial and tax advice about transferring your home to your children.

Yes. All conveyancers who hold a Real Estate Settlement Agents License are required to be protected by professional indemnity insurance to protect the consumer in the unlikely event that something does go wrong.

A lawyer is trained to advise clients on legal rights and obligations in a variety of circumstances and a conveyancer can only assist buyers and sellers with the conveyancing process.

A formal offer is a written confirmation that the buyer wants to purchase the property for an indicated amount with legal obligations to proceed with the purchase.

Caution needs to be exercised when entering into any written agreement as they can result in a binding contract.

Buying ‘off the plan’ means purchasing land or typically an apartment in a complex that does not exist yet. The ‘plan’ mentioned is a drawing on a proposed plan.

You can make an offer to purchase a property at any time, even if it is listed as going to auction. Contact is made with the selling agent to notify them you wish to make a formal offer, providing them, or the vendors conveyancer, with the following particulars:

• Name/s
• Address
• Price offer
• Intended deposit
• Preferred settlement date
• Any special conditions – such as ‘subject to sale’, or ‘subject to building and pest inspections’.

If the seller agrees with the terms and accepts the offer, they will counter sign and a contract is then made between seller and purchaser.

A Certificate of Title is a legal document that identifies the owners of a property. Each certificate is created and issued any time a house is bought or sold to legally transfer the ownership of the property. Certificates of Titles are created by a lawyer or conveyancer and detail all owner and property details.

Title Insurance protects you against legal risks that can threaten the ownership of your property, or affect your right to occupy and use your land. These risks include:

• illegal building works, such as patios or sheds built with council approval
• boundary issues, such as fence line disputes
• fraud and forgery against your certificate of title
• unpaid rates and taxes – from previous land/property owners
• zoning non-compliance

Title Insurance is highly advisable for both buyers and sellers and can be organised by your conveyancer.

Also known as electronic conveyancing, e-conveyancing is a transaction that has been elected to be performed electronically through a secure platform provided by Property Exchange Australia Limited (PEXA).

It is a flexible, modern option that eliminates paper transactions and need for physical meetings, streamlining simple conveyancing processes.