The decision to sell a property, whether it’s your family home or an investment is a big one and may come about for various reasons. The first step is to have a contract prepared setting out the terms of the sale. Your Agent will usually prepare the Contract and our conveyancing team can review your contract to ensure these obligations are met and explain your position as a seller.
If you are not engaging an Agent to sell the Property for you, we can assist in the preparation of the Contract.
There are certain disclosures which must be made when drafting a contract. As each Property is different, you should obtain advice specific to your Property and personal circumstances before signing a Contract.
A Purchaser may terminate a Contract if you do not provide the required disclosures.
After accepting a buyer’s offer, The Contract is signed and the deposit is paid to the agent to be held in trust. The contract may be subject to conditions such as finance approval or building and pest inspection reports. Once these conditions are satisfied and any cooling-off periods have expired, the contract becomes binding and the buyer is obliged to complete the purchase.
After signing, your lawyer or conveyancer will undertake further work to ensure the sale is completed as efficiently as possible. This includes:
- if there is a mortgage, providing you with the correct form to notify your lender to prepare for the mortgage to be released at settlement;
- liaising with the agent to confirm the amount of deposit held;
- liaising with the buyer’s lawyer to ensure that their legal obligations are met;
- handling any enquiries from the agent / buyer’s lawyer regarding the property;
- checking transfer documents and witnessing signatures;
- checking settlement figures received from the buyer’s lawyer;
- confirming the balance of loan with the lender;
- preparing for and attending settlement.
In preparation for settlement, you should arrange for disconnection of electricity and other services. The buyers are entitled to a pre-settlement inspection just before settlement and you will need to ensure that the property is left clean and tidy, vacant and with all personal items and excluded chattels removed in time for settlement.
The settlement statement will show the balance of money to be received from the buyer on settlement. This will take into account the purchase price, the deposit held by the agent and adjustments such as council rates, water rates and strata fees.
Conveyancing transactions were traditionally completed when the legal and lending representatives met to exchange title documents and bank cheques. Most settlements have now moved to an electronic platform through Property Exchange Australia (PEXA). Electronic conveyancing enables lawyers, conveyancers and financial institutions to lodge documents and complete settlements online providing greater convenience and faster access to cleared settlement funds.
After settlement, the agent is authorised to release keys to the buyers and account to you for the deposit held, less their agreed commission / selling fees.