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Conveyancing When Selling Property

Conveyancing is the process of transferring ownership from one person to another when buying or selling property. This is done by licensed conveyancers of property lawyers and can take up to 8 weeks to finish. A conveyancer takes care of all the legal aspects of the process and negotiates with the other party on your behalf. It is important to understand the process of conveyancing if you are trying to sell your home. It will you understand what is going on during the transaction and will help ease any stress or anxiety on your part. This will also ensure that you can meet all the legal and financial requirements expected of you. Although both the buyer and the seller must go through the conveyancing process, the legal obligations will be slightly different on each side. The seller is responsible for taking care of several obligations as part of the conveyancing process. This includes the following areas:

Usually, the vendor will be responsible for preparing the Contract. The contract will be drawn up by your conveyancer. At the same time, the vendor must provide an official Vendor’s Statement. The conveyancer or solicitor will prepare this for you. A purchaser does not need to worry about the Vendor’s Statement, but they may wish to undertake their own title searches to help verify the details in the statement. This will be up to the purchaser and his or her own solicitor or conveyancer. In addition to the Contract of Sale and Vendor’s Statement, the seller is also responsible for turning over a Certificate of Title. This title should be free of any encumbrance, other than what has previously been agreed to during negotiation. Because the vendor is the owner of the property, they should be the ones in possession of this title document. However, if there is a mortgage it might still be held by the bank. In any event, it’s the buyer’s duty to turn it over to the purchaser to help complete the conveyancing process.

Other things to remember:

Costs: Although it costs money to pay for professional conveyancing, the seller generally pays less than the purchaser for these services. Moreover, the transaction is riskier for the purchaser than it is for the vendor, which requires their conveyancer to do a bit more leg work. If you don’t have a mortgage on your property and your real estate agent has prepared your Contract of Sale, then your costs will also be correspondingly lower. The more tasks that a conveyancer or solicitor must take care of as part of the conveyancing process, the higher they will charge. However, every conveyancer or solicitor may charge different rates so it’s best to check on this in advance and compare prices. On the other hand, disbursement costs will usually be higher for sellers than when you are purchasing a property, however. This is because of the searches that are required as part of the research for the Vendor’s Statement. Although the purchaser can potentially rely on the information presented in this statement, the vendor is legally obligated to provide this information and must pay for the compulsory searches to back it up.

It is also important to note that there are other factors included. For example, if you have a tenant in your home it is your duty to notify the tenant to vacate the premises before completion. Tenants have rights regarding the notice they must be given to move out, so the vendor must ensure that they are meeting all time requirements according to State or Territory legislations. Owners of rental property often work with a property management company or real estate agent, who may be able to provide advice in this matter.
Being prepared is the easiest way to avoid unnecessary stress. Having knowledge before-hand will help ensure the transaction is smooth, easy and hassle-free.

Posted by on 11/04/2016 in Sale of property

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