Property Law: Conveyancing

CONVEYANCING

Conveyancing is a process of transferring the ownership of property from one party to the other.

We do anything to do with Titles in Victoria, which includes:
i. Buying property
ii. Selling property
iii. Transferring ownership of property between related parties – full or partial interest
iv. Transmission of ownership to executors, or survivorship
v. Subdividing or consolidating land
vi. Creation or discharge of “interests” on a parcel of land – e.g. mortgage or caveat
vii. Replacement of a lost paper Certificate of Title

PEXA is an electronic settlement system, which has been made mandatory in Victoria for most of the Conveyancing matters since 1 October 2018. Traditionally, settlement used to happen manually at the location suggested by the Vendors conveyancer, mostly in the CBD. 

During the manual settlement, all the parities naming Vendors legal representative, purchasers legal presentative, vendors bank (if property is mortgaged) and purchasers’ bank (if incoming mortgagee is involved) used to meet at the settlement location in order to exchange the documents and cheques. Once the documents and cheques where exchanged, settlement was called as a success. 

Although the purchaser would not have become the legal owner until the transfer documents were lodged with the land use Victoria post settlement.

Now with the Electronic Settlement, all the parties use the PEXA, to create the documents and financial statements. After the successful completion of settlement in the PEXA system, all the documents get transferred and lodged at the real time, making the purchaser becoming the legal owner immediately after the settlement.

Review of the Contract

Conveyancers at Singh Ausin Lawyers can review your contract, before you sign the contract. We can provide you with critical information, and highlight the issues which might be oppressive to your interest.

Buying property subject to Finance

A contract can be based on the condition that it would only progress when the purchaser has obtained finances from one of the mortgages (bank).

If you are buying property by taking a loan from one of the banks please insure the property is subject to finance.

Please contact Singh Ausin Lawyers to assist you with proper advice on how to make contract subject to finance.

Buying property subject to Building and Pest Inspection

A contract can be based on the condition that it would only progress when the purchaser has obtained building and pest reports from an independent and qualified practitioner.
Please contact Singh Ausin Lawyers to assist you with proper advice on how to make contract subject to building and pest inspection.

What do we mean by unconditional Contract

The contract which is not dependent on any conditions or on which all conditions have been satisfied. Once the contract is unconditional, it is not possible to end the contract without incurring penalties.

What is Final Inspection

Purchasers can do a final inspection within 7 days of settlement.

Please arrange the time with the Real Estate Agent. The objective of your inspection is to determine if there is any change in the condition of the property since the day of sale (when the contract was signed).

Contact us if you have concerns with regard to changed conditions. We cannot delay your settlement, but we can withhold up to $5,000 of the settlement money as per General Condition 24.

What is Statement of Adjustments

Statement of adjustment is created to apportion all the outgoings between the vendor and purchaser on the pro rata basis.

Vendor is responsible for all the outgoings up until the date of settlement.

After Settlement

During the conveyancing process it is Purchasers responsibility to arrange for gas, electricity and telephone to be connected to your property. You should contact your chosen service providers a few days prior to settlement.

After settlement our conveyancers notify Council, Water Authority, Owners Corporation manager (if applicable) and the Land Tax office that you are the new owner of the property.

Our conveyancer will notify you a tentative time of the settlement, so that you can arrange a meeting with the Real Estate Agent in order to collect your keys.

Our conveyancer will notify you as soon as your settlement happens successfully.

Caveat

We may recommend that you protect your interest in your property by having us place a purchaser’s Caveat on the title, which would forbid any dealings on it (i.e. mortgage, transfer to another party) until your Transfer is registered after settlement.

Please contact Singh Ausin Lawyers to assist you in release of your deposit prior to settlement.

What is section 32

By law all the vendors have to disclose certain important facts about the property to perspective buyers. This information is provided in the form of Vendors statement.

Vendors statement also commonly known as section 32 as it is obligation under section 32 of Sale of land Act 1962 (VIC).

Selling property with Real Estate Agent

Normally real estate agent is the first point of contact who can provide you with an appraisal (value) of your property. Once you appoint an agent, he/she would advertise the sale of your property, and facilitate buyers to give their offers to you.

Selling property without a Real Estate Agent

If you already have a buyer, and don’t want to engage the services of a real estate agent Singh Ausin Lawyers can assist you with your contract of sale.

It is important to have deposit paid into Singh Ausin Lawyers Trust account, rather than your personal account.

What is Section 27

As per law the deposit paid by the purchasers remains in the trust account and can only be released to the vendor after the time of settlement.

Section 27 of Sale of Land Act 1962 (VIC) allows vendor to request an early release of deposit funds prior to settlement. 

However, the purchaser may object the release based on certain conditions such as loan on property is more than 80% of the sale price or there is a caveat on the property.

Please Contact Singh Ausin Lawyers to assist you in release of your deposit prior to settlement.