Buying a property can be an expensive and complex process including several financial and administrative duties. Therefore, it is vital that you understand what’s involved in property conveyancing.
What you need to know?
Exchange of contract:
An exchange of contract involves the buyer and seller signing the contract and subsequently physically swapping the contract. Once this occurs the contract becomes legally binding. Therefore, it is extremely important to review & negotiate the terms of the contract, before exchange takes place. Your solicitor will attend to this for you!
Deposit:
Once contracts have been exchanged, the buyer will be required to pay a deposit. The deposit normally amounts to 10%, however this is negotiable. The remaining balance is paid at the time of settlement.
If the buyer is purchasing without a cooling off period, the real estate agent may ask for a holding deposit. Although, you should note that a holding deposit does not mean that the vendor nor real estate agent cannot accept a higher offer and are bound to sell the property to you.
Cooling-off period:
If a cooling off period is in place, after exchange of the contract the buyer will have a few days in which they can change their mind and withdraw from the purchase without incurring great financial loss.
During this period the buyer can ensure they have arranged for finance and complete any final inspections of the property.
Stamp duty:
All buyers must pay stamp duty when purchasing property. There are some people who are exempt for example, first home buyers. Contact us now to find out if you’re eligible for an exemption.
Settlement:
The property is transferred to the buyer on the day the buyer pays the balance of the purchase price (minus any adjustments) to the vendor (this is known as settlement). Your solicitor will prepare for settlement on your behalf.
Contact us now to talk to an experienced conveyancing lawyer!
Phone: 0426810786 Email: zara.legal@outlook.com