Buying or selling a property involves what is known as a conveyancing process. It is best to talk to a professional like us to get to grips with the various stages of the conveyancing process, it is best to speak to a professional like us. Remember, obtaining legal advice when buying or selling property is important. A professional property conveyancer provides advice and service before a purchase or following a sale. The conveyancing process in NSW entails the following:
- The pre-contractual stage occurs before the contract of sale is signed. It involves preparing legal documents, reviewing the contract of sale, and conducting property inspections.
- The exchange of contracts between buyer and seller is when the contract becomes legally binding.
- In New South Wales, the buyer has a five-day cooling-off period after exchanging contracts, and they want to change their mind. If the buyer opts out during this time, a penalty of 0.25% of the purchase price is payable.
- Settlement is the final stage of the conveyancing process. This is when the purchase price is paid, and the property title is transferred from the seller to the buyer. Upon settlement, the buyer’s conveyancer confirms that all necessary documentation is completed correctly.
- Post-settlement involves the conveyancer registering the transfer of title with the relevant authorities and ensuring any outstanding rates or taxes are paid. Following this last step, the buyer can take possession of the property.
The Process of Buying a House in NSW
There are various steps in buying a house in NSW. Firstly, you must be pre-approved for a home loan before you begin house hunting. This determines your budget and saves a lot of time and effort upfront.
Bearing in mind your budget, start to search for houses that meet your needs. When buying a house in Sydney, the process starts with looking online, visiting open houses or showings, or contacting a reputable real estate agent. Remember that to avoid problems and extra costs later, find out as much as you can about the condition of any potential home. This is an integral part of the process of conveyancing in NSW.
Take an online virtual tour to get a sense of whether a particular home is right for you before you commit to inspecting it in person. The latter involves looking for any defects as well as any standout features. As most inspections are relatively quick, remember to focus on the general condition and age, fixtures and fittings, storage space, car parks or garages, and other factors like access to public transport and schools.
When the Sale Becomes Legally Binding
Once this is done, you are handed the keys to your new home! Remember that the NSW conveyancing process involves various steps, so it is always a good idea to consult with a professional, especially as you commit to a major financial decision.
Note that a seller must have the contract of sale prepared prior to offering a property for sale. The seller must also provide a Section 149 certificate from the local council with zoning details and other information, a sewerage diagram, a copy of the title folio from the Land and Property Information NSW, copies of all documents creating easements or restrictive covenants, a cooling-off statement and notice directing parties to the Conveyancing Act 1919 (Section 52A) and the Conveyancing (Sale of Land) Regulation 2000.
If all this information is not included, you may be entitled to cancel the contract within 14 days of exchanging the contract. You may also reserve the right to cancel if the seller breaches certain warranties required by the Vendor Disclosure and Warranty Regulation.
Make an Informed Decision
Whether buying a house or land in NSW, the property-buying process can appear daunting. Be sure to get in touch with a professional to guide you through the various steps so you know what is going on at all times and can make an informed decision.