Conveyancing
We are experienced Brisbane conveyancing and property lawyers and have helped thousands of buyers and sellers with their property transactions. Whether you are a first home buyer, ready to sell the family home, or a seasoned property investor, we will guide you with expert advice to ensure you make informed decisions throughout the entire conveyancing process.
What is conveyancing?
Conveyancing is the process of transferring the legal ownership (title) of real estate from one party to another. A property transaction generally involves one of the largest financial decisions a person will make, so it is important to seek professional advice to ensure you understand your legal position.
Signing a contract to buy or sell property creates binding obligations between the parties – the penalties for default on a contract can be significant as to can the repercussions of not carrying out due diligence on a property you are about to buy.
Buying a residential property
Before signing a contract to buy property, you need to ensure you will have the funds needed to complete your purchase, allowing for transfer duty, legal costs, and other associated expenses.
A standard form contract is generally used for the sale and purchase of residential properties in Queensland. The contract includes the legal description of the property and sets out the rights and obligations of each party. The contract should disclose any encumbrances (mortgages, easements, etc.) and include disclosures by the seller about matters such as compliance with swimming pool, electrical safety, and smoke alarm regulations; whether the property is subject to an environmental protection order; and details of renovations, building work and relevant insurances.
The contract is usually prepared by the real estate agent however, as a standard form contract, it may not include important terms that provide extra protection for your circumstances. Accordingly, it is important to take the contract to your lawyer before signing it, to ensure you understand your obligations, and to have any additional terms negotiated and included in the contract.
Building and pest inspection reports from a qualified inspector are recommended when buying residential property. These reports comment on the condition of the structures on the property and can identify significant defects or issues that should be factored into your plans. The outcome of these reports may also be useful to negotiate a reduction in purchase price.
When contracts are signed, the deposit (up to 10% of the purchase price) is paid to the agent or seller’s legal representative and held in trust. At this stage, the buyer should have in place insurance cover for the property.
Purchasers of residential property usually have statutory cooling-off rights allowing them to rescind within five business days of receiving the signed exchanged contract. Buyers who rescind under these rights avoid their obligations under the contract but forfeit 0.25% of the purchase price. Cooling-off rights do not apply when buying property at auction, or they may be waived or shortened by agreement.
After contracts are signed, your lawyer will carry out a range of tasks to ensure you receive clear title to the property on settlement and that completion of your purchase proceeds as smoothly as possible.
Selling residential property
To sell residential property in Queensland, you will need a contract for sale of land prepared setting out the terms of the sale. If you are not using a real estate agent, we can prepare the contract for you. The contract must meet the prescribed regulatory requirements. You should obtain advice specific to your property and circumstances when having the contract prepared.
After accepting a buyer’s offer, contracts are signed, and the deposit is paid to the agent to be held in trust. The contract may be subject to conditions such as financial approval or building and pest reports. Once these are satisfied and any cooling-off rights expired, the contract is binding, and the buyer must complete the purchase. From here, we will carry out further work to ensure that the sale is completed as efficiently as possible. This includes liaising with the other party’s legal representatives, the agent, and any relevant financial institutions.
Settling your conveyancing transaction
Before settlement, buyers are entitled to a final inspection of the property and should arrange this through the real estate agent. The property should have all the seller’s personal items removed (provided they are not included in the sale) and be in the same condition as when contracts were signed, save fair wear and tear.
In preparation for settlement, sellers should arrange for the disconnection of services and ensure that the property is left clean and tidy and that all personal items are removed in time for completion.
The settlement adjustment sheet shows the balance of money to be paid by the buyer on settlement. This will take into account the purchase price, the deposit held, and relevant adjustments such as council rates, water rates and strata fees.
e-Conveyancing
Conveyancing transactions were traditionally completed when the legal and lending representatives met to exchange title documents and bank cheques. Most settlements now have 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 settlement funds.
How can we help?
Conveyancing involves an intricate knowledge of property law and a complete understanding of the processes involved to transfer clear title from one party to another. The complexity of conveyancing is often under-estimated and while many transactions proceed without issue, there are some that do not.
We have a deep understanding of property law and have assisted many clients with a range of conveyancing transactions in and around Brisbane. Our expertise brings peace of mind to our clients who are kept informed about their conveyancing transaction every step of the way.
If you need assistance, email [email protected] or call 07 3855 8880 for a no-obligation discussion and for expert legal advice.