Buying or selling a home is a big decision, and understanding the steps involved can make things a lot easier. One important part of this process is conveyancing – the legal process of transferring ownership of a property from one person to another.
In this guide, we’ll explain the conveyancing process in Melbourne in easy-to-understand steps, so you know what to expect and how it works.
What Is Conveyancing?
Conveyancing is all about making sure the legal details of a property sale are taken care of. It involves checking the property, preparing important documents, and making sure everything is in order before the property officially changes hands.
In Melbourne, a conveyancer (or solicitor) is a licensed professional who helps with this process. They handle all the paperwork and legal work to make sure the sale goes smoothly.
Step 1: Find A Conveyancer or Solicitor
The first step is to hire a conveyancer or solicitor. This is the person who will take care of all the legal work for you. They will:
- Check the property’s title
- Review the sale contract
- Communicate with the other party’s lawyer
- Handle the transfer of money
It’s important to choose someone who knows Victoria’s property laws since each state in Australia has different rules. A good conveyancer will guide you through the process and make sure everything is done properly.
Step 2: Reviewing The Contract Of Sale
Once you’ve chosen a conveyancer, they will review the Contract of Sale and the Section 32 Vendor’s Statement. These are the documents that outline all the important details about the property and the sale.
The Contract of Sale includes:
- The sale price
- Settlement date
- Any other terms of the sale
- Any conditions, like finance approval or building inspections
Your conveyancer will carefully check these documents to make sure everything is clear and fair. They will look for things like legal restrictions on the property or unpaid mortgages, and explain anything you don’t understand.
Step 3: Doing Property Checks and Inspections
Before you finalise the deal, it’s important to do some property inspections. A building inspection checks the structure of the property to make sure there are no serious issues. A pest inspection checks for things like termites or other pests.
Your conveyancer might also check:
- If there are any restrictions on the property (like easements)
- Any land tax liabilities
- Whether the property is heritage-listed
If any problems come up during these checks, your conveyancer will help you decide what to do. They might be able to negotiate changes to the contract or advise you on your options.
Step 4: Signing The Contract
Once all the checks are done and you’re happy with the property, you’ll sign the Contract of Sale. At this point, you’ll usually need to pay a deposit (about 10% of the purchase price).
The contract will also set the settlement date, which is the day when the property officially becomes yours. In Melbourne, the settlement period is usually between 30 and 90 days, depending on what both the buyer and seller agree to.
Step 5: Finalising Your Finance and Insurance
After signing the contract, it’s time to get your home loan (if needed) approved and arrange insurance for the property. Most banks will want the property to be insured from the moment you sign the contract.
Make sure your finance is ready to go before the settlement date. Your conveyancer will work with your bank to make sure the money is ready for settlement.
Step 6: Pre-Settlement and Final Checks
Before the settlement day, your conveyancer will do some final checks to make sure there are no last-minute surprises. This might include checking that any repairs have been done or that the property is empty if you’re buying it to live in.
You should also do a final inspection of the property to make sure it’s in the same condition as when you agreed to buy it.
Step 7: Settlement Day
Settlement day is the day when the property officially becomes yours. On this day, your conveyancer will:
- Transfer the rest of the money to the seller
- Adjust any rates, taxes, or utility bills
- Lodge the necessary documents with the authorities
You don’t need to be there in person – your conveyancer will handle it for you. Once everything is settled, you’ll get the keys, and the seller will receive the money from the sale.
For a detailed breakdown of what happens on settlement day, check out our blog: What to Expect on Settlement Day as a Property Buyer or Seller.
Step 8: After Settlement
After the settlement, your conveyancer will make sure that your name is officially registered as the new owner of the property with the Victorian Land Registry. They will also notify the local council and other relevant bodies that the property now belongs to you.
Finally, your conveyancer will send you a statement showing all the costs and payments involved in the process.
Wrap Up
While the conveyancing process can seem complicated, it’s much easier to manage with the help of a good conveyancer or solicitor. At Eagle Peak, we simplify the conveyancing process in Melbourne with our expert team guiding you every step of the way. Trust our experienced conveyancers in Melbourne to handle your property transaction smoothly and efficiently.
By following these steps, you’ll have a clearer idea of what’s involved and can move through the process with confidence.
Whether you’re buying your first home or selling a property, understanding the conveyancing process will help you avoid mistakes and make sure everything goes smoothly. Just remember to work with trusted professionals and take your time to ensure everything is done correctly.
