Settlement Day: What to Expect When Buying Property
Are you new to the property buying process and curious about what happens on settlement day? You're in the right place! Let's break it down for you.
Understanding Settlement Day
Settlement day is the big moment when ownership of a property officially changes hands. This seamless transition is orchestrated by our legal team, working in tandem with financial experts and representatives from the seller's side. The specific date is clearly outlined in the sales contract, typically falling within a 30 to 90-day period after both parties sign the contract. However, flexibility exists, allowing for adjustments to suit everyone involved.
What Happens on the Day?
We handle the intricacies of settlement day, coordinating with your lender and the seller's team to perform some paperwork magic. The best part? Whether you're the buyer or the seller, your physical presence is not required. Here's a breakdown of the process:
Financials: We work with your lender and the seller's team to finalise the purchase price, along with any government fees and duties. All outgoing expenses like rates, water charges, and strata fees are settled between the seller and you, with you responsible for these expenses from the day following settlement.
Paperwork: We meticulously review and process all necessary documents, ensuring they are promptly dispatched to the appropriate authorities. The certificate of title is then officially transferred to your name, marking the property as yours.
Handover: Once all is said and done, the keys are handed over by the real estate agent, and voilà, you've officially acquired your new property!
How you prep for settlement
Stay organised with the paperwork. For settlement to run smoothly, it’s important you provide all the necessary paperwork up front. We will complete and submit all the necessary docs to transfer the property title to your name. And we will get you to review the settlement statement, which outlines exactly what you will be paying on settlement day. Your broker or lender can talk you through any loan application docs required.
Complete a pre-settlement inspection: Take advantage of your entitlement to inspect the property before settlement, ensuring it's in the same condition as when the sales contract was signed. Avoid surprises by checking everything before opening the front door.
Organise insurance: Stay on top of insurance requirements by checking the date for building insurance. Rules may vary by state and territory, so make sure you have this aspect sorted according to the regulations.
If you're eyeing a property or planning to sell in the future, reach out to Leisa to help you navigate the complexities of settlement day and ensure your property journey is smooth and stress-free:
Leisa Lake, Property Paralegal
Direct line: (07) 3310 8716
Email: Leisa@hewlettlegal.com.au
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