Whether you are a first-time investor or a seasoned investor, having access to a quality conveyancer can save you time and money in the buying process.
This article will outline:
What conveyancing is in property investment
What a conveyancer assists with for buyers and sellers
When you should engage a conveyancer
Questions to ask a conveyancer
What is conveyancing in property investment?
The conveyancing process is a legal process conducted by a qualified professional. It consists of pre-contract, pre-completion, and post-completion stages, purchase dependant.
These three stages include any work needed when an investor buys or sells a property, subdivides land, updates a lands title, or registers or changes an easement.
In property investment, here are 8 examples of when you could need a conveyancer's expertise:
Buying or selling property
Leasing
Subdivision of land
Buying an apartment or house off-the-plan
Updating a title due to divorce or death (or Will)
Checking a company title
Tenants in common apartments
Land tax and stamp duty advice
Who is a conveyancer?
A conveyancer is an individual who has conducted adequate and industry-specific legal studies. They oversee and manage the property transaction from one seller to a buyer, and manage the preparation of any legal documents needed for the transaction.
With differing rules and regulations on a state and territory level, a conveyancer must have documentation that complies with the legal regulations in any given state and/or territory.
What do conveyancers often check
Depending on which side the conveyancer sites are on will dictate their responsibilities.
For example, a conveyancer who is on the buyer's side will check and prepare different documentation, compared to a conveyancer on the sellers' side, and visa versa.
A buyers conveyancer will:
Research the property and the certificate of title
Allocate the deposit money
Prepare and lodge legal documents, such as a contract of sale (COS), vendor disclosure, and memorandum of transfer
Calculate any adjustments or rates and taxes, stamp duties, and other financial obligations
Settle the property
Represent buyers interest with a vendor or their agent
A sellers conveyancer will:
Complete legal documents
Review the contract of sale and vendor disclosure statement to look for any unusual clauses or raise any red flags
Check the property meets council standards
Provide advice on conditions that could protect the seller during the process
Arrange any finances, if necessary
Arrange payments of deposits and stamp duties
Represent the seller through the settlement process
When do you need to engage a conveyancer?
You should appoint a conveyancer as soon as you decide to buy or sell a property.
For buyers, in New South Wales, Victoria and Tasmania, conveyancing is required before you put a house on the market. In Queensland and Western Australia, a conveyancer is required when you accept an offer.
For sellers, you should engage a conveyancer to conduct a pre-purchase review of the contract as soon as you find the property you want to buy.
Remember, your conveyancer is there to protect you, so the more engagement you have with them, the better your interests are served through the process. It also means that the conveyancer can be more prepared when the transaction gets underway.
Questions to ask a conveyancer
Are you a member of the Australian Institute of Conveyancers?
What types of property do you mainly specialise in?
What will it cost? What are your fees? Will I have to pay at settlement? Are there any hidden costs?
How will you communicate with me and how often?
On settlement day, what timeframes are we looking at? This is important if you are arranging furniture removalists and other parties.
---
Next Steps
Looking to get the property investment conversation started?
Or, just looking to stay in the loop?
Meridian Australia
P: (02) 9939 3249
Disclaimer: When considering purchasing a property, it's always prudent to seek the advice of an appropriately qualified professional to determine which strategy is most appropriate for your circumstance.
Comments