187 The Entrance Road The Entrance Central Coast NSW 2261 Australia

CONVEYANCING

This area of law concerns itself with the purchase and sale of Residential and Commercial property.

All matters associated with property issues, are handled with the highest standards of professionalism and practical advice. The availability of your Solicitor and the ability to respond quickly are key elements.

When these are married with our commitment to exceptional service and care for the client, you know you are in good hands. The following questions may answer some of the ones you may have on this topic.

SELLING A PROPERTY

What does Cutlers the Law Firm do when I am SELLING a Property?

The role of Cutlers the Law Firm is to prepare your sale contract (ensuring it complies with the Vendor Disclosure Regulations) and to ensure you are paid for your property at the conclusion of your sale. Cutlers will also make sure council and water rates are properly adjusted between you and the Purchaser, and that any Mortgage on your property is paid out.

What Happens when I Sell a Property?

When you sell, you are selling ownership to the property. Before offering the property for sale, the law requires you to have draft contracts prepared. These will be prepared for you by us. Once you agree to sell to a Purchaser, you sign the original contract, which is sent to the Purchaser’s lawyer. The Purchaser signs a copy of the contract, which is sent to us. This is what is known as “Exchange of Contracts”.

Once contracts are exchanged and the deposit paid, you are obliged to sell to the Purchaser for the sum agreed, and to give the Purchaser clear title to the property.

If there is a mortgage on your property, Cutlers will arrange for it to be paid out on finalisation of your sale.

Can I Change my Mind?

If contracts have been exchanged, you cannot change your mind, and you are bound to sell to that Purchaser at that price.

How do “Cooling Off ” Rights Affect Me?

Contracts can be exchanged with or without “Cooling-Off ” Rights. Cutlers normally exchange contracts without “Cooling-Off ” Rights, but it will depend on the circumstances.

What do I Have to Do?

If you live in a property being sold, then normally, you are obliged under contract to give vacant possession to the Purchaser on settlement day. Once you vacate the property, you will usually need to give the keys of the property to the agent.

You should cancel the insurance on the property once the sale is complete, as you may receive a refund of part of the premium. About seven days before the sale is finalised, you will need to contact service providers (electricity, gas telephone) to have the meters read.

If it is an investment property, then your obligations depend on whether the tenant is moving or staying.

What Happens on Settlement Day?

A meeting is arranged (attended by Cutlers, the Purchasers representative, and any other interested parties) where the keys and deeds to your property are handed over to the Purchaser’s representative, in exchange for money.

You do not need to attend this meeting. If you have used a real estate agent to sell the property, any deposit would usually have been paid to the agent. On the completion of the sale, Cutlers will arrange for payment of the agent’s sales commission.

The nett proceeds of your sale should be available that day, either for you to collect or to be paid as you direct.

BUYING A PROPERTY

What does Cutlers the Law Firm do in a Property Purchase?

Cutlers the Law Firm will ensure that you get what you contracted to buy, and that you become the undisputed owner of the property. This means checking the contracts for sale, searching the title to the property, checking to see if there are any encumbrances on the property (such as a mortgage or planned resumption), checking the survey, adjusting the rates etc.

When you use Cutlers the Law Firm, your title to the property is guaranteed.

What is “Exchange of Contracts”?

Once you agree to buy a property, you sign a copy of the contract, which is sent to the seller’s Solicitor with the deposit. The seller signs the original Contract, which is sent to Cutlers the Law Firm. This is what is known as “Exchange of Contracts”.

Both the seller and purchaser are then locked into the deal.

Can I Change my Mind?

In most cases, if you pay the deposit and exchange Contracts you will be bound to the Contract. If you do change your mind it will cost you a lot of money.

In some cases following an exchange of Contracts, there may be a “Cooling-Off ” period. Often, however, there is no cooling-off period and you should accept that once you have exchanged Contracts, you are locked in.

What is a Mortgage?

A mortgage is a document which governs the relationship between a borrower and a lender. A mortgage gives the lender a charge over the property, so that if a borrower does not meet his or her obligations, the lender is protected.

If, for example, the repayments are not made as agreed, the lender is entitled to take possession of the property and sell it to recover the money owing. In this way, the property is used as security for the loan. For this reason, a mortgage loan is called a “secured loan”.

What is the Difference Between “Joint Tenancy” and “Tenancy in Common”?

These terms are used when more than one person is buying a property.

In a Joint Tenancy, if one of the owners dies, that person’s share is transferred automatically to the surviving owners, irrespective of the provisions of the deceased person’s Will.

With Tenancy in Common, each owner holds a separate share in the property, and each share can be disposed of separately by sale or through their Will.

What Else Do I Have to Do.

Normally about 10 days prior to the settlement day, Cutlers the Law Firm will notify you of the amount to be paid. This will include the balance of payment on the property, government charges such as stamp duty ( if not already paid), all other expenses, council and water rates and professional legal fees.

This amount will have to be paid to us before settlement by Bank Cheque. You are able to use your cheque for this payment.

It is wise to make a final inspection of the property just before settlement to ensure that all items included in the sale are still there and that the property is in the same condition as it was when originally inspected.

If appropriate, you should arrange immediate insurance over the property, and you will need to arrange for services, such as electricity, gas and telephone, to be transferred to you.

What Happens on Day of Settlement?

On the day of settlement a meeting is arranged (attended by the seller’s representative, Cutlers the Law Firm and any other interested parties such as your bank or building society) and the keys and deeds to the property are handed over in exchange for the money.

There is no need for you to attend this meeting.

Usually, we will arrange for the keys to be available for collection by you from the agent.

The information you obtain at this site is not, nor is it intended to be, legal advice.
You should consult a lawyer for individual advice regarding your own situation.

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