The Four Stages of a Conveyancing Transaction – Sellers Part 4 Settlement & Post Settlement

SETTLEMENT / POST SETTLEMENT – SELLER

INTRODUCTION

There are essentially four stages that cover the breadth of the conveyancing process:

1. Pre-Contractual;
2. Conditional;
3. Unconditional; and
4. Settlement/Post Settlement.

Each of these stages offers its own risks.

SETTLEMENT/POST SETTLEMENT

The importance of this stage, which covers the settlement process and the following period, is often overlooked and matters can “slip through the cracks” as a result.

Settlement

Your solicitor will generally attend settlement on your behalf and will manage all aspects including the exchange of:

• settlement cheques;
• releases of security interests (Mortgages and Personal Property Security Register entries); and
• transfer documentation.

However, you should ensure that you can be contacted at the time that settlement is planned so that your solicitor can advise you of any “last minute” issues that can arise and obtain your instructions.

Following settlement, your solicitor will confirm to you and the real estate agent that settlement has occurred so that the keys can be released to the buyer.

Post Settlement

• Transfer Documentation

Transfer documents will generally be lodged by either the buyer’s financier or solicitor or by the buyer themselves.

• Recognition of Change of Ownership

Whilst settlement has occurred the land that you have sold will not be transferred into the buyer’s name until the transfer documents are lodged with, and accepted by, the Land Titles Office and there can sometimes be a delay.

Your solicitor will generally perform a check search at the Land Titles Office approximately one month after settlement and will liaise with you to advise when the buyer is shown as the new owner of the land. However, if you have not heard from them within a month you should call them to discuss progress.

• Utilities

Once the buyer is shown as the new owner of the land the responsibility for payment of utilities will also pass to them. However, there can sometimes be a delay and utility providers will often reissue notices to the new owner.

However if notices are not reissued then late fees on existing notices can be charged and you should, therefore, forward any notices that you receive after settlement to your solicitor so that they can provide them to the buyer.

• Body Corporate Fee

If you have sold a unit then the buyer’s solicitor will lodge the necessary form with the Body Corporate Manager with a request that the buyer be reflected as the new owner on Body Corporate records.

As with utilities if late fees are incurred then you should liaise direct with the Body Corporate Manager if this occurs to discuss a waiver of these fees. Again you should forward any notices that you receive after settlement to your solicitor so that they can provide them to the buyer.

CONCLUSION

Selling a House will for most people be the most important financial decision and one that can be highly stressful and we hope that our series of documents covering the four stages of the conveyancing process have helped you through that process.

Naturally, we are happy to advise you on all stages of the conveyancing process.

Missed our earlier articles? Click below to get all the information.

Aylward Game Solicitors

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