FAQs

CONVEYANCING FAQs

Basically, conveyancing is the legal process by which ownership of real estate is transferred from one person to another. Apart from selling or purchasing properties, conveyancing also applies to properties being transferred as a result of a gift, Change in domestic relationship or a devise by Will.
Buying Property – A conveyancer will review the contract for you and explain any potential risks that come with buying the property, while also helping to negotiate changes to the contract with the vendor's lawyer before the day of Sale. This can include negotiating a longer settlement date, a reduced deposit amount or any other special conditions that will better suit you. A conveyancing expert can help you avoid the pitfalls associated with buying land and investigate all these things for you to ensure you are legally able to use the land as you intend. This certainly makes for a more stress-free buying process.

Selling property – When selling a Property in the state of Victoria, along with the Contract of Sale, the Vendor (seller) is also required to provide Vendor Statement/ Section 32 documents to intending purchaser(s). Under Section 32 of the Sale of Land Act, vendor is obligated to provide certain information to a purchaser BEFORE a contract of sale is signed. if the vendor fails to provide the information required by the Act before the contract is signed, the purchaser will be able to cancel the contract of sale any time before the Settlement is completed. A conveyancing expert can ensure that you meet all your legal obligations to avoid such scenarios.
The Section 27 Deposit Release procedure can allow a vendor to gain access to a deposit before settlement. However, the process is not as simple as it may at first appear. A Section 27 Deposit Release Statement, containing particulars of any mortgage and any caveat, can be prepared, and then served on the purchaser. If the purchaser provides a signed release the deposit may be released to the vendor. The purchaser will be deemed to be satisfied with the particulars provided if the purchaser does not object within 28 days.
Settlement is the final stage in the conveyancing transaction. It is facilitated by legal (conveyancer or solicitor) and financial representatives (banker/broker) for both the buyer and seller. In Victoria, the Settlement are now mandatory to occur in an online workspace (PEXA). PEXA enables Conveyancers, Lawyers, and financial institutions to transact together online.

Representatives for all parties will liaise to review and complete the required Settlement documentation within the PEXA workspace by the scheduled settlement date/time slot. When everyone at settlement is satisfied with the documentation, the signed documents are electronically submitted to the Land Title Office for registration. This is when the matter is declared “settled”.
PEXA (Property Exchange Australia) is Australia's online property exchange network. It assists members – such as lawyers, conveyancers, and financial institutions – to lodge documents with Land Registries and complete financial settlements electronically rather than by way of a paper-based system.
The Day of Sale is the date when the Contract of Sale has been executed by both parties (Seller & Buyer).
According to Section 31 of the Sale of Land Act a purchaser who signs a contract or contract note for the purchase of real estate can terminate the contract within 3 clear business days from the day the purchaser signed it. Purchaser is entitled to a refund of all the money you paid EXCEPT for $100 or 0.2% of the purchase price (whichever is more) if purchaser end the contract in this way. However, there are exceptions to Cooling Off rights. The 3-day cooling off period does NOT apply if;

  • you bought the property at a publicly advertised auction or on the day on which the auction was held; or
  • you bought the land within 3 clear business days before a publicly advertised auction was to be held; or
  • you bought the land within 3 clear business days after a publicly advertised auction was held; or
  • the property is used primarily for industrial or commercial purposes; or
  • the property is more than 20 hectares in size and is used primarily for farming; or
  • you and the vendor previously signed a contract for the sale of the same land in substantially the same terms; or
  • you are an estate agent or a corporate body.
Adjustments are undertaken just prior to Settlement of a conveyancing transaction and are prepared by the purchaser’s representative. The purchaser’s representative obtains certificates from the relevant authorities (Council, Water, OC & SRO Landtax) which detail the annual charges, any interest and balance outstanding.

The adjustment of rates will ensure that the Vendors pay all rates and taxes due on the property up until settlement date, and Purchaser pays from the settlement date. This will be reflected in the adjustments. The adjustments will also allow the vendor to pay any arrears and/or outstanding interest on the rates and charges together with fees pertaining to the discharge of any mortgage or caveat.
When you buy or acquire property in Victoria including your home, you pay duty on your purchase. Stamp duty is calculated on the “dutiable value” of your property. The dutiable value is the purchase price OR the property’s value on the market, whichever is greatest.

Please refer to the below link for Stamp Duty Calculator available on State Revenue Office’s website for more details on stamp duty calculation. You can also speak to the staff at Settlement Partners for further clarification on Stamp Duty calculations.

Land Transfer (Stamp) duty calculator
Based on your current circumstances, you may be eligible for concession &/or exception on stamp duty. You can speak to the staff at Settlement Partners to determine if you are eligible for any concession/exceptions OR refer to the below links from SRO Website.

First Home Buyer duty exception, concession or reduction: https://www.sro.vic.gov.au/first-home-owner/apply-first-home-buyer-duty-reduction

Principal Place of Residence (PPR) duty concession: https://www.sro.vic.gov.au/pprconcessions

Pensioner duty exemption or concession : https://www.sro.vic.gov.au/first-home-owner/apply-pensioner-duty-exemption-or-concession

Off-the-plan property duty concession: https://www.sro.vic.gov.au/first-home-owner/apply-plan-concession