What is Conveyancing?
Conveyancing is described as the transfer of the legal ownership of a property from one person to another.
What is a Section 32 Vendors Statement?
A Section 32 (Vendors Statement) discloses to prospective purchasers details of the property such as relevant title particulars and details of any mortgages, caveats or covenants that may affect the title, planning details, council rates and other outgoings, details of any owners corporations, details of any building approvals and insurances, details of any notices or orders affecting the property, whether or not services are available and/or connected to the property and any other relevant details.
What is Stamp Duty?
Stamp duty is a government tax on certain transactions. You will need to pay it real estate. Stamp duty on a property can also be known as “land transfer duty”.
The amount of stamp duty that applies to a transaction varies depending on where you live, the type of transaction taking place, and its value.
How much Stamp Duty do I have to pay?
Different stamp duty charges apply and may also depend on:
- the type of property you are buying ie: principal place of residence, investment property
- whether or not you’re a first home buyer
- whether or not you hold an eligible concession card, young farmer concession etc
- whether you’re purchasing an established home, new home or vacant land, and
- whether you’re classified as a foreign purchaser.
By using an online Stamp Duty Calculator you can see an estimate of how much stamp duty may apply to the property you plan to purchase.
Stamp Duty Calculator
Land transfer calculator: https://www.e-business.sro.vic.gov.au/calculators/land-transfer-duty
Concession card holder calculator: https://www.e-business.sro.vic.gov.au/calculators/pensioner-concession-duty
What is a Section 27 Statement?
Section 27 of the Sale of Land Act states that the deposit paid by a purchaser can in certain circumstances be released to the vendor prior to settlement. Please note that by delivering a Section 27 Statement you are not guaranteed an early release of your deposit. A Section 27 Statement can only be prepared after information regarding your Mortgage is provided. Under Section 27 of the Sale of Land Act, the Purchaser then has 28 days from the date of service of the statement in which to either lodge an objection or release the deposit. The deposit cannot be released before the 28 days has expired unless the Purchaser is agreeable.
What is settlement?
Settlement takes place electronically via PEXA (property exchange). You do not need to attend settlement. Settlement occurs when the balance of purchase price is paid to the vendor and the purchaser then takes possession of the property. Keys are usually collected from the real estate agent.
What are adjustments?
Statement of adjustments are prepared by the purchaser’s conveyancer to calculate the adjustable items (these may include council rates, water rates, body corporate fees (if any), rent (if any), etc.) and are apportioned between both parties as at the settlement date.
What is a Purchasers Caveat?
A caveat is a notice of an interest in a property. It can be registered on the title of the property if you have a caveatable interest (as a purchaser). By doing so, you are providing notice to anyone else who tries to deal with the property as to your rights over the property.