What is Property Settlement?
Property settlement is the process of transferring property from one owner to another. Complex regulations and compulsory procedures govern the settlement process. Here’s what’s required for a property to change hands:
- Any existing mortgage must be paid off.
- Any caveats on the property must be lifted.
- All clauses on the Offer and Acceptance must be fulfilled.
- The transaction only become official when lodged with Landgate.
There is no difference.What does a settlement agent do?
A settlement agent’s role is to protect your interests during the settlement process, whether you are the buyer or seller. A settlement agent’s office will usually havea number of conveyancers who do the actual work of transferring a property. Conveyancers are professionals who know how to:
- Conduct Title (deed) searches and search for other necessary documents.
- Liaise with all parties to ensure the clauses of the Offer & Acceptance are met.
- Ensure rates are paid and your finance progresses.
- Complete official Transfer of Title documentation.
- Attend settlement on your behalf.
You can legally attempt to settle your own property.However the Department of Commercesays: unless you are a suitably qualified lawyer, it would be very unwise to try to carry out the settlement of your own property. It’s a complex and time consuming business, with many traps for the unwary.Can a lawyer do my settlement?
Under Australian law a qualified lawyer is permitted to carry out the work of a conveyancer. However, as settlement agents only deal with settlements, they can often provide conveyancing services very efficiently and cost effectively.What’s a Certificate of Title?
A Title, Deed or Certificate of Title is a legal document that provides:
- Current ownership details
- Title number (volume and folio)
- Survey plan number and type
- Encumbrances and notifications
- Details on whether there is a caveat against the title.
Transfer duty applies to dutiable transactions over dutiable property in Western Australia. The common dutiable transactions are:
- Transfers and agreements to transfer (includes a sale or a gift)
- Declarations of trust
- Partnership acquisitions
Dutiable property is land in Western Australia, certain rights over dutiable property, business assets and chattels.Who pays Transfer Duty?
The person liable for duty is the purchaser or acquirer. They must lodge the transaction with the Office of State Revenue within two months. This will generally involve lodging the document that effects the transaction.How much will Transfer Duty cost?
The Department of Finance has a Transfer Duty Calculator OnlineWhat’s a caveat?
To minimise the risk of property fraud, WA landowners can place a caveat on their own property to help prevent an unlawful change of ownership.The caveat, once lodged, will stop the registration of any instruments or documents that would ordinarily need to be signed by the owner, such as transfers, mortgages or leases.A caveat must be made in the name of all the owners. If one of the owners does not want to be part of the caveat, then it cannot be lodged.How do I nominate a Settlement Agent?
You are free to choose your own settlement agent by either:
- Nominating your preferred settlement agent on the Offer & Acceptance document, or
- If you haven’t decided on a settlement agent yet when signing the Offer & Acceptance, you can specify ‘TBA’ (to be advised). Just let your real estate agent know as soon as you have appointed one, verbally and by email.
Complete Settlements believes fees should not be complicated. We don’t want to list a set price and then be required to adjust it due to special circumstances, so we ask you to request a quote.
The cheapest settlement fee doesn’t necessarily mean the best value for money and doesn’t always translate into an effective and efficient settlement. Complete Settlements negotiates its fees, which means it remains competitive while focusing on your desired outcomes and ensuring that the best possible professional service is given every time.
The property being settled is required to be vacant by 12 noon of the day following settlement, if it is the seller’s place of residence, or as soon as settlement takes place if it is not.What is a Transfer of Land document?
The transfer of land document sets out the property being transferred, identifying the title, any encumbrances to stay on the title after settlement (such as an easement or restrictive covenant), the seller names, sale price, buyer names, buyer’s address after settlement and buyer’s tenancy (if more than one party). Both buyer and seller are required to sign this document and to have their signatures witnessed by an independent person over the age of 18. This is the document lodged with Landgate to effect the settlement.What is an Identification of Certificate of Title document?
This document includes a copy of the title and plan showing the property being transacted, which ensures the correct property is transferred.What is the Identification of Encumbrance/s document?
This document includes a copy of any encumbrances on the title.What is an encumbrance?
Encumbrances are anything that restrict or affect the use of or transactions on the property in any way. They can include a mortgage, caveat, easement or restrictive covenant, amongst other things.What is the Stamp Duty Application form?
Your conveyancer will assess what, if any, reductions you’re entitled to for stamp duty and will send the appropriate form to you for signing. These may include First Home Owners Rate or Residential Rate.What’s the difference between stamp duty and transfer duty?
There is no difference in WA.What is the Authority to Proceed to Settlement document?
This document gives us permission to finalise settlement on your behalf. As a buyer, you hold onto this form and send it to your settlement agent once you’ve completed your final inspection and are happy with everything.What is a conflict of interest?
A conflict of interest might arise during settlement – especially if conveyancer is acting for both the buyer and the seller, or where the real estate agent has a financial interest in the settlement agent. As your conveyancer, we are legally obliged to disclose any conflict of interest.
Can’t find your question? Contact us to ask.