You have just sold your house – what happens next?

Congratulations! You have just accepted an offer on your property – but now you are wondering what happens next.

A standard sale would follow the process below:

1

Offer Accepted

The Purchaser will pay a 0.25% deposit. The Agent will arrange signing of the Contract by the Purchaser and the Vendor.
The Agent or your conveyancer will exchange Contracts.

2

Cooling off period

The cooling off period is typically for 5-10 business days. During this time a Purchaser will obtain legal advice on the Contract, finalise their finance and conduct pest and building inspections of the Property.
You will need to provide your conveyancer with details of your mortgage and complete a form required by your bank in order for your loan to be paid out on settlement.
At the end of the cooling off period the Purchaser will arrange payment of the balance of the deposit.
The sale is now unconditional and both parties are locked into the Contract.

3

Requisitions on title and transfer

After the cooling off period the Purchaser's conveyancer will ask a number of standard questions. Your conveyancer will draft replies that need to be confirmed by you to be correct.
The Purchaser's conveyancer will also provide a Transfer which is the legal document transferring ownership to the Purchaser. This needs to be signed by the Vendor.

4

Settlement Adjustments

In preparation for settlement the Purchaser's conveyaner will provide us with adjustments for Council Rates, Water Rates and Strata Levies (if applicable). This is carried out to ensure that the Vendor and the Purchaser only pay these expenses for the period of time where they are in ownership.
For example, if settlement is on 1 June 2016, you will be liable for charges up until this date, with the Purchaser becoming liable for all expenses from this date until the of the rating period (i.e. 30 June 2016).

5

Settlement

On the day of settlement you need to have vacated the Property by the time settlement is due to occur.
Settlements are typically booked after 2pm (in NSW) with some exceptions.
The Purchaser has the right to undertake one pre-settlement inspection prior to settlement which will be organised through the agent.
At settlement the Purchaser's conveyancer will provide your conveyancer with cheques as we have requested. The cheques requested typically include:
Cheque to payout your mortgage
Cheques for outstanding Council Rates, Water Rates and Strata Levies (if applicable)
Cheque for your conveyancers fees
Cheque to you for any remaining funds
Your conveyancer will contact you after settlement to advise that that matter has been completed.

6

Congratulations

Your home is sold! Time for a new chapter.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.