Now that your offer has been accepted, it’s time to organise the settlement. This is the stage when the ownership of the property legally passes from the seller to the buyer. The process can be grueling, especially when complications and setbacks arise – even when you pay in cash. Yes, you heard that right. Unresolved disputes from the past can readily show up and may delay you from formally closing the deal. We’re talking about structural problems or incomplete documents. This is why it’s crucial to plan things carefully. Below we outline some helpful tips that you can apply so you can have a smoother and quicker settlement.
It is imperative to take a last look of the property in the settlement process. The house should be exactly as described in the contract in the agreed upon state of repair. This is important because any potential problems that may be revealed during the inspection may be attended to immediately. Final checks should take place close to the settlement day as possible, during the day, and together with the seller’s agent.
Your respective lawyers generally review the title search after the offer was made. However, you need to double check to ensure no new ownership interests have been created and ensure caveats on the property have been lifted.
Don’t get ambushed by stamp duty and GST. These should all be taken into account when doing your final calculations. Stamp duty is imposed on some transfers of land. GST applies to real property subject to some exemptions such as:
The last but certainly not the least is to organise who will deliver the keys and to whom. (Keys can be collected by either your agent or attorney) When collecting your keys, it’s best to request a full set so that you don’t have to pay additional locksmiths fees to update lock without keys. Make sure to have the codes for any security devices as well!
The settlement process is a joint effort by you and your investment support team. This includes your accountant, your broker, and solicitor. To ensure that the process of settlement is smooth and successful, you have to choose trusted and responsible individuals who can work with you and guide you throughout the property transaction and help you secure your property.
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