What to Expect After Paying Conveyancer Fees
Conveyancing is "the transfer of legal title of property from one person to another" (Australian Institute of Conveyancers). And conveyancers are licensed professionals who specialise in property transactions. In addition to transferring ownership, a conveyancer prepares and submits all the paperwork necessary to complete a real estate transaction, including the purchase contract and land transfer. And most importantly, they make the research to clarify and confirm details about the property.
So, buying a property isn’t just about paying the property price tag. There are several extra costs to take into account when buying a property. First, “the median national property price is $549,918”, and for instance, in Sydney, the median property price is $872,934. Additionally, conveyancing fees have an average of $1800.
In fact, doing all legal procedures yourself is possible according to Australian laws. But paying for a conveyancer service is recommended if you want to save time and some headaches, because it may be a long process to do it by yourself.
The conveyancing processes can be very confusing and a licensed conveyancer can guide you around the potential legal issues that arise when buying a property. By the way, to learn more about conveyancing costs and conveyancing services, you can visit the website of the Australian Institute of Conveyancers.
What Are the Conveyancer Costs? What Is Covered by the Standard Conveyancing Fee?
As with any other professional service, conveyancer fees can differ depending on the complexity of the work, who is the conveyancer you hired, the nature of the property involved, and the costs of the city where the transaction will take place. The fees will cover the professional and administrative costs of your conveyancing process like conveyancer's time, photocopying, phone calls, and other miscellaneous administrative costs, etc.
That’s why conveyancer costs vary. Conveyancing fees may be a fixed fee for the first phase of the process though. But, fees can only be estimated for subsequent stages.
In any case, most of the conveyancing fees come from the following tasks:
- Reviewing the sales contract. The conveyancer will check the contract in detail and inform the buyer of the terms and conditions such as deadlines, purchase price, and settlement date, deposit, and payment date.
- Title searches. Conveyancer costs include the examination of searches concerning the purchased property. It contains information about the property's title, mortgages, zoning, covenants encumbrances
- Preparation of the land transfer document. The buyer signs a document that the seller will receive before the settlement date.
- Notify the authorities of your purchase. A conveyancer will inform the council about the purchase/sale
- Attend settlement on your behalf. Represent you during the settlement process.
- Arrange stamp duty payments. The calculation of stamp duty will vary, but conveyancer service definitely includes this task.
So, a conveyancer will guide you through the buying process and help you understand any legal terms that may confuse you. Also, a licensed conveyancer will ensure that you are satisfied and the contract is fulfilled. Conveyancer costs should include explaining the contract and legal jargon in simple words.
Although some homebuyers deliberately consider taking on the legal aspects of the property purchase themselves, it is generally advisable to seek the advice of a legal professional.
Since not all property deals are the same. There's no fixed fee for engaging a licensed conveyancer. So, it's essential to get a few quotes before making any decision. Just remember that the lowest price is not always the best service.