Conveyancing is perhaps the most crucial part of buying or selling a house - and it entails a myriad of hurdles that demand proper knowledge to navigate.
Understanding the process and knowing the right questions to ask a conveyancer when buying or selling a house can make the process smoother and help avoid costly mistakes. Here's how to find a conveyancer or solicitor you trust to not only do a great job, but to also charge fairly, complete tasks in a timely manner, and explain all the technical jargon you need to know.
How does the conveyancing process work?
A conveyancer is in charge of preparing and processing documents needed for the purchase or sale of a property.
The steps involved with conveyancing vary depending on whether you're buying or selling, and typically include the preparation of legal documents and ensuring all checks and balances on a property or buyer have been completed.
See also: Is DIY conveyancing worth it?
When do I need to secure a conveyancer?
When to engage with a conveyancer as a buyer
Often buyers first reach out to a conveyancer when they've already put forward a successful offer and want a professional to review the contract of sale. Though, there are benefits to getting in touch earlier.
When to engage with a conveyancer as a seller
For sellers, the best time to make initial contact with a conveyancer varies between states and territories. For the most part, it's recommended a seller secure a conveyancer before they list their property for sale. Though, in some states and territories, they can wait until they've received an offer.
Can I change my mind or amend a contract when buying or selling a house?
Yes, you can change your mind or amend a contract when buying or selling a house, but it depends on the stage of the process and the specific terms of your contract. Here's a breakdown of what changes can be made at what stage.
- Before signing the contract
If you haven't signed the contract yet, feel free to change your mind, walk away from the deal, or request amendments. - After signing the contract
Once the contract of sale has been signed by both parties, it's legally binding. But, in some cases, changes can still be made if both the buyer and seller agree. - Within the cooling-off period
In many Australian states and territories, buyers are entitled to a cooling-off period after signing the contract, during which they can change their mind without severe penalties. - Conditions in the contract
Contracts often contain clauses that allow one or both parties to exit or amend the agreement if specific conditions aren't met. For example, a contract might be subject to finance or a positive building and pest inspection. - After the cooling-off period or unconditional contract
If the cooling-off period has ended and no exit clauses apply, changing your mind becomes more difficult. Pulling out after this point may result in legal consequences, could see you forfeiting your deposit (if you're the buyer) or being sued for damages (if you're the seller).
Questions to ask a conveyancer when buying or selling real estate
Conveyancers are responsible for making sure the process of buying and selling property goes as smoothly as possible. It can be a painstaking process requiring keen attention to detail and hard work, as one mistake can be enough to derail mountains of progress.
Not all conveyancers are created equal, and the key to finding the one who best fits your needs when buying or selling a house is to ask the right questions. The answers to these questions could help you whittle down your conveyancing options.
1. What are your qualifications?
A conveyancer's qualifications are one of the most important aspects to consider. That's particularly the case in Queensland and the ACT, where conveyancers must also be solicitors.
See also: The difference between a conveyancer and a solicitor
Further, a conveyancer with years of experience will likely have a more honed skills set than their newly qualified peers. Asking potential conveyancers questions about their qualifications and level of experience can give you an idea about their knowledge and expertise in property transactions.
Additionally, it is vital to make sure your conveyancer is registered with the Australian Institute of Conveyancers (AIC) or an equivalent industry body. This ensures they'll uphold professional and ethical standards.
2. How much do you charge for your services?
The cost of conveyancing can vary markedly between service providers. Asking how much a particular conveyancer charges for their services can help you prepare for upcoming costs, so don't hesitate to ask this question upfront.
A conveyancer will typically provide you with a detailed quote before you engage with them. It could be worth getting multiple quotes to compare so to get a grasp on what's normal in your area.
Here're some of the fees and charges a conveyancer might ask for their services:
| Fee type | Approximate cost |
|---|---|
| Conveyancer's fee | $500 to $2,500 |
| Search fees | $300 to $600 |
| Title registration/transfer | $50 to $200 |
| General clerical work | Up to $50 |
Your conveyancer will also organise payment of other costs and taxes, such as your deposit and stamp duty. For that reason, they'll likely ask you to transfer more funds than they charge so they can ensure other costs are paid when they need to be.
3. What's your turnaround time for reviewing contracts?
If you're buying a property, it's important to make sure that any contract of sale you get your hands on is watertight and protects both parties. Your conveyancer will likely encourage you to pass the contract onto them to review before you sign on the dotted line.
That's why you should ask your conveyancer or solicitor how long they expect to take to review a contract of sale. Auctions can't be delayed because your conveyancer is taking too long to review a contract and buyers putting forward successful offers have missed out on houses because they didn't return the contract fast enough.
4. How long will the conveyancing process take?
Most property settlements are completed within one or two months of the contract of sale being signed.
It's important to ask your conveyancer about their expected timeframe so you can have an idea on how much time you'll need to prepare the necessary documentation and financial transactions before settlement.
5. How often will I hear from you?
Like in any profession, effective communication is a vital skill in conveyancing. This is especially true in real estate, where poor communication can see you miss out on massive opportunities.
You should ask your conveyancer how often they expect to give updates, how you can best contact them, and how they'll contact you.
6. Do you have insurance?
No matter how experienced a conveyancer is, mistakes can happen. If they do, it's important to know if you're going to be protected by insurance.x
Accredited professionals typically carry indemnity insurance. This can protect you and the conveyancer in the event they make a mistake that leaves one or both of you out of pocket.
It's important to ask your conveyancer what type of insurance they have so that, if something goes wrong with your house purchase, you won't find yourself in dire trouble.
7. Ask yourself: How comfortable do I feel with this professional?
The last question you should ask is introspective. Ask yourself, 'How comfortable am I with this conveyancer?'
When it comes to house purchases, it pays to have faith in the team around you. If you don't fully trust your conveyancer to do a good job, or you're not sure they will provide you with the information you need in a timely and accessible manner, you should keep looking.
Originally written by Mark Rosanes in 2021. Updated by Brooke Cooper
Image by Freepik
Collections: Conveyancer Selling your property Buying a home First Home Buyer
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