What is conveyancing?

Don’t think that any of your questions are silly questions! It is perfectly understandable that if you have never bought or sold property before or have studied at law school, that you might not have ever come across the phrase “conveyancing” before. Conveyancing is the transfer of the legal title in land, from one person to another. It sounds simple, but there are all kinds of things that can go wrong if you do not know what you are doing. That's why the team of conveyancing lawyers at Onsite Law are here to help.

Why do I need conveyancing?

It sounds straightforward, but if the processes of conveyancing are not done correctly, or in the right order, then the title in land might not be correctly conveyed, resulting in no transfer or opening yourself up to litigation and damages. Conveyancing lawyers also ensure that the rights of the buyer and the seller are protected fully under the law and that any problems with the land or the title to the land are picked up and dealt with.

Do lawyers have to do the conveyancing?

While it is perfectly legal to conduct your own property sale or purchase - we certainly don't recommend it! Just because we make it look easy doesn't mean there aren't plenty of traps and pitfalls for inexperienced players. In other States and jurisdictions people can train to be conveyancers and conduct property transfers without being lawyers. In Queensland, advice on property transactions can only be given by a lawyer. This lawyer will usually work with a number of paralegals (we call them conveyancers) who have significant practical, day to day experience in these transactions. However, the work should always be overseen by a registered solicitor at every stage of the conveyance.

Has the internet changed conveyancing?

As well as offering a host of information about conveyancers that is quick and easy to compare, the Internet has enabled transactions to take place completely using post, email and the phone. Because most of the work that the solicitor does is fairly standardized and the local authority searches that need to be carried out can be done from anywhere this is a cost-effective way of finding the cheapest solution to your conveyancing needs. But...we still love to meet our clients in person! And we're always happy for you to come and talk through your contract or the process in our office. In more recent years the PEXA system has emerged to provide an online solution to the final settlement stage of a conveyance. This streamlines a process that used to require representatives from both parties and their banks to meet in person to exchange documents and cheques.

What is transfer duty?

Transfer duty is an amount of money you must pay to the State Government when you purchase a property in Queensland. Your conveyancer will advise you during your first discussion with them what the amount of duty payable is and when it must be paid.

What is the  land registration fee?

The Land Registration Fee is an amount of money you must pay to the State Government when you purchase a property in Queensland to register the property into your name.

Who notifies the government that I have purchased or sold a property?

When the buyer's transfer papers are lodged for registration after settlement, the Local Council, water authority and the Valuer General and the Office of State Revenue are all automatically notified of the transation. Other providers, such as the phone and electricity suppliers however, will need to be notified by the purchaser.

What happens at settlement time?

Settlement is the finalisation of the Contract of Sale. The likely four parties involved:

• the representatives of the vendors and their banks; and
• the representatives of the purchasers and their banks.

Do I need to attend settlement?

No. While it might seem like you should be there for such a signficant event the reality is that settlement is a relatively procedural process involving legal and financial representatives of the parties. We let you know when settlement is due and we let you know as soon as possible when it has successfully occurred.

What happens if a party cannot settle on the due date?

Most times this is dealt with by requesting an extension of time from the other party. Queensland operates under a system known as “time is of the essence”. This means that the date specified for the condition must be strictly adhered to. Extensions of time are not uncommon although they are not always granted and are considered not to be part of the basic conveyance requirements. Depending upon the situation, an extension of time may find you being liable for interest on the unpaid purchase price or at the least the cost of your own and/or the other side’s additional legal fees. If a party finds themselves in breach of the contract, they will face a number of potential consequences (including but not by way of limitation) forfeiture of the deposit and being sued for damages or specific performance. It is therefore extremely important that the various deadlines are managed appropriately and if breach situations do arise then your conveyancer has the skills to negotiate the best possible outcome with your instructions.