Why You Need a Solicitor Or Conveyancer When Investing in Property
Published 12:04 am 17 Mar 2021
When you are preparing to purchase a property and make a significant investment, it is essential to seek the necessary assistance to complete the transaction. It is important to engage the service of a solicitor or licensed conveyancer to make the process smoother and avoid common mistakes. If you want to know why you need a solicitor or conveyancer when investing in property, there are some relevant facts to understand before getting started.
What is conveyancing?
Conveyancing is one of the necessary steps in buying or selling a property. A solicitor or conveyancer will liaise with the relevant parties in the transaction, including real estate agents, the seller or buyer, mortgage brokers, the buyer’s agent and the lenders. They offer their assistance to facilitate the transaction and have your best interest in mind.
The solicitor or conveyancer attends to many of the formalities related to the transaction. This includes confirming the settlement date and a breakdown of the funds that need to be adjusted, completed and paid to the parties involved. They will also ensure that the property is transferred to the buyer’s name correctly. The solicitor or conveyancer will review the contract of sale, including the special conditions, and inform you of your legal obligations.
The solicitor or conveyancer will also review all related paperwork annexed to the contract, which includes anything from the title search and diagrams to council certificates, effectively ensuring that nothing is overlooked. They should explain the documents and fine print before you sign anything.
What does a solicitor or conveyancer do for you?
Conveyancing is one of the most important services you will require when purchasing or selling a property. Solicitors and conveyancers are knowledgeable about real estate law and can guide you through the settlement process, and offer a variety of services, which include preparing documentation, explaining the fine print, researching a specific property and the certificate of title, calculating the rates and taxes, performing a property settlement, and looking into easements or other information you may want to obtain. They can also explain regulations that are applied with deceased estates, if applicable.
How much will a solicitor or conveyancer cost?
The fees for hiring a conveyancer or solicitor can depend on various factors relating to the transaction. In some states, there are limitations on how much the solicitor or conveyancer can charge for their services.
The factors that affect the cost of services include whether you’re buying or selling a property, as it determines how much research the solicitor or conveyancer will be required to perform.
The solicitor or conveyancer fees you pay will usually be split into two different parts to cover the legal fees and the disbursements. Search fees are an added cost, which can include a title search, right of way allowances, easement enquiries, improvements, utilities and land taxes.
Understanding the services provided by a solicitor or conveyancer and their responsibilities can allow you to get a better understanding of how they can best serve and protect you when you are ready to invest in a property. Their assistance and representation can offer you peace of mind and can ensure you complete the transaction correctly while navigating the process.
When should you get a solicitor or conveyancer involved?
It is important to engage a solicitor or conveyancer before the buying process to ensure their services are available once you find a property that you wish to purchase. They can start performing searches into the property in question, and should any issues present themselves, they can quickly be addressed so as to avert any possible concerns in relation to the transaction before exchange.
Although it may not be required to appoint a solicitor or conveyancer when planning to purchase a property, it is highly recommended because conveyancing is a specialised skill that can be difficult and risky to do yourself. For example, you may lack knowledge about the regulations and laws in the specific location where you are planning to invest. There are DIY conveyancer kits available, but this is not recommended. There are various licensing requirements that have to be met and you may also find that laws have changed since the DIY kit was initially created.
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