Buying a home is a major decision and it’s better to have all the information at hand before making it. Here are the top 10 questions that you should ask your attorney about.
1.Who should I give the deposit to?
As a rule of thumb, always refer to your contract. Your deposit will be paid either to the agency that manages the property, or the conveyancers who were appointed to deal with the transfer. Your money will be deposited in a secure trust account but ensure you get the appropriate receipts for the transaction. You shouldn’t pay your deposit directly to the seller of the property or the estate agent.
2.Who gets the interest on the deposit?
In most cases, the interest is paid to you as soon as the registration of the transfer gets through (but make sure to read through your contract). You can then make the necessary arrangements with your estate agent and the conveyancer and invest the money in an interest-bearing account, or choose a short-term investment to act in.
3.Where does my occupational rent go?
Your occupational rent goes to either the estate agent or the conveyancer. They will give it to the seller or place it into the seller’s bond account. In some cases, you can arrange to make payments directly to the seller’s bond account but will be asked to provide proof of payment on a monthly basis.
4.When do I sign the transfer documents?
Usually, the conveyancer will wait until the bond is granted and the cancellation figures received. This might take a few weeks after you sign the sale agreement. Only when the seller has provided the cancellation figures for their existing bond can the conveyancer guarantee authority forms be completed and signed.
5.How long will I wait before the transfer is registered?
On average, around three months from the date of the sale. Depending on the individual circumstances, the due dates for the bond grand and the guarantees outlined in the contract, the process might take less than two months or be delayed. The best solution is to stay in touch with the conveyancer.
6.How much do my transfer and bond cost?
The cost of your transfer and bond can only be estimated by your bond partner expert or the estate agent and attorney. The transfer fees are based on the price of the property at the time of purchase, and bond costs depend on the amount of home loan registered, along with other factors such as whether you’re purchasing the home in your name or in a trust or a company.
7.When should I pay my transfer costs?
Your conveyancer will probably require payment upfront to pay for the transfer duty. You should aim to pay your transfer costs within the first couple of weeks after the sale – delaying payment can only put off the transfer.
8.Who registers the transfer bond?
Usually the bank: they have a local panel of conveyancers who will be instructed to register your bond. If your transfer conveyancer is part of the panel, he’s likely going to also register the bond – the price will be the same even though the process might go faster.
9.Who will get in touch with me on registration?
Usually, the conveyancer’s secretary will contact you to discuss the registration. You can also expect a final statement of the account, and a call from the estate agent who will confirm the registration. Lastly, you’ll receive a bank letter regarding the registration of your bond, including information such as the due date of the first installment.
10.Where and when do I get the keys to my new house?
We advise on getting in touch with you estate agent and arranging to pick up the keys on the agreed day of occupation.