What is a Real Estate Settlement?

choosing a settlement agent

Are you buying a property for the first time?  Do you want to know more about what to expect?
You’re in the right place!

Prompt Settlements has worked with hundreds of first home buyers and understands this can be a daunting experience.  We have provided below an overview of what it’s all about so you can feel confident and prepared for this exciting new step.

A real estate settlement is the process of exchanging title (ownership) for money.  Sounds simple – but is it?

An Offer and Acceptance Contract for the Sale of Land is written and signed by the Buyer and Seller.  Commonly, the Offer and Acceptance contract is written by a real estate sales representative.  However, in some cases, deals are made between friends, family or neighbours and Formbys Lawyers can assist in writing the Offer and Acceptance contract for you.

The purchase/sale price is agreed together with any conditions and we will liaise between all parties to the contract, to achieve settlement on the due date.  You will be provided with a timeline of when all conditions have to be completed.

If you are looking for more information on submitting an offer the Department of Mines, Industry Regulation and Safety offer some helpful advice here.

Buying or selling real estate is one of the biggest financial investments you will make, and for some, can be quite a stressful time.  Engaging Prompt Settlements will ensure that the settlement process can be a pleasant and memorable experience.

Certificates of Title are also known as Title Deeds and issued by Landgate.  The one original is always kept at Landgate and the one duplicate copy is held by the registered proprietor or the lending institution as security for the loan.  It is now common that a non-issue title is requested which means that only the title with landgate is in existence.

Sometimes the property in question has only been seen once or twice before making an offer to purchase and therefore the Buyer is reliant on an experienced settlement agent to ensure that clear title is passed at settlement.

Prompt Settlements pride themselves on providing a conveyancing service that exceeds our client’s expectations.  Being an independent settlement agency, means that we are working in our clients best interests at all times.

From the time the Offer and Acceptance (contract) arrives at the office, to the day of settlement, we are committed to keeping our clients informed of the settlement procedures at all times.  Any complications that may arise, are dealt with promptly and courteously to avoid any delays which could impede the settlement process.

Whether you are interested in upsizing, or downsizing, whether you are a First Home Buyer, or a property investor, we are available to assist you with any questions that may arise.

It is the Buyer’s settlement agent who prepares all relevant legal documentation required for the change of ownership. Checks of the Certificate of Title are also completed to ensure that there are no outstanding claims registered over the property.  The Buyer is provided with a copy of the survey or strata plan to ensure that the lot under contract, is in fact the correct lot purchased.

A copy of the Offer and Acceptance is presented at State Revenue for stamp duty assessment.  The amount of stamp duty you are required to pay depends on the type of property and if any concessions are applicable.  The duty calculator for Western Australia can be found here.

The Transfer of Land is signed by the buyer first then forwarded to the Seller’s settlement agent for signing and retaining until settlement day.  As Prompt Settlements is a registered PEXA e-Conveyancing member we can complete your purchase or sale electronically if all parties are registered with PEXA.

Notifications of the impending change of ownership are forwarded to all relevant local government agencies, and in exchange for a fee they will provide all pertinent information about the property under contract.

Settlement day is very exciting for all parties and should be a pleasant and stress free event.
Approximately four weeks post settlement, a full title search is completed to ensure that the change in ownership has been effected.  The buyer will receive a copy of the title search proving that they are now the registered owners.

We are more than happy to provide a quote over the phone and look forward to hearing from you at either of our offices in South Perth on 08 9354 0300 or Northam office on 08 9622 2900.

Tips for the Seller;

Its important that you understand what your obligations are before you sign the Contract. What do you need to look out for? What clauses do you need in the Contract to protect yourself?

Set your goals ahead and have a clear plan

We will provide a list of items you’ll need to deal with before settlement.

Tips for the Buyer

You need to be clear on what you want before you sign the Contract. Be sure on the clauses you need to include, to get what you want

You can discuss the Contract with us before you sign it.

Once you’ve signed, we can tell you what you need to know and how to go about it.

If you have already signed the Contract, bring it in so we can discuss the conditions with you.

Should you wish to obtain a quote for Prompt Settlements to act on your behalf in your next residential property transaction, please submit the form below or contact our office.

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