There seems to be a date attached to everything we do nowadays and the conveyancing process isn’t any different. However, the good thing about these dates are that they are one-off, for this settlement, important now, but not as important as remembering your anniversary or your spouse’s birthday each and every year!
So, pay attention to them, for now, make note of them when your conveyancer tells you exactly what they are, act swiftly if you need to do something in regard to them and then forget them… until you choose to buy or sell a property again!
Now, there are only four of them so that’s not too many to remember.
1. Contract Date
This is as simple as it sounds. Basically, this date is when all parties have signed the contract and agreed to its terms.
Often other key dates are expressed with reference to this date so it’s a good one to highlight. For example; “30 days after the contract date…”
2. Financial Approval Date
If you are applying for finance to purchase the property of choice then, as the buyer, you must let the seller know that you have secured finance by the allocated date.
In some situations, financial approval may be arranged before the contract is signed and therefore this date may not apply.
3. Building and Pest Inspection Date
As a buyer it is essential that you arrange for a professional building and pest inspection of the property you are purchasing in order to confirm its condition. Quickly is best in all situations, enabling you to meet this date where you indicate to the seller your satisfaction or otherwise with the inspections you have obtained.
4. Settlement Date
This is the date in which settlement of your transaction is scheduled to occur. Yippee, woo-hoo, congratulations this date means you become the owner of the property!
On this date, the buyers and sellers conveyancers and the banks for the vendor and purchaser meet at a specific time, during which the buyer’s bank will exchange cheques as per the instructions of the buyer’s conveyancer. In return they will receive the Certificate of Title and ‘discharge of mortgage’ (if applicable) from the seller’s bank. In other words you pay for the property and receive the appropriate documents in return.
So, by keeping an eye on the dates and acting quickly on your conveyancer’s advice you are on par for settling on time. The perfect ending to a well planned transaction.