Planning Your Move

PLANNING

Your Move

SOLD You’ve signed on the dotted line – so, what happens now?

There are lots of new terms and concepts to come to grips with when you are selling or buying a property, so here’s some general information that should make you feel more comfortable about what happens now.

CONTRACTS, CONDITIONS & SETTLEMENT The “Contract for Sale of Real Estate” that you have signed will either be conditional or unconditional.

Unconditional means that the contract that has been signed is a “cash” contract with no extra clauses that need to be considered.

Conditional means that the buyer needs to: • Borrow money to pay for the property • Sell their own home first • Or that they want a qualified builder to inspect the property There may have been conditions that the seller has added.

For example, if the buyer needs to sell their own property before buying, the seller might add a special clause – commonly referred to as a 48-hour clause to the contract.

This clause means that whilst the seller will allow the buyer a period of time to sell his property, if someone else makes an acceptable offer in the meantime the buyer has two working days to find the money necessary to make their offer unconditional.

When both parties have duly signed the “Contract of Sale of Real Estate” then it becomes a legally binding document.

AFTER YOU’VE SIGNED THE CONTRACT Petrusma Property will send a copy of the contract to all parties involved including a copy to your solicitors.

The deposit is placed in our trust account until settlement.

If the contract is subject to certain conditions, the purchaser must work towards satisfying the conditions within the time frame set out in the contract.

Once any conditions are met, the purchaser should notify the agent and their solicitor in writing.

The purchaser’s solicitor will then notify the seller’s solicitor of confirmation of the contract.

Once the contract is unconditional, the solicitors commence the conveyancing. This will include searches and inquiries of local council, Title information, release of mortgage (if applicable) and associated costs.

A final settlement time is arranged between the solicitors when Title and funds are exchanged.

WHAT IS SETTLEMENT? Settlement is the date the contract is completed. It is the time when the buyer pays the money to the seller (usually via their respective solicitors), and takes possession of the property and its title deeds. Title deeds are the legal documents that prove ownership of a property.

The settlement date is negotiated at the time of signing the contract, generally between 30 – 90 days from the confirmation of any conditions.

Note: this date can be varied after the signing of the contract by agreement between both parties.

THE PERIOD OF SILENCE Things might seem a bit quiet between the time you sign the contract and the settlement date. This time is sometimes called the period of silence – but you can rest assured that we haven’t forgotten about you. During this time your solicitors have work to do, and a buyer will also be busy meeting the conditions that were specified in the contract.

If you have any questions about who is doing what, ask your sales consultant.

WHEN DO WE MOVE? The new owners legally own the property on the date of settlement when all the paperwork has been completed.

While the owner can move out at any time before settlement, we advise they wait until the contract becomes unconditional and a settlement date has been set.

When the seller has moved out they can drop off all house and property keys to their solicitor or agent for collection by the purchasers.

TO DO

Checklist ARRANGE

THINGS YOU’LL NEED

Mail re-direction

Boxes in different sizes

Removalist company or truck

Permanent marker pens

Window furnishings to be dry cleaned / washed

Packaging tape

Cleaner (if not doing it yourself) Carpet cleaner

Scissors Old newspapers / bubble wrap Trolley

Aurora disconnection & reconnection to new property

Rubbish bags

Phone / Internet disconnection & reconnection to new property

CLEANING ITEMS (If you’re doing it yourself)

Pay TV relocation (if applicable)

Buckets

Garage sale (if you decide to have one)

Rubber gloves

CONTACT THESE SERVICES

Old tooth brush Cleaning detergent

Bank / s

Mop

Store card accounts (i.e. Myer, Target, Everyday Rewards etc.)

Vacuum cleaner

Accountant Electoral office Computershare (or similar) / Share brokerage firm Insurance company School / daycare Your work HR & payroll officer

Dustpan & broom Lots of cleaning rags / tea towels Oven cleaner Sponges & scouring pads Sugar soap Window cleaner Toilet cleaner & brush Rubbish bags

petrusma.com.au