What You Need To Know In Buying Property?

If you have ever gone through the process of buying property you will realize it is a tedious process. For those of you who intend to, you must have an idea of what the process entails. Being aware of the process will cause you less hassle and make the transfer of the property smoother. The first thing you must know is that the entire process can be broken down into four sections.

These four sections are the deposit, contract, the transfer and the settlement.

  • The deposit is exactly as the word denotes, having the necessary funds to begin the process. Though the number may vary the seller normally requires the interested party to have a minimum of 10 percent of the selling price, which is negotiated by both parties. Once this is met the entire process can begin.
  • Then there is the contract. This is when the contracts are drafted by both parties. It is just before this is done that surveyors are brought in to so a surveyor’s report. In addition to the report, the building certificate and certificates for zoning, land or property tax, and any mining documents that may be necessary.
  • The transfer. This is also called conveyancing. This is where the contracts that have been drafted are exchanged after all is agreed on. It is at this point the buyer can be said to legally own the property for this. Click here for more information about conveyancing in Whittlesea.
  • This section, the settlement, finalizes the entire process. It is at this point that the buyer pays the balance of the purchasing prices. So if the buyer had only made a 10 percent deposit then the remaining 90 percent will have to be paid for the deal to be considered settled. Once this is done the seller or previous owner will hand over all documents and equipment to control the property.

These four areas of buying property are consistent throughout all the world. In some areas though the process differs. In the United States for instance the process varies from state to state. There may be different personnel who need to be present at some point throughout the process and at the end of the process. Even in the commonwealth where most government laws are based on the UK’s there are differences in the process. In Scotland the contract is generally drafted at an earlier stage. In Australia they have systems to help persons who may want to complete the process on their own if they would not like to use the services of a licenced conveyancer, lawyer or solicitor.

Whichever part of the world you may be in though, if you have no prior knowledge of the process itself it is always best to have a solicitor and a legal advisor. Yes, their services will cost you but it will save you heartache and time.