Conveyancing

A Vendor's Statement, also known as a Section 32 Statement, is the document prepared by the person selling a Melbourne or Victorian property and must be provided to a prospective purchaser prior to them signing the Contract of Sale.  The Contract of Sale is not enforceable unless a Vendor's Statement has been provided to the purchaser.

The function of the Vendor's Statement is to inform the purchaser of certain particulars about the property.  When a purchaser is deciding if they are going to buy a property, they will be shown a Vendor's Statement by the selling agent.  The Vendor's Statement will include information relating to rates, zoning, restrictions etc

A Vendor's Statement, also known as a Section 32 Statement, is the document prepared by the person selling a Melbourne or Victorian property and must be provided to a prospective purchaser prior to them signing the Contract of Sale.  The Contract of Sale is not enforceable unless a Vendor's Statement has been provided to the purchaser.

You may end this contract within 3 clear business days of the day that you sign the contract if none of the exceptions listed below applies to you.You must either give the vendor or the vendors agent written notice that you are ending the contract or leave the notice at the address of the vendor or the vendor’s agent to end this contract within this time in accordance with this cooling-off provision.You are entitled to a refund of all the money you paid except $100 or 0.2% of the purchase price (whichever is more) if you end the contract in this way.

The 3-day cooling-off period does not apply if:

- You bought the property at or within 3 clear business days before or after a publicly advertised auction; or

- The property is used primarily for industrial or commercial purposes; or

- The property is more than 20 hectares in size and is used primarily for farming: or

- You and the vendor have previously signed a contract for the sale of the same land in substantially the same terms; or

- You are an estate agent or a corporate body

Unfortunately, the principle of “Buyer Beware” applies to all Contracts signed by a purchaser and by signing the Contract the Purchaser is deemed to have fully read and understood the Contract together with making all necessary and complete enquiries to the relevant authorities prior to signing. It is not mandatory for a Vendor to provide all certificates relevant to a purchaser.  Sometimes the Purchaser must rely on information contained within the Section 32 Vendors Statement.

Clever Choice Conveyancing will make application for the following certificates as part of the Conveyancing procedure:

- Land Information Certificate provided by the appropriate municipal authority.

- Form 10 Building Certificate (only if the property includes a residence)

- Water Rate Certificate

- Water Encumbrance Certificate

- Land Tax Certificate

- Department of Planning Certificate

- Vic Roads Certificate

Many of our clients now elect to obtain Title Insurance through Stewart Title.  These policies compliment, rather than replace, the searches and checks that we perform on your behalf, and with many additional benefits.

Whether the property is subject to any structural defects or problems such as leaky roof, termites, bushfire prone, broken appliances such as heating, alarm etc.  Any development proposals for the surrounding area. Whether or not the land is subject to any contamination or pollutants.  Details of any final inspections or permits which have NOT been obtained.  If in doubt, the purchaser should ask the agent to make the Contract of Sale subject to special conditions.

As part of the Conveyancing procedure, this office will apply for a Form 10 Building Certificate for the local Council.  This Certificate will give details of any building approvals granted and whether final inspections have taken place.  However the Purchaser must be aware that even if the certificate shows that the vendor has not had final inspections on any structure on the land, the vendor is under no obligation to arrange for a final inspection or meet any requirements imposed by the Council.  Any notice issued by the Council after the Contract date in regards to outstanding final inspections is the responsibility of the Purchaser.  If in doubt, the purchaser should ask the agent to make the Contract of Sale subject to special conditions.

If the Property being purchased has a swimming pool or outside spa which is not fenced, the obligation to fence the pool or spa in accordance with Council regulations will inevitably fall on the Purchaser after settlement. We suggest you talk to the local Council about fencing requirements prior to signing the Contract of Sale.

Attached to the Section 32 Vendors Statement should be a copy of the Plan of Subdivision of the property.  Prior to signing any Contract of Sale, the purchaser should attend the property for the purposes of measuring the boundaries of the land, and ensuring the location of the land coincides with what is shown on the Plan.  If the Purchaser has any doubts, they should engage the services of a licensed surveyor who will be able to check such matters properly, and thoroughly.

When negotiating a price for the purchase of a property, do not forget to take into account the Stamp Duty that will become payable by you at settlement. Stamp Duty is normally the biggest added expense to be taken into account by the purchaser.

Stamp Duty in Victoria is based on the value of the property, usually the purchase price and MUST be paid at settlement.  If there is a mortgage, there will also be additional Stamp Duty.

You may be eligible for Stamp Duty exemption or benefits - check with Clever Choice Conveyancing.

Should you wish to establish how much will be due to be paid by you at settlement, you can contact this office for further details or visit the State Revenue Office website.

At settlement, you will also be required to pay fees to the Victorian Land Titles Office for the registration of your documents.  Included in these fees will be registration fees on the Transfer of Land which amount will depend on the Purchase price of the property, and registration fees on the mortgage (usually $110.00).  Should you wish to establish how much will be due to be paid by you at settlement, you can contact this office for further details.

Any prospective purchaser should be aware of the potential tax liability associated with the purchase. For example unless the property is used as your principal residence, you may be taxed on any profits made by you on the resale of such property.  If you intend to sell within 12 months of purchase, or if you believe you might be affected by any Capital Gains Taxes, you should contact the Tax Office or your Accountant.

As part of your application to lending institution, it is normal for a lender to charge an application fee.  Don’t be reluctant to bargain with your Bank on this.  Remember the lending market is competitive, and they want your business.

It is also likely that if you are obtaining finance from a lending institution, the lender will require you to produce a fully paid up Insurance Policy or Certificate of Currency prior to settlement.  If you are intending to purchase in the future, start shopping around for Insurance premiums now.

Clever Choice Conveyancing charge a fixed quote fee, plus the normal disbursements.  Contact us  today to get a quote.

Any Mortgage, Caveat or Charge registered against your property is required to be discharged at settlement.  The fees associated with the removal of these encumbrances are payable by the Vendor is reflected in the adjustment statement:

Be aware of the potential tax liability associated with your sale.  For example unless the property is used as your principal residence, you may be taxed on any profits made by you on the re sale of such property.  If you intend to sell within 12 months of a purchase, or if you believe you might be affected by any Capital Gains Taxes, you should contact the Tax Office or your Accountant.

Clever Choice Conveyancing charge Professional Costs which will be quoted over the telephone and or email on request.  You may also need to allow for the usual disbursements for searches and property enquiry certificates required.  We provide full written disclosure of our fees, so there will be no hidden costs or surprises.

Clever Choice Conveyancing charge Professional Costs which will be quoted over the telephone and or email on request.  You may also need to allow for the usual disbursements for searches and property enquiry certificates required.  We provide full written disclosure of our fees, so there will be no hidden costs or surprises.

The Purchaser has the right to inspect the property purchased within seven days prior to the date of settlement.  Contact should be made to the selling agent who will schedule a time and date for your final inspection.  The purpose of this inspection is to confirm the property is in the same condition (fair wear and tear excepted) as at the time you signed the Contract of Sale.  

Should the results of the final inspection not be to your satisfaction, you should contact Clever Choice Conveyancing immediately.  Settlement is usually not able to be delayed, but at least we, as your conveyancer, will have time to put the vendors agent/representative on notice that claims against their client will be made.  If you do not complete your final inspection prior to settlement and upon taking possession of the property find chattels missing or the like, it may be difficult for any claim to be made against the vendor.

Unless specified in the Contract of Sale, the keys to the property you are purchasing are usually with the Estate Agent and can be collected by you upon confirmation that settlement has occurred.

For obvious reasons, arrangements for a removalists should be made as soon as possible.  Clever Choice Conveyancing will endeavor to provide a settlement time to you as soon as possible, however due to other parties involved it may not always be possible.

Clever Choice Conveyancing will attend to the notification to the local municipal authority and the relevant water authority of the change of ownership, however due to privacy reasons, the connection of the Telephone, Electricity and Gas must be attended to by the Purchaser.  These should be arranged by the Purchaser prior to settlement.

This is usually the choice of married couples and each owner has an equal share of the property.  Joint Ownership or Joint Tenants means that if one of the owners of the property dies, the property is automatically transferred to the surviving proprietor irrespective of what is stated in their own Will.

This is usually the choice of unrelated parties.  It means that each owners share of the property whether they be equal or not is owned entirely by that owner and upon death can be transferred to whoever they please so long as it is stated in their Will.  In this system of ownership, tenants can hold unequal shares and same can be noted on the Certificate of Title to issue in their names.