Why there might be a difference between the conveyancing prices for buyers and sellers?
The amount of searches required when purchasing and selling differ in both NSW and QLD. There are also different stakeholders involved with respect to lenders/brokers, loan documentation, stamp duty. We always ensure our fees reflect the amount of work involved in a transaction.
What is Stamp Duty and do I need to pay it?
Transfer duty (also known as stamp duty) is a tax imposed on the buyer by the government on a purchase of a property and is determined on the purchase price. There are concessions available in both QLD and NSW if you are a first home buyer, and in QLD if the property will be your principal place of residence. Please go to the Office of State Revenue transfer duty calculator for NSW and QLD to calculate your stamp duty payable.
What is First Home Owner Grant?
If you are buying a new house for your first home, or you are building your first home, or buying a vacant block of land to build your first home, you may be eligible for a grant. Please contact our office to discuss your eligibility or consult the QLD or NSW Office of State Revenue.
What are Strata Levies?
Strata levies are the fees payable by the owners of each lot which cover the expenses of administrative tasks carried out by the strata scheme. This involves both daily operational expenses (administrative fund) and future expenditure (sinking fund). The strata levy amount is determined at each annual general meeting which is decided by a majority vote and the strata levy which you will be required to pay is calculated on the unit entitlements of each lot. Strata levies are generally paid every 3 months.
What are disbursements?
In NSW insurance risk passes on settlement day. All building insurance should be put in place before the purchase is settled. Your lender will want a copy of the policy before they agree to settle so this will need to be done a couple of weeks before settlement.
In QLD insurance risk passes from 5pm the first business day after the Contract is signed. Once you sign a Contract, you should contact your insurer to arrange insurance over the property. Most insurers will issue a policy with the first payment due within 30 days so you don’t have to pay for the insurance until the Contract is unconditional.
What documents do I need before I can sell my property?
Before you can start marketing your property, you are required to have a Listing Contract, which includes all the information you are required to attach to the Contract under the Real Property Act 1900.
You will also need your Certificate of Title also known as Title Deed. While NSW always issues a Certificate of Title, in QLD, Certificates of Title have not been issued without a request since 1997. If you have a mortgage, the Certificate of Title will be held by the bank.
If there is a loan still attached to the property then you must notify your bank of your intention to sell to arrange for discharge of mortgage documents. Any other documentation you may have with respect to pool compliance, survey report, extensions and renovations would also be helpful but not necessary.
In Queensland, why is my offer a Contract?
In Queensland, the agent will prepare the Contract of Sale. As a potential buyer, they will ask you to complete it and return to them so they may present it to the Seller as an offer. If the Seller accepts your offer, they will also sign the Contract. The Contract then becomes legally binding.
We always recommend getting us to check the Contract before you send it to the agent so we can ensure it protects your rights and interests.