Do You Need a Conveyancer When Buying a House?

There's much still to be done after your offer to purchase a home is accepted or you win at an auction. There'll be dealings with your lender, as well as all the official stuff involved in transferring the legal title of a property from the current owner to you.

This process is referred to as conveyancing.

What does a conveyancer do when buying a house?

A conveyancer or solicitor can take on many of the administrative tasks involved with transacting in property on your behalf, whether you're a buyer or a seller, assuming responsibility for:

• Certificates of title for the property

• Legal documents associated with the sale

• Calculating rate and tax adjustments, stamp duty, and other financial requirements

• Checking with governments and councils on the status of the property

• Representing you on settlement day

In most Australian states and territories, you can appoint a professional conveyancer to look after these processes. Although, in some, only registered solicitors are permitted. Here's a quick rundown of which professional you need in each area:

State/territory	Conveyancer	Solicitor
New South Wales	✔️	✔️
Victoria	✔️	✔️
Queensland		✔️
South Australia	✔️	✔️
Western Australia	✔️	✔️
Tasmania	✔️	✔️
Australian Capital Territory		✔️
Northern Territory	✔️	✔️

Do I need a conveyancer to buy a house?

It's not legally required that you engage a conveyancer in Australia. You can choose to undertake the process yourself.

In fact, you can purchase do-it-yourself conveyancing kits for most Australian jurisdictions that can guide you through the process. These range in price from around $80 to $150.

But DIY-ing your conveyancing can be a risky move. If you fail to submit the appropriate paperwork, correctly completed, along every stage of the sale process, it could result in your contract being scrapped.

Not only would this see you miss out on securing the property, you could also face losing your deposit.

Conveyancers and solicitors are specialised in the field and know what to look out for. Sometimes, red flags are discovered during the sale process, such as easement requirements, caveats, or covenants that an untrained amateur may not pick up on.

See also: What is a conveyancer and how do you choose one?

What can a conveyancer do for a buyer?

A good conveyancer will:

• Guide you through the contract of sale and process of buying the property

• Research the property title, identify potential issues such as easements, covenants, outgoings, outstanding mortgages, and other issues such as bushfire or flood zones

• Deal with the seller and the seller's agent on your behalf

• Coordinate payment at settlement with your lender

• Provide information on what happens upon settlement

• Prepare and lodge all documents needed for the transfer of the property

• Ensure the settlement process proceeds smoothly and on time

If you're looking for a lender with a competitive interest rate at this time, the table below features some of the lowest interest rates on the market for owner occupiers.

Important Information and Comparison Rate Warning

What can a conveyancer do for a seller?

If you're selling a property, a conveyancer can be just as important. They will:

• Ensure the buyer's deposit is released to you

• Work with your lender to discharge any mortgage on the property

• Prepare the contract of sale and other requirement documents

• Handle the release of title documents for transfer to the new owner upon settlement

• Ensure the settlement process proceeds smoothly and one time

How much does a conveyancer cost?

Conveyancing costs typically range from $800 to $2,500, depending on where you live, but they can save you plenty more money in the long run.

At the very least, they can provide you with valuable information to help you decide whether to proceed with the sale.

Bear in mind, there are usually additional expenses involved in the sale process, particularly for buyers, known as disbursement costs. These are charges and fees levied by state and local governments to access their information. Some of these may include:

• Title searches

• Building certificates

• Drainage diagrams

• Council rates inquiries

• Local government pool compliance certification

Many conveyancers charge a flat fee for their services, while a solicitor generally charges by the hour.

When do you appoint a conveyancer?

In competitive housing markets, real estate agents might ask you to submit your offer on a contract of sale. At this stage, you'll probably be asked to include the details of your conveyancer or solicitor, so it's a good idea to have one ready to go.

If you appoint a solicitor, you can send the contract to them to examine before you sign it to ensure all terms are in order. A conveyancer who isn't a solicitor won't be able to assist you with that.

It's important to note neither a conveyancer nor a solicitor is ever likely to set foot on the property they're dealing with. The onus is on you to pass on any observations to them, such as a neighbour seemingly impinging on boundaries or a swampy patch that may indicate a flood zone.

Sometimes, factors discovered in the sale process can give you grounds to renegotiate the sale price, if you choose to proceed with the sale after they come to light.

A conveyancer or solicitor will be able to provide you with advice and guidance if this occurs.

Image by Hannah Wei on Unsplash