Conveyancing typically refers to the legal process you undertake when transferring real estate. Unfortunately, most property buyers are not interested in the technicalities and legal procedures conveyancers conduct as they buy property. However, understanding these processes goes a long way in preventing oversights that could land you in a legal or financial crisis. Below is a detailed piece on the conveyancing process.
As a buyer, you need a conveyancer representing your interests during the purchase. Some buyers opt to work with the seller's conveyancer. However, this is not advisable since the conveyancer has a conflict of interest. Conduct background research on your preferred conveyancer to ensure they have a practising licence and the experience needed to transfer property. You are at an advantage if the conveyancer specialises in the locality you plan to buy property. This way, the conveyancer is well acquainted with property laws, real estate trends and proposed development regulations.
Once you engage the conveyancer's services, they contact the property seller and introduce themselves as your legal representative. Consequently, the conveyancer begins the due diligence process to ascertain the property's legality and condition. For instance, they check whether the title details correspond with the information in the land registry. Moreover, they assess whether the property has an ongoing dispute or has been used as collateral for a loan. The professional also checks local land laws, easements and zoning regulations that could affect how you use the property. Finally, the conveyancer sanctions a property inspection to establish the structure's build quality, the presence of pest infestations and dangerous materials on the property.
If the property meets the conveyancer's eligibility criteria, they appraise it and compare its valuation against the seller's asking price. They use the valuation to compel the seller to lower their asking price. If both parties agree, they set the conditions for sale. For instance, you could be required to provide a mortgage pre-approval letter. On the other hand, the conveyancer could ask the seller to conduct minor renovations and provide all documentation relating to the property. The parties then draft a contract to formalise their agreement.
If you plan to take a mortgage, the conveyancer approaches lenders and negotiates the lending conditions. The conveyancer's primary objective is to ensure you get a mortgage with reasonable terms and interest rates. Once they secure financing, the bank pays the seller and the conveyancer commences the property transfer process. Once the property is in your name, you pay the conveyancer and the conveyancing process comes to a close.
Reach out to a firm such as ARDENT LAWYERS to find out more.