Selling and S.32 Vendor’s Statement
When selling your property, it is a requirement under Victorian Law to provide the prospective buyer with a section 32 Vendor’s Statement which is a precontractual disclosure document which provides the purchasers with vital information such as rates, zoning, services, building works, title search etc and it needs to be signed by both parties to enable a legally binding contract of sale to come into existence.
If the section 32 vendor’s statement contains incorrect or incomplete information a purchaser may be able to avoid the contract at any time prior to settlement.
Vendors of flats and units will be required to provide an Owner Corporation Certificate as well to be attached to the section 32 Vendor’s Statement.
Contracts of Sale
Contracts for the sale of land must be in writing. These will be prepared either by the selling agent or we can prepare same if no real estate agent is involved or where there is an auction contract required. The Vendor has the right to determine the terms of the Sale Contract and our solicitors will prepare the best terms and conditions in the contract for your best advantage.
Once the property has been sold ( after the contract and S.32 Statement has been signed by all parties) we will contact your bank and determine its requirements to discharge your mortgage and determine a payout figure for settlement.
Settlement
The date of settlement is specified in the Contract and settlement is usually held at the vendors bank in the city. After paying out your bank, the net proceeds are either banked by us into your nominated bank account or you can pick up the cheque from our office soon after settlement. The purchaser is entitled to inspect the property a week prior to settlement and is entitled to get the property in the same condition and repair as it was when first purchased. You should vacate the property just prior to settlement and leave the keys with the agent.
You should arrange for final readings for electricity, gas and phone. We will adjust council and water rates and owner corporation fees if applicable.
At Cheapest Conveyancing Co we take pride in our work and endeavour to develop lasting relationships with our clients and other members of the public.
Auctioning Your Property
Auction sales do not suit every property or vendor, so the best person to discuss the method of selling your property is your Real Estate Agent. Most auctions occur about a month after you instruct your Real Estate Agent to sell your property as there is a four week advertising campaign leading up to the auction date.
You should instruct us a least three weeks before the auction date so that we can prepare the auction contract, s.32 vendor statement and get all the necessary auction certificates e.g. Council Land Information Certificate, Water Information Certificate, Planning Certificate, Roads Certificate, Land Tax Certificate, Owners Corporation Certificate (if a flat/Unit is being sold).
Potential buyers may make offers to buy your property through your Real Estate Agent prior to the auction and if you accept an offer then your property will be sold, without the need for an auction, once you accept the buyers offer and all parties sign the auction contract and the s.32 vendors Statement.
Once all documents have been signed please request your Real Estate Agent to send us a copy of the signed documents. We will then complete all conveyancing work as required.
Release of Deposit
We will prepare a s.27 (of the Sale of Land Act) Vendors Release of Deposit Statement together with the Contract and s.32 (of the Sale of Land Act). This document needs to be signed by all parties to the sale as well. It should contain all details about your mortgage…..which bank, amount borrowed, balance now owing, present interest rate and due date of the loan and that you are not in default and there are no provisions for further loan advances.
You should request a letter from your bank requesting these details once you decide to auction your property. You should also request a discharge of mortgage form from your bank to sign. If you have no loan then simply tell the buyer that there is no loan applicable to your property.
The Transfer of Land Document
Once the property has been sold the purchaser must provide a Transfer of Land to the Seller or the Sellers Conveyancer at least 10 days prior to the settlement date as set out in the Contract of Sale.
We will then forward the transfer for you to sign together with a State Revenue Office Goods Statement of Land to the effect that there is no GST applicable to the sale of residential land and to confirm the Contract of Sale price to determine the correct Stamp Duty applicable to the Sale. If the property being sold is not residential then we will prepare a State Revenue Goods Statutory Declaration instead.
The Transfer of Land and Goods Statement or Goods Statutory Declaration together with the Title and discharge of your mortgage are handed over to the buyers bank/ Conveyancer/Solicitor at settlement in exchange for the balance of purchase monies due to you pursuant to an adjustment statement that we receive from the buyers Conveyancer/Solicitor just prior to settlement. We will check this statement to see that it is correct. It contains information in regards to rates, water, title office fees, rents, and owners corporation charges (if it is a flat/unit being sold).