Con­veyanc­ing terms ex­plained

Wangaratta Chronicle - North East Property Guide - - NEWS -

For first time buy­ers, all the le­gal mumbo jumbo may seem a lit­tle over­whelm­ing. That’s why it’s best to turn to the pro­fes­sion­als like so­lic­i­tors and con­veyancers but even the pro­fes­sion­als use ter­mi­nol­ogy that you might not have heard be­fore. That’s where we come in. Here are a few con­veyanc­ing terms ex­plained to help you un­der­stand the “lingo”:

Sec­tion 32

A Con­tract of Sale of Real Es­tate in Vic­to­ria can­not be signed un­til the Sec­tion 32 has been pre­pared and signed by the Ven­dor.

The Sec­tion 32 dis­closes cer­tain in­for­ma­tion about the prop­erty in­clud­ing but not lim­ited to: • the Ven­dor's de­tails; • the Ti­tle de­tails; • in­for­ma­tion re­gard­ing build­ing works done in the past 7 years; • par­tic­u­lars of any mort­gages over the land; • in­formbb­ba­tion re­gard­ing covenants, ease­ments and any other • re­stric­tions on ti­tle: • plan­ning in­for­ma­tion: • de­tails of the amount of rates payable; • dis­clo­sure of any no­tices or orders is­sued by the au­thor­i­ties re­gard­ing fenc­ing, road widen­ing and sew­er­age

• ac­ces to the prop­erty by road: and

• in­for­ma­tion on ser­vices not con­nected to the prop­erty.

It is very im­por­tant that the Sec­tion 32 is prop­erly pre­pared as a de­fec­tive Sec­tion 32 can al­low a buyer to avoid a Con­tract penalty-free. Cool­ing off Buy­ing a prop­erty is likely the high­est value trans­ac­tion that you un­der­take in your life. It can also be a very emo­tional de­ci­sion and some­times you may buy a prop­erty with­out do­ing all due dili­gence. The coolin­goff pe­riod is a con­sumer pro­tec­tion pro­vi­sion that gives you the chance to “cool off” from your ini­tial de­ci­sion af­ter you have had a fur­ther chance to re­view that de­ci­sion.

Dur­ing the cool­ing-off pe­riod (within three clear busi­ness days of the buyer sign­ing the Con­tract in Vic­to­ria). the buyer can change his/her mind and can­cel the con­tract. There is a mon­e­tary penalty if a buyer chooses to “cool off”.

Cool­ing off pe­ri­ods do not ap­ply in some cases. One sit­u­a­tion where you can­not “cool off” is buy­ing at auc­tion (or within 3 clear busi­ness days ei­ther side of an auc­tion). Con­di­tions of a Con­tract In Vic­to­ria it's im­por­tant to un­der­stand the dif­fer­ence be­tween the Gen­eral Con­di­tions of a Con­tract and the Spe­cial Con­di­tions.

The Gen­eral Con­di­tions are the stan­dard terms of the Con­tract which are in­cluded with the in­ten­tion of cov­er­ing many of the most im­por­tant as­pects of a stan­dard trans­ac­tion. How­ever each trans­ac­tion is dif­fer­ent and par­ties have dif­fer­ent needs so con­tracts may also have Spe­cial Con­di­tions added. Spe­cial con­di­tions are in­cluded by agree­ment and can over­ride the stan­dard terms so you need to check the Spe­cial Con­di­tions care­fully.

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