Your Questions Answered

Do I need a Solicitor?

Solicitors play a crucial role in helping you buy your home. It’s important to find one early on as their advice can save you from making costly mistakes. A solicitor can help you with:

Advising the best ownership option

There are a number of options when it comes to ownership. You can purchase as a company entity, a trust, or in your own name, and your solicitor, often together with your accountant, can help you figure out which structure is right for your needs.

Searches

Your solicitor can help you get a LIM (Land Information Memorandum), if you need one. This report gives you details like plumbing, drainage, water reticulations plans, building consents, permits and licences for the property. Your solicitor can also help getting a Certificate of Title for the property you’re interested in to ensure you know exactly what you are buying.

Checking the contract

If you intend bidding at an auction your solicitor can check the auction documents to ensure there is nothing amiss before you buy.

If you are making an offer on a property, your solicitor can help you with advice on what conditions to put in the ‘Agreement for Sale and Purchase’.

You can put in an offer without talking to your solicitor, but your solicitor can help you out by reviewing the agreement after you have signed. If you make an offer without taking legal advice make sure it is subject to “solicitor’s approval of the form and content of the agreement.” That way, your solicitor can make sure the conditions in the agreement meet your requirements and nothing has been left out (or adverse conditions put in).

The paperwork for KiwiSaver and Homestart Grants

If you are using your KiwiSaver fund or Homestart grant to purchase your property, you will need to work with a solicitor to complete your application. A statutory declaration needs to be made as part of your withdrawal application and your solicitor will be able to take your declaration.

Home loan documents and settlement

Once your solicitor receives the home loan documents from your lender, they will go through the terms and conditions of the loan with you and give you advice before you sign.

As your settlement day nears your solicitor will manage the process of your purchase, including any KiwiSaver and/or Homestart funds.

Lastly, and importantly, they will arrange for the payment of the purchase price to be made to the vendor’s solicitor.

All in all, your solicitor plays a very crucial part in your home buying journey.