Buying a home made easier

Buying a new home may be one of the biggest financial decisions you make.

You must have a lawyer complete certain documents and the transfer, but there is a lot you can do yourself to manage the move.

To help it go smoothly you need to consider several things to make sure everything is ready for the big shift.

We have prepared a ‘‘to do’’ list to help make the transition into your new home organised and less stressful:

Sale and purchase agreement

Has your lawyer checked your sale and purchase agreement before signing?

Have appropriate clauses been included in the agreement (for example, finance, builder’s report, LIM report, certificate of title)?

Have you obtained finance from your bank?

Have you advised the bank of your lawyer’s contact details?

Have you organised a builder’s report?

Have you arranged insurance for your new home?

Have you organised your insurance company to send a certificate of insurance to your lawyer?

Have you notified your lawyer that all conditions have been satisfied? Pre-Settlement Inspection Have you arranged a presettlement inspection with the real estate professional?

Have you advised your lawyer of any matters arising from the inspection requiring any action? Settlement Have you forwarded your deposit to your lawyer?

Have you advised your lawyer what your contact details will be on settlement day?

Have you signed the mortgage or transfer documents?

Have you arranged for collection of the keys? Moving House Have you arranged movers? Have you started packing things you won’t need before moving?

Have you selected a room in which you can store all your packed boxes?

Have you given written notice to your landlord (if applicable)?

Have you made a record of mail for notifying change of address?

Have you notified your telephone, power and gas companies of the date you are moving?

Have you notified your television service for transfer (if applicable)?

Have you arranged care for your children/pets for the day you are moving?

Have you collected change of address cards?

Have you arranged redirection for your mail?

Notify the following of your change of address: Your bank. Your credit card company. Hire purchase companies. Inland Revenue. Electoral Department. NZ Transport Agency After the article about trusts, J has further questions. Are trusts a legal entity, like a company?

No, trusts are not legal entities; they are equitable entities. Trust assets are held by the trustees on behalf of the beneficiaries. All assets owned by a family trust will be recorded as owned by the trustees ‘‘as trustees of the Smith Family Trust’’ rather than by the Smith Family Trust.

Does a trust pay tax on its earnings/assets?

Yes, there is a trust tax rate (currently 33 per cent). Trusts can file tax returns and pay income tax.

The article referred to the assets of the trust being ‘‘held separately for those for whom the trust has been established’’. What does this mean?

This means that the trustees of the trust hold assets in their names on behalf of the beneficiaries.

The assets are transferred from the names of those who are setting up the trust to the trustees.

The trustees are responsible for making decisions on behalf of the trust.

The trustees must always consider the best interests of the beneficiaries.

Who controls administration?

The trustees are the ones in charge of administering a trust and ensuring that it keeps proper paperwork, records decisions properly, has an annual meeting etc.

There are also usually other professionals involved, including lawyers and accountants.