Helpful Stuff

It is important that you understand what your conveyancer can, and can’t do for you. It is also important that you explain very clearly your position and your requirements. AIC members are encouraged to always use plain English, not complicated legal terms, so you understand exactly what is happening. You also need to tell your conveyancer of anything that may impact on the transaction. If you have severe financial restrictions, tight time limits, or any other specific concerns or special requirements, be sure you explain this at the very beginning. Nobody wants surprises or misunderstandings to ruin your transaction. Here are a few questions you may like to ask a conveyancer:

• Are you a member of the Australian Institute of Conveyancers?
• What’s the maximum I can expect to pay in fees and charges?
  
• What are your fees and what services are included in those fees?
  
• What will any additional services cost?
  
• What government fees and charges will I need to pay?
  
• How long will settlement take?
  
• How will you keep me up to date with what’s happening?

There are many costs and expenses involved in any real estate transaction. It is important that you are aware of all these costs so that you can budget for them. It can be disastrous if you do not prepare for all possible expenditure. Costs and expenses arise in various areas of the transaction. Some may not be obvious or may be unexpected. This is an overview of the expenses you can generally expect in buying a property:

• Fees and charges payable for obtaining any loan (mortgage)
• Stamp Duty
• Registration fees (paid to the Lands Titles Office)
• Search costs
• Rates and Taxes for the period that you will own the property
• Conveyancing fess and minor costs, and
• The costs involved in moving.

There may be other expenses in specific transactions, always ask your conveyancer for details of anything which may arise in your particular purchase. There are various websites that can assist you to calculate some of these costs. Stamp duty calculators are available on the RevenueSA site and the HomeStart site. The Real Estate Institute of South Australia site also has a table for stamp duty and registration fees. First home buyers may be eligible for a Commonwealth Government grant (First Home Owners Grant) and for a rebate of stamp duty. The RevenueSA site has useful information and calculators for the First Home Owners Grant and stamp duty concessions.

There are many costs and expenses involved in any real estate transaction. It is important that you are aware of all these costs so that you can budget for them. It can be disastrous if you do not prepare for all possible expenditure. Costs and expenses arise in various areas of the transaction. Some may not be obvious or may be unexpected. This is an overview of the expenses you can generally expect in selling a property:

• Fees and charges payable to discharge any loan (mortgage)
• Sales commission and advertising costs paybale to your agent
• Search costs
• Rates and Taxes for the period that you will own the property
• Conveyancing fess and minor costs, and
• The costs involved in moving.

There may be other expenses in specific transactions, always ask your conveyancer for details of anything which may arise in your particular sale.

Any real estate transaction is a complicated process with many costs involved. One of these will be the fees paid to your conveyancer. You should talk to your conveyancer about all the costs in your transaction including the conveyancing fees – none of us like surprises! As a professional body, the AIC does not set or regulate the fees charged by its members. Conveyancers have the expert skills to complete your transaction effectively and efficiently; our fees reflect our professionalism and the transaction complexity of your transaction. Whatever the fee, remember you are buying peace of mind. Remember, your conveyancer is working for you and is as important to your financial future as your bank manager or your accountant. Your conveyancer will:

• Protect your interests
• Be your advocate
• Keep you informed at every step, and
• Ensure you can exercise your rights and meet your responsibilities.

All transactions are not the same. Sometimes a transaction requires additional work that was not foreseeable at the outset. A conveyancer is entitled to charge additional fees for additional work. If seeking a quote for fees, you should always ask ‘what is included in this fee?’ and ‘what services will attract an extra fee and how will that fee be calculated?’ You should also ask your conveyancer to notify you if it becomes clear additional work is required.

It is not against the law to do your own conveyancing work. However, conveyancing work is highly technical and specialised. Do not attempt to do your own conveyancing unless you know precisely what to do and are certain you have the capacity to do it before you enter into the transaction. You cannot expect any assistance from the conveyancer acting for the other party. If you make an error, you may cause settlement to be delayed (causing default interest to be payable by you) or even enable the other party to terminate the contract. If you are considering doing the conveyancing work yourself, look at the list of tasks to be undertaken by a conveyancer and tick off those that you are experienced in doing. Interestingly, very few real estate agents attempt to do their own conveyancing when buying or selling for themselves. Conveyancing is an expert’s job: to be safe, you should engage an expert. Remember, you are buying peace of mind for just a few hundred dollars.

No, registered conveyancers are experts who specialise in conveyancing work; you do not need to use a solicitor at all. Some conveyancers are qualifed solicitors but many are non-solicitors who have completed specialist tertiary education in conveyancing. In fact, many law firms employ registered conveyancers to undertake their conveyancing work.

Not necessarily. Conveyancers and solicitors both provide specialist, professional advice and charge for their services accordingly. In most cases, the fees will reflect the complexity of the transaction; this is true whether you use a registered conveyancer or a solicitor. The real difference is that conveyancers are specialists who work only in this area whereas solicitors work in many areas of law. As with most things in life, you tend to get what you pay for. A registered conveyancer offers expert advice, professional service and peace of mind.

Most tranactions in South Australia are handled by conveyancers who are not solicitors. This is not surprising when professional non-solicitor conveyancers have been recognised here for around 150 years.

It is quite legal to use the same conveyancer and can often appear convenient to do so. However, it is not recommened. Remember that your conveyancer is there to work for you and be your advocate, not just stamp some forms and fill in the blanks. A conveyancer acting for both buyer and seller must cease to act if a conflict of interest arises (for example, if the same advice cannot be given to both parties). Conflicts can arise over all sorts of issues such as a delayed settlement or unfulfilled special condition. It is generally impossible to predict when this may happen. The savings from using the same conveyancer are small but the risks are potentially huge. Significant delays often occur if the conveyancer must cease to act in a transaction. Ask yourself if you’re really comfortable using the same person as the other party or if you would feel better working with your own conveyancer.

Many real estate agents have local conveyancers to whom they refer work, from properties they are selling. This is perfectly appropriate if based on the professionalism and expertise of the conveyancer and can be helpful if you don’t know of a conveyancer yourself. Remember, though, that your conveyancer is there to protect your interests; the choice of conveyancer is yours, not the agent’s.

No, conveyancers are not allowed to give specific financial advice unless additionally licensed.

Yes, you still need a conveyancer to prepare the contract of sale, a statutory disclosure statement (often referred to as ‘Form 1’) and other documentation required by law for the sale to proceed. You should contact a conveyancer before you advertise your property for sale, to ensure you fulfil your legal obligations.

Transferring a house to family or friends entails changing the registered ownership, the same as if you are selling. Your conveyancer can do this for you and ensure you meet your legal obligations. Unless additionally licensed, conveyancers are not able to give detailed financial or taxation advice on the impact of transferring your house to your children.

Yes, conveyancers who are members of the Austalian Institute of Conveyancers are required to be protected by professional indemnity insurance. This is to protect you, the consumer, in the unlikely event that something does go wrong.