What happens at settlement? Blog article
Settlement is the official time when the title of the property and the money are exchanged between buyer and seller. It’s exciting as it means you’re one step closer to receiving the keys of your new property, the final step in the process of claiming it to be rightfully yours.
The amount of time you have before settling can be anywhere from 30 days or up to 90 days in Victoria but this can vary from state to state. This gives you more time to continue saving and sort out other aspects of the process before settlement.
Unless things have been forgotten or left until the last minute it’s unlikely you’ll need to sign any documents on the day of settling. This is usually completed in the lead up to settlement and the balance of the purchase price will need to be finalised. On the settlement day you won’t need to attend – the work is done between the solicitors and they take care of the exchange and paper work. This also includes outgoings such as rates and other charges which are adjusted between you and the seller. While the seller is responsible for rates up to and the day of settlement, you take responsibility the day after. Stamp duty will also need to be settled but you still have up to 30 days to pay – you just won’t be able to receive the title of the property until then.
You’ll be given a time to pick up the keys from the agent and after that, the property is yours to move into!