When buying property, some people may opt not to hire a conveyancer since they perceive conveyancing as an unnecessary additional cost. However, failing to hire a conveyancer may prove to be very expensive in the long run. The article below discusses why you must hire a conveyancer when buying property.
Searching a title is a straightforward process in Australia. However, you may need a conveyancer's expertise to identify property boundaries. You may be shocked to find out a section of the property, such as the backyard or parking area, lies on public land or is part of your neighbour's land. The conveyancer will also conduct some research to determine the conditions of strata or company titles. For instance, you may be prohibited from changing the home design.
Conveyancers are real estate professionals. As such, they will explain the findings of the contract of sale. For instance, a crack in the foundation could lead to water seepage, a bulging slab, cracked tiles and a humid basement. Additionally, it may expose your house to termite infestation. The location of amenities such as gas, water and electricity lines may prohibit you from renovating or extending the home. On the other hand, a poor drainage system may lead to waterlogging during rains and sewage problems.
It would be challenging for you to negotiate the asking price against the seller's solicitor. However, a conveyancer would know what tactics to use to ensure a price cut. He or she will also visit your bank to negotiate interest rates and repayment terms on your behalf.
Contract of Sale
The conveyancer will guarantee that the contract of sale protects your interests. For instance, he or she will ascertain the agreement prohibits the seller from gazumping. Additionally, the conveyancer will ensure the seller provides full disclosure. For example, the contract should state if the property has structural damages or is located on contaminated land. He or she will make sure the contract has contingencies allowing you to conduct a house inspection and requiring the seller to repair the house.
Errors and Omissions
Errors and omissions on the contract of sale could result in future liabilities. For example, take a situation where the buyer purchases a property only to realise zoning regulations prohibit such kinds of developments. Most conveyancers have professional indemnity insurance that would compensate the buyer if the conveyancer is found to be at fault.
The main benefits of hiring a conveyancer are that he or she will conduct due diligence, organise home inspections, help you cut costs, examine the contract of sale and protect you from future liabilities.
To learn more about property conveyancing, contact a conveyancer in your area.