Montane Conveyance
Frequently asked questions
▶ What does “time is of the essence” mean?
▶ Who is responsible for damage to the property once the contract is signed?
▶ Why do I need a building and pest inspection?
▶ Can I terminate the contract?
▶ Can the contract terms be changed?
▶ Do I need to come into your office during the conveyancing process?
▶ How do I know when settlement is complete?
▶ I expected to get a paper title to my property, but it hasn’t arrived. Do I get an original paper title to show my ownership?
▶ What are mortgage release fees?
▶ What are the key dates in a property transfer contract?
▶ What are the Standard Terms and Special Conditions in a contract?
▶ What do I need to do on settlement day?
▶ What happens at settlement?
▶ What happens if their is a legal problem with my contract?
▶ What is a property Title?
▶ What is the cooling-off period?
▶ What is transfer duty and do I need to pay it?
▶ What price adjustments are made at settlement?
▶ What searches are done on my property before settlement? (Buyer)
▶ How do natural disasters affect the transfer of my property?
▶ What does “buyer beware” mean?
▶ I have additional questions about Montane Conveyance. Who can I contact?
What does “time is of the essence” mean?
Sometimes a contract states “time is of the essence”. This means you must perform your obligations strictly by the due date. For example, you must be able to settle by 4.00pm AEST on the settlement date or else the other party may either terminate or seek to enforce the contract. In both cases, the aggrieved party may claim compensation from you.
The contract usually says that if anything is to be done on a day not a business day, it must be done on the next business day. Under the contract, business days are days other than any public holiday in the place named in the contract for settlement, any day in the period 27 December to 31 December (inclusive) and Saturdays and Sundays.
Who is responsible for damage to the property once the contract is signed?
The property is at the buyer’s risk from 5:00pm on the first business day after the contract date.
Despite this, Montane Legal strongly recommends you maintain your insurance policy until we have confirmed that settlement has been effected. There are many circumstances in which the risk returns to you without notice (even after the contract is unconditional). So it’s important to maintain your insurance to avoid potential significant loss to you.
You have a continuing obligation until settlement to take reasonable care of the property and if the property becomes “unfit for occupation” as a dwelling before settlement, then the buyer may have a right to withdraw from the contract.
However, if the property is damaged in certain ways between the Contract Date and settlement (for example, due to fire or vandalism) then you will likely be able to require the buyer to settle in accordance with the contract irrespective of the damage (unless the buyer has another right of termination it can exercise, such as a residence being so destroyed or damaged as to be unfit for occupation).
As is typical in property law, there are several specific regulations and laws you must apply during the sale of your property. Montane Consultants can advise you.
Why do I need a building and pest inspection?
Naturally, buyers want to know about potential property issues before purchase.
Building and pest inspections help to protect buyers from nasty surprises after settlement, like termites or structures without council approval. Typically, the buyer hires a licensed tradesperson to perform the inspection.
On the building and pest inspection day, the buyer tells us whether or not they’re happy with the results. The Montane Property team handles the rest.
In some states, the building and pest inspection date is finalised prior to signing the contract. Of course if the land is vacant, you won’t need a building and pest inspection.
Can I terminate the contract?
It depends. There are times when a contract can be terminated. The first is when there is a clause that allows you to terminate. The second is when one party to the contract is in default.
Of course, before you take steps to terminate a contract, you should speak with your Montane Property consultant. Your consultant will let you know if there are consequences of termination you’re not aware of.
Can the contract terms be changed?
Yes, but only if the seller and the buyer agree in writing.
Obviously, when changes to a contract are required, contact your Montane consultant to negotiate the change so steps taken are legally valid and have minimal negative impact to you.
Do I need to come into your office during the conveyancing process?
The Montane Legal Cloud allows you to complete your property transfer without having to come to our office. So Montane Conveyance saves you time. And energy.
Should it be necessary for us to see you in person, we make sure to book an appointment well ahead. Other than that, the Montane Conveyance team can handle everything smoothly and efficiently via email, post and phone.
How do I know when settlement is complete?
With Montane Conveyance, we make it a point to always keep you informed. So, you’ll never be left wondering “how things are going”. Communication with you is especially important on settlement day.
As part of Montane’s commitment to always keep you informed, we’ll be in touch immediately to let you know your settlement has been completed. So make sure you’re available via phone or email on settlement day.
I expected to get a paper title to my property, but it hasn’t arrived. Do I get an original paper title to show my ownership?
Throughout the last decade, many States have gone “paperless”, which means you no longer receive a paper title with your property transfer.
In the transfer process, if your lender has provided funds, it lodges the transfer documents with your State’s Land Titles Office. This important step ensures you have legal ownership of your property. Sometimes the bank makes errors. You can check to see that the bank has done their job properly by getting Montane’s TitleSafe.
TitleSafe gives you the most accurate and up-to-date report on your property Title. So you can have peace of mind that the bank has done its job properly.
What are mortgage release fees?
Mortgage release fees are paid to the Titles Registry for all releases of registered mortgages. The seller is responsible for the fee. If a bank is involved with your sale, the purchase price is adjusted at settlement to account for the fee.
The Montane Property Team takes care of the calculations and paperwork as part of your property transfer.
What are the key dates in a property transfer contract?
There are several.
The key dates to be aware of in a property transfer include:
- contract date. Learn more >
- end of the cooling off period. Learn more >
- finance approval date. Learn more >
- building and pest inspection date. Learn more >
- settlement date. Learn more >
What are the Standard Terms and Special Conditions in a contract?
Property contracts have Standard Terms to cover the important aspects of a transfer. But each property transfer is different. The buyer and seller may have unique needs, so some contracts have Special Conditions.
Special Conditions are included by agreement and can override Standard Terms. So it’s important you understand what the added terms mean before signing.
To find out what how a Special Condition in a contract will affect you, contact your Montane consultant who will guide through all the legal pitfalls and make sure you are protected.
What do I need to do on settlement day?
Montane Legal takes care of everything on your settlement day. The only thing you need to do is make sure you’re contactable via phone or email.
Once settlement is complete, we let you know immediately.
For sellers, make sure you have removed everything you own from the property prior to settlement. Anything left at the property after settlement will be deemed abandoned.
What happens at settlement?
On the day of settlement, the buyer and the seller’s legal teams get together at a prearranged time to exchange documents and transfer funds.
It is not necessary that you attend settlement, Montane will handle settlement on your behalf.
At settlement, your Montane consultant will scrutinise documents in finest detail to make sure they are accurate and complete. When we’re satisfied your interests are covered, we complete settlement.
What happens if their is a legal problem with my contract?
The Montane Legal team will be there to assist and guide you when things get tricky in your property transfer.
Our aim is to minimise the occurrence of disputes, but if unpredictable events occur – for example, you find out during your pre-settlement inspection that the seller has removed a fixture – Montane offers a range of legal solutions to make sure you get the best outcome possible. Smoothly and without stress.
What is a property Title?
Title is the record of property ownership. It’s similar to vehicle registration for a car. Each state government has a land titles register where property ownership is recorded.
In the past, a paper document called a Certificate of Title was issued. A Montane Conveyance standard search package includes a Current Title search, which reveals if an original Certificate of Title exists and more.
What is the cooling-off period?
Sometimes, a buyer may change their mind. In most States, a standard property transfer has a cooling-off period.
If you’re the buyer and not totally happy, you can terminate the contract during the cooling-off period. For example, the cooling-off period may expire five business days after the contract date.
See your Montane Conveyance support related materials for details.
What is transfer duty and do I need to pay it?
Transfer duty is sometimes called stamp duty. It’s a State Government imposed tax.
The buyer pays transfer duty. The calculations, paperwork, and government compliance process is taken care of with Montane Conveyance.
The amount of transfer duty is determined by the sale price of the property. There are many concessions potentially available to buyers. The Montane Property team knows exactly what concessions you might be eligible for and we handle all the paperwork required to get them.
What price adjustments are made at settlement?
For sellers, the Montane Legal Property team takes care of the calculations, so you get the correct settlement adjusted price.
For buyers, any fees you’ve paid past the settlement date will be refunded to you once your property transfer is complete. You’ll pay your share of rates only for the period after settlement. This fee is added to your purchase price.
What searches are done on my property before settlement? (Buyer)
Searches provide you with important property information. The advantage of searches is they tell you what you need to know about the property, for example whether or not there are easements or encumbrances. The trouble is, searches can be costly and some may not be relevant. So Montane ensures that you get the minimal number of searches to provide you with all the essential information.
A standard Montane property transfer search package includes a title search. If the seller is a company, it will also include a company search. Additional searches are available for specific concerns.
How do natural disasters affect the transfer of my property?
Sometimes when there’s a natural disaster, such as a flood or bushfire, it’s difficult to for sellers or buyers to meet their obligations. Time is no longer considered of the essence. But it’s still up to both parties to minimise delays to settlement caused by the disaster.
There are certain procedures that are followed to notify parties about the new settlement date, if any, or the reinstatement of time is of the essence. The Montane Property team takes care of them for you.
What does “buyer beware” mean?
In some States, the onus is on a buyer to obtain searches about the property to make sure everything is as expected.
Plus, in some States, there is no obligation on the seller to tell you about the property or any of its defects or other issues, except for limited contractual warranties and statutory disclosure.
In States where there is no obligation on the seller to tell the buyer about the property or any of its defects or other issues, Montane recommends buyers conduct several important searches as soon as possible because:
- it might be possible to identify unsatisfactory search results before the contract becomes unconditional; and
- if we are able to obtain search results early, we can give you advice on any contractual or other rights you may have so you may exercise them while you can.
I have additional questions about Montane Conveyance. Who can I contact?
To get the extra information you need, you can contact our helpdesk.
Additional Product Support Information
Visit Montane Conveyance Support for more information.