Want to know the secret to many successful property investors? They properly vet all legal property documents prior to purchasing! Legal documents are an essential part of any property purchase, and it’s essential that you cross your T’s and dot your I’s as well as seek professional council for each and every one prior to signing. Not doing so, could leave you in a situation you aren’t prepared for. Here is a list of all of the most important property documents required to purchase a residential property, so that you know what to expect.
1. Title Deed
Also known as the Sales Deed or Conveyance Deed, this is the primary evidence of sale and transfer of the property’s ownership. This document is essential to the buyer, especially at the time of resale as it proves that you are the legal owner of the property. It is also proof of the acceptance of sale. As such, the Title Deed must be registered with the Queensland Land Registry Service (or the appropriate state Registry Service of your property if outside Queensland).
2. Copy of Building Plan
If you are buying a newly constructed or off-the-plan property, then you need to make sure that you have a copy of the building plan approved by the statutory body. It is used to establish that the construction of the property is legal and done according to the set rules and regulations.
3. Sale Agreement
A sales agreement is a document that lists a large set of items about the property sale, including the: terms and conditions, possession date, payment plan, specifications, details about any common areas or building facilities, etc. This agreement also ensures that the developer is held responsible for the correct construction of the property, if you are purchasing a new build or under construction property. You must have an original copy of this document for the property purchase as well to acquire a home loan.
4. Possession Letter
If the property you are purchasing is currently under construction, a possession letter needs to be provided to you by the developer. This letter will set a date on which the developer will grant the buyer possession of the property. In order to acquire a home loan, an original copy of this letter must be provided to your lender.
5. Authority to Act
In order for the settlement process to go ahead, you will need to have hired a solicitor who will arrange all of the transactions. In order to give them the authority to act on your behalf, your settlement agent will ask you to sign an Authority to Act document. Without this signed document, your solicitor will not be able to conduct the conveyancing process on your behalf and the settlement will not go through. It is essential to ensure you have signed all of the necessary documentation for your solicitor to go ahead with your property settlement.
If you make sure to double check these five essential documents you are sure to have a smooth sailing property settlement. You can rest easy knowing that your property purchase was as stress-free and seamless as possible.