Settlement & Transfer of Land
What is settlement?
Settlement is the date nominated by the parties upon signing the contract of sale for when the property will be transferred from the vendor to the purchaser. The property settlement date is generally 30, 60 or 90 days from the date of signing the contract of sale.
What happens on the day of the property settlement?
Settlement is when the documentation is exchanged between the parties that allows for the title to be transferred from the vendor to the purchaser. In order for this to occur, the purchaser will require the vendor to sign a Transfer of Land form which allows for the land title to the property to be transferred to the purchaser. A vendor will produce the signed Transfer of Land form once the vendor has received the balance of the purchase price from the purchaser. There are also several forms that need to be exchanged between the parties to inform the State Revenue Office about matters relating to stamp duty and GST.
What happens once settlement occurs?
Once the property settlement has occurred, the title needs to be transferred into the purchaser’s name. This occurs at the Land Titles Office.
What is needed to transfer the title?
In order to transfer the title, any stamp duty that is required to be paid needs to be paid first at the State Revenue’s Office. A receipt is obtained which needs to be shown to the Land Titles Office. At the Land Titles Office, the transfer of land form, along with the stamp duty receipt and any discharge of mortgage form (if applicable) is produced to the Titles Office which is then processed and the title will be transferred as per the instructions on the transfer of land form.
Are there any fees involved in filing the transfer of land form?
Yes. There is a land transfer fee of $94.60 and 0.00234% of the purchase price that needs to be paid when lodging the transfer of land form. This is capped at $3,605.00. There is also a fee of $114.90 to register any mortgage that is taken out on the property.