Conveyancing, like other real estate elements, can be overwhelming, especially when there are myriad issues that arise. Whether it be delays, extra costs, legal issues or something completely different. There can always be something to pop up and make the process a real pain!
But through efficiently dealing with the issue you can stop what could be a serious issue in its tracks.
With this in mind, here are seven common conveyancing problems and how to avoid them:
Chain breaks
The best conveyancer Perth has will tell that one of the main problems in this industry is the chain break. Chain breaks often result in delays, emotional turmoil, financial losses. And happen when a party does not fulfil its obligations making the entire chain of conveyance collapse on itself.
Having the right conveyancers, clear communication and achievable deadlines ensures this issue is one that can be avoided. What’s more, you might also want a backup plan, such as another place to stay in case of chain break.
Property title problems
Property title problems, such as outstanding mortgages and boundary disputes, can also cause major delays in the transfer process. These problems have a major impact on the property’s legal ownership and need to be resolved before the sale is finalised.
Conducting a full title search that includes legal agreements, deed examinations, mortgages and more is the best way to ensure a smooth transfer.
Extra costs
It must be not forgotten that extra costs can accumulate quickly when transferring the property from vendor to buyer, and this can delay the transaction whilst causing financial strain. Extra costs for stamp duty, fees for searches and more can be avoided by obtaining detailed quotes upfront that are complete with price breakdowns.
It’s vital to consider these extra fees, including removal costs and surveying (if applicable), as you don’t want any shocks further down the track!
Inaccurate paperwork
Inaccurate, incomplete paperwork can cause significant delays and legal problems throughout the transfer process. Incorrect information, missing signatures and outdated documents are typical issues that can cause serious strain throughout the transfer process.
It’s vital to ensure that all your paperwork is finalised, updated and accurate, whilst working closely with your conveyancer to ensure that all documentation is complete.
Environmental problems
Environmental problems can cause legal and financial issues for both vender and buyer. Common issues include asbestos, soil contamination and other environmental problems located on the property. Thorough inspection, including that of a registered building inspector, is one of the best ways to ensure the home is structurally sound and doesn’t have environmental issues.
Mortgage issues
Mortgage problems occur when the buyer is unable to meet the terms and conditions laid out in their mortgage agreement. Unfortunately, this can eventually lead to the transfer being cancelled. Especially when the property’s appraised value is lower than the agreed purchase price, as this can cause problems for receiving the right financing.
Buyers must work closely with lenders to ensure they are able to meet the conditions set out in mortgage agreement.
Property inspection problems
Property inspection, as aforementioned, is essential to ensuring the property itself is of sound structure. It doesn’t contain any defects like mould, pest infestation, water damage etc.
Although this could delay the transfer process, it can actually save you from buying a defective property or paying too much for it, as you can likely negotiate a better buying price once you know that the home has a defect that requires fixing!
