Frequently Asked Questions
Post Exchange to Settlement
Deposit
If the Vendor agreed to you paying a 5% deposit on exchange you will not be required to pay the remaining 5% deposit until settlement. The remaining 5% deposit will form part of the required funds to settle.
Settlement Adjustments
Settlement adjustments are financial calculations that fairly split property-related costs (like council rates, water, strata fees) between the purchaser and vendor based on the settlement date, ensuring each pays only for the time they own the property.
Our team will provide you with the settlement adjustment calculations in the week prior to settlement
Funds required for settlement
The funds required to settle will include the following:
(a) Balance of the Price (Price less deposit already paid)
(b) Plus Stamp Duty (if any)
(c) Plus adjustments
(d) Plus registration fees, bank fees and PEXA Fees
(e) Plus our Final Invoice
We would have provided you with an estimate of these costs in our post-exchange email.
At settlement, the bank will provide the loan funds into PEXA. If there is a shortfall between the funds required for settle and the available loan funds, you will be required to transfer that shortfall either to:
(a) your nominated bank account; or
(b) a PEXA Source Account that we will create for you.
You can ask your Bank or Mortgage Broker if you have nominated a shortfall account. If you haven’t, we will provide you with the PEXA Source Account details in the week prior to settlement so you can transfer the shortfall into that account.
Pre-settlement inspection
You are entitled to undertake a pre-settlement inspection of the property within 3 days prior to settlement. Please arrange your presettlement inspection with the Agent directly. We suggest you book the pre-settlement inspection for either the afternoon before or the morning of settlement when the Vendor is likely to have vacated the property.
At the pre-settlement inspection, we suggest you investigate the following:
(a) that no significant damage to the property has occurred since the contract date;
(b) that the inclusions all remain at the property; and
(c) that the exclusions (if any) have been removed from the property and that no other items that form part of the property remain at the property.
If you notice any issue relating to the above at the inspection, please let our office know as we may be able to negotiate in relation to the issue. Please note, the Vendor is not required to complete an “end of lease” style clean of the property and we cannot make any claims on minor damage or fair wear and tear (e.g. picture hooks remaining, light bulbs not working or gardens not being maintained).
Settlement Day
You will not be required to attend settlement as it is completed by our office in online PEXA Workspace.
On settlement day, we will:
- Send you an email to confirm your final inspection is complete and you are ready for settlement.
- Conduct an updated title search.
- Confirm banks are ready to settlement.
- Balance and sign off settlement in PEXA
We will notify you once settlement has completed.
Moving In & Keys
You will be able to collect the keys from the Agent after we have notified you that settlement has completed. We suggest you call the Agent to confirm they have the keys ready for you to collect before you attend their office.
Yes, once settlement has completed you can collect the keys and move into the Property.
We recommend booking removalists for the at least 1-2 business days following the settlement
Please note, it is possible settlement could be delayed for reasons beyond our control. To avoid any disappointment, we suggest you book your removalists at least 1-2 business days following the settlement date just in case your settlement is delayed.
Delays to settlement
If settlement is delayed for the time it is booked for, the settlement will be automatically rebooked for the next 30min window until 5:00pm that day. If settlement is delayed beyond 5:00pm, it will need to be rebooked for the following day from 12:00pm.
Please note if settlement is delayed due for any reason not attributable to the vendor, the vendor may charge you penalty interest and additional costs as a result of the delay.
We will keep you updated of any delay or potential delay to settlement.
Changing the Settlement Date
Yes. If all parties agree to settle on a different settlement date then settlement can take place on a different date. Please note, the banks must also be ready to settle on the new date.
If you would like to request an earlier or later settlement date, please let our office know as it is best we request this well in advance.