This occurs once the Purchaser has paid the deposit, the Purchaser has signed their contract and the vendor has signed their counterpart contract and each party provides to the other their contract. Once exchanged, the property has been sold to the Purchaser and the parties prepare the matter for settlement. We talk more below about exchanging with a cooling off period.

A s 66W certificate is a certificate used in NSW which is provided to a Vendor on exchange of contracts. It has the effect of waiving the Purchaser’s right to a cooling off period and binds the parties unconditionally on exchange of contracts.

Settlement (or completion) is the date that the Purchaser pays the balance of the purchase price to the Vendor. The keys are handed over to the Purchaser and the property is transferred into the Purchaser’s name as registered proprietor on title.

Absolutely! Under the Contract for the Sale and Purchase of land, a Purchaser is entitled to one pre-settlement inspection of the property within 3 days of settlement. The purpose of the inspection is to ensure that the Property is substantially in the same condition as it was at exchange, subject to fair wear and tear. It is a good idea to check the inclusions are still in working order and that there is no damage to the property. Should any issues arise following this inspection, it is best to speak to your solicitor or conveyancer prior to settlement.

If settlement is delayed for any reason and the delay is caused by the Purchaser, the Vendor can issue a Notice to Complete requiring the Purchaser to settle within 14 days of the date of the notice. During that time, the Vendor can charge penalty interest on the balance of the purchase price.