From Sale to Settlement

I’ve sold, what happens now?

DEPOSIT FROM PURCHASERS

Lodge will hold the deposit from the purchasers in our trust account for 10 working days or until the sale goes unconditional - whichever is longest.

HOUSE KEYS

Your house keys are held at our office until your solicitor advises us in writing that the settlement has taken place. Once we receive your solicitor’s confirmation we’ll release the keys to the purchaser.

Prior to settlement you need to;

  1. Make an appointment with your bank. You’ll need to sign the necessary financial documents.

  2. Make an appointment with your solicitor. You’ll need to arrange to sign the necessary legal documents to transfer the property from your name into that of the new owners.

  3. Organise the move. Check out The Big Move page for your guide to shifting out.

  4. Arrange the transfer of water, telephone, electricity and gas services. You’ll need to contact your service providers to notify them that you’re moving, and have all services at the property transferred from your name. You’ll also need to arrange final readings on the day of your move.

  5. Transfer any other services and organise your change of address.

Your solicitor will guide you through your legal responsibilities and rights as a vendor up to and upon settlement. However, be aware that the sale and purchase agreement you sign will, in all likelihood, obligate you to the following;

POSSESSION

Unless your property is tenanted, and you arranged that the purchaser take on your current tenant, the property must be vacant on settlement date.

If the property is sold with vacant possession, then you must let the purchaser complete a property check prior to settlement. They’ll check the condition of the property, including the chattels and fixtures that are included in the sale.

On the day of possession, you must make all keys available to the purchaser - including all exterior door keys, electronic door openers and keys or codes to any alarms on the property. If the property is tenanted, however, these items will remain with the tenant(s).

RISK AND INSURANCE

In between the date of sale and the date of settlement, the property and chattels remain in your name. This means you are responsible for any damage that may occur between the sale and the settlement date.

VENDOR WARRANTIES AND UNDERTAKINGS

There are a few things you are legally obliged to do for settlement date.

You must ensure all chattels included in the sale are in reasonable working order on settlement date. Except for fair wear and tear, they should be in the same condition they were in on the date of sale. If there’s any significant damage, the purchaser is entitled to compensation from you.

You must ensure all bills for electricity, gas, water and rates on the property are up-to-date. There should be no outstanding charges on the accounts on settlement date.

You must ensure any chattels included in the sale are 100% owned by you on the date of settlement - i.e. there should be no items under hire purchase with money owing on them.