Should you use a conveyancer?

What is conveyancing?

Conveyancing, according to NSW Fair Trading, is “the legal work involved in preparing the sales contract, mortgage and other related documents” when buying or selling a home, land or investment property. This process also involves transferring the title deeds from the seller to the buyer, as well as the discharge/establishment of the mortgage (should you have one).

While the bulk of the conveyancing process is carried out once the contract is signed, some aspects can – and, possibly should – be carried out before you even sign a contract. This can include verifying the property meets council building standards, property boundaries are accurately marked and confirming that the seller if the legitimate owner of the property.

DIY versus a professional

The states and territories manage the property transfer process, and the process differs somewhat depending on where you are buying the property. In most of Australia, you can choose between appointing either a conveyancer or a solicitor to carry out the work. But just how does a conveyancer differ from a solicitor?

“A conveyancer is a qualified professional specialising in property transactions and the property solicitor has a law degree. Licensed and registered conveyancers are regulated and operate under stringent requirements set by the regulatory body in each jurisdiction and have professional indemnity insurance in place to cover any loss to the consumer incurred through the financial settlement process,” says Rosemary Cotton, National Secretariat at the Australian Institute of Conveyancers (AIC), which represents licensed and registered conveyancers nationwide.

You may be surprised to learn that in many instances, you can do the work yourself. However, while it might sound like a good idea because it saves you money, in practice it may prove more costly.

Ms Cotton points out that buying and selling a property is the biggest transaction most people undertake and recommends consumers seek professional help to make sure that all the legal requirements are met. Serious penalties apply if the terms of the contract are not met and settlement fails, she says.

Penalties can include forfeiting your 10 per cent deposit – that’s a lot of cash to risk just to save a few bucks by going solo. When considering your options, it is a good idea to seek guidance from a conveyancer, but each circumstance is different.

Conveying the costs

Ms Cotton says there’s no set fee. “This varies from one jurisdiction to another and it depends on the scope of work. For a residential property with a standard contract, it is unlikely to be more than $2,000. In comparison to the fees paid to a real estate agent selling a property, this is quite a minor amount, considering the work which is completed and the risk that has been removed from the client.”

However, this figure may not be applicable for regions where conveyancers are not eligible to practice. “Conveyancers are not licensed in Queensland and the ACT,” Ms Cotton says.

“Law firms must conduct a property transaction in these jurisdictions. The Law Society in both of these jurisdictions can provide a list of property solicitors in their area.”

The last thing you want when buying or selling property is to encounter costly delays or errors during the settlement period. If you choose to use a conveyancer, make allowances for all the costs in your budget.

To find an accredited conveyancer in your area, visit:

• AIC NSW Division
• AIC VIC Division
• AIC TAS Division
• AIC SA Division
• AIC NT Division
• AIC WA Division
• For QLD, visit to the QLD Law Society
• For the ACT, visit the ACT Law Society