- Once negotiation is complete and the offer has been accepted by the vendor, a letter of instruction is forwarded to the vendor’s attorney to prepare the Agreement for Sale (sales contract).
- Buyers need the assistance of an attorney-at-law who is experienced in conveyancing to review the Sales Agreement and conclude the sale transaction on their behalf.
- The purchaser signs the Agreement for Sale and pays a minimum deposit of 10% of the purchase price. There is no agreement between the purchaser and the vendor until the Agreement for Sale is signed and deposit paid.
- The vendor also signs the Agreement for Sale and the transaction commences.
- The Agreement for Sale is then sent to the Stamp Office for assessment. Should the Stamp Office decide to inspect and value the property this may cause a delay.
- Once the Agreement for Sale is stamped, a letter of undertaking/commitment is required for the outstanding balance.
- Both vendor and purchaser sign the Transfer of Title and processing continues as follows:
If the balance is payable upon signing of a registerable transfer, then completion may be within 30 days.
If the balance is payable upon transfer of title then the transfer signed by both the vendor and the purchaser is sent to the Stamp Office to be cross-stamped and then to the Titles Office to have the transfer recorded on the Certificate of Title. Allot another 30 days for completion of this process.
Sale Conditional Upon A Mortgage
The time to complete this sale transaction is approximately 90-120 days from the date of signing the agreement. This type of transaction may involve up to four (4) attorney’s viz:
- Vendor’s Attorney
- Purchaser’s Attorney
- Mortgage Company’s Attorney
- Seller’s Mortgage Company Attorney
- If the vendor or the purchaser resides overseas, the requirement to send the documents overseas for signing will impact the time for completion.
- If the premises is tenanted and ‘vacant possession’ is required, the tenants will have to be given notice and vacate the premises before the transaction can be concluded.