5 Questions to Ask Before Choosing a Settlement Agent
When you appoint a settlement agent, you’re choosing someone who will be in charge of one of your most important transactions (if not your most important transaction), ever.
Clearly, your settlement agent needs to be an agency you can trust.
Here are five essential questions you should be asking your settlement agent before entrusting them with such an important transaction:
Q: Will you communicate regularly with me?
Without regular communication, conveyancers may miss important details that will jeopardise settlement.
We’ve heard of cases where a settlement agent dealing with a seller has simply assumed that the seller knows what date to move out on, and how to hand keys over – when in reality the seller was waiting to be contacted – leading to the seller still living in the property come settlement date!
The right settlement agent will regularly contact you, your real estate agent, and the settlement agent acting for the other parties instead of making assumptions.
Q: Do you understand my situation?
Every property transaction is unique, so don’t choose a settlement agent that will treat you as a number. The property involved, the terms of the contract, and your personal situation are always going to be slightly different from the next person. You need a settlement agent who asks you the right questions about your unique situation – questions like “Are you planning a trip away from Perth during settlement?” and “Do you have any special concerns about the settlement process?”. Does the settlement agent you’re looking at do this?
At Residential Settlements, we interview both you and your real estate agent before taking any action on your file. That way, we pick up every detail that might influence your settlement – especially the details that could cost you money.
Q: Will you put the appropriate amount of care into my property transaction?
Even the best conveyancers make mistakes when they’re dealing with too many files. These mistakes can include:
- lodging the contract for stamp duty more than two months after signing of the Offer and Acceptance, leading to massive stamp duty penalties, or
- transferring the wrong property because they glanced over the certificate of title instead of examining it correctly.
Q: Are you a settlement agent, or a lawyer?
Under Australian law any qualified lawyer is qualified to carry out the work of a conveyancer. Lawyers can also give out legal advice. However, legal firms deal with a range of cases, most of which have nothing to do with property. Settlement agents, on the other hand, only deal with settlements – and they devote all their attention to settlements, every day.
For a better working knowledge of the ins and outs of the settlement process, use a licensed settlement agent, not a lawyer.
Q. Do you charge a fixed fee?
When it comes to the most important transaction you’ll ever make, there are many more considerations than just money. But naturally, fees remain a big consideration for many buyers and sellers. That’s why when you get a quote from a settlement agent, you need to know:
- Is the fee quoted all-inclusive?
- Is it a fixed fee, or are you going to pile on extra fees after settlement if my case gets too complicated?
In fact, we tick all the right boxes. We:
- Eliminate misunderstandings by ensuring all parties are on the same page
- Treat each client’s transaction as the unique case that it is
- Pay each person’s transaction the attention it deserves
- Deal only with settlements, every day
- Charge a simple fee with no hidden disbursement charges
When you work with Residential Settlements, all initial documentation will be completed within 48 hours. We’ll be ready to complete the transfer as soon as all documentation is signed, and your bank is ready to settle (if applicable).
Rezzi. The edge you need.
Buying a home can either set you up or set you back. I know from firsthand experience the financial gains that come from a smart property purchase. Get it right, and you’re on the path to early retirement. But get it wrong and it will set you back for years.
The stakes are high. And they’re especially high for home buyers because the real estate industry stacks the odds in favour of the seller.
And that’s why I started Rezzi; to give you a real chance of making a winning property move.
My goal is simple: to provide you with the strategies, information and support you need to make bold, confident property decisions.
And, if that’s what you want, let’s talk.
Peter Fletcher
Managing Director
