Sale of Property

The decision to sell your property can arise for different reasons – while you may simply be relocating or looking to upsize, you may need to sell due to financial pressures or to finalise a family law property settlement. No matter what your circumstances, our experienced property team will try to make the process as smooth as possible and ensure your rights as a vendor are protected.

Appointing an agent

Most sellers retain a real estate agent to market and sell their property on their behalf. The conduct of real estate agents is regulated by legislation, and they have specific obligations that they must fulfil. Certain information must be communicated to you in writing before an agent is able to act on your behalf. It is important to note that things such as advertising costs are usually negotiable with the estate agent.

The contract and section 32 statement

If you wish to sell a residential property in Victoria, you will need a contract of sale and vendor’s statement (section 32 statement) prepared. These documents are usually prepared by a lawyer and the section 32 statement must be given to a prospective purchaser before the property is sold.

The contract contains details about you, your agent, the property, the purchase price, and other information such as the items to be included in the sale and any special conditions you may need to include to protect your interests.

The section 32 statement provides additional details about the property and provides an opportunity for the purchaser to make a more informed decision before going ahead with the purchase. It includes details of mortgages, easements and other encumbrances affecting the title, rates, council planning and information certificates, and notices about contaminated land, etc. If the property is an apartment or townhouse, there are also requirements to include an owners’ corporation certificate.

Both the contract of sale and section 32 statement are legal documents and must contain accurate information. Prospective buyers may ask their legal representative to review the contract and section 32 statement before they make an offer.

After the sale is made

If you receive an offer for the property, and you accept, it is common practice for the purchaser to pay a deposit. The contract of sale becomes legally binding once the vendor and purchaser have both signed it.

Usually, a cooling-off period of three business days applies to private sales of residential and small rural property in Victoria. The cooling-off period is for the benefit of the purchaser.

There are a few situations in which the cooling-off period does not apply, including if the property is sold at a public auction.

Generally, the only consequence for cancelling the purchase during the cooling off period, is that $100 or 0.2% of the purchase price (whichever is greater) will be deducted from the purchaser’s deposit.

Our conveyancing and property professionals have assisted many clients with the sale of their properties. We will explain the contract and your obligations as a seller in plain language, negotiate any conditions if necessary, and settle your matter as smoothly as possible while keeping you informed throughout the entire process.

If you need assistance, contact [email protected] or call 03 9546 8155 for expert legal advice.