How To Resolve Conveyancing Problems

At times, problems may arise during these processes that require resolution. Here we will cover these issues and the remedies needed to address them.

By, Susan Ranford

Conveyancing is a legal process that involves the transfer of real property from one party to another. This process includes the legal transfer of the property’s title.

Typically, these transactions have two phases. The first phase is the exchange of contracts, and the second is the completion or settlement of the agreement.

At times, problems may arise during these processes that require resolution. Here we will cover these issues and the remedies needed to address them.

The Conveyancing Process

The conveyance process assures that the buyer of the real property is, in fact, purchasing the property they intend to, with no encumbrances to the title. Various aspects of property ownership need to be investigated to assure that the property is owned by the seller free and clear.

Most homeowners and buyers will secure the services of a solicitor or licensed conveyancer to oversee the process. Conveyancing fees differ based on the professional hired, and will also vary whether they are employed by the seller or buyer. The seller will usually pay a bit less for the conveyance service.

The conveyance search can take anywhere from a few days to six weeks to complete. This is the part of the process where the title search is done to assure that there is a clear title to the property. The exchange and completion process takes up to two weeks but may be shorter.

Potential Conveyance Problems

1. The buyer doesn’t pay the deposit on time.

If for some reason, the buyer is unable to submit their deposit in the time that has been previously agreed upon, you will need to consult with your real estate agent. Your agent is trained to follow up on the buyer’s deposit. If you are still unable to secure the deposit from the purchaser, you may need to intervene and discuss the possible options. One option is charging a penalty for late deposits.

2. Your bank is unable to settle by the scheduled time.

Sellers often have mortgages that need to be paid off. Your conveyancing professional can assist in making arrangements with the seller’s bank to facilitate the discharge. The Certificate of Title is transferred to the buyer following the release of the seller’s mortgage.     

3. The buyer isn’t ready to settle by the scheduled date.

The purchaser will be reliant upon their bank to settle in a timely fashion. If there is any delay in the processing of the mortgage documents it can delay the settlement process. The conveyance profession can offer consultation about what to do in this instance. A penalty is also a possibility in this instance too.

4. The buyer refuses to settle.

Before the settlement date, the buyer will need to conduct a final inspection of the property. If they notice any abnormalities, they may refuse to settle until they are taken care of. In this instance, the seller’s solicitor or conveyor can help in this case, by enforcing the rules outlined in the purchase contract. To eliminate this possibility on the purchaser’s behalf, it helps to discuss any issues before the agreement is signed.

5. You are having issues with your conveyance professional.

There are a host of issues that can arise when dealing with conveyance professionals. Since these professionals are charged with offering sound counsel and making sure to attend to affairs regarding some of the financial details of the deal, the issues that arise are generally regarding shortcomings in these areas.

Some potential problems that may arise with your solicitor or licensed conveyance professional include:

• Bills being unexpectedly higher than the client was led to believe
• Going back on the “no move, no fee” agreement by presenting a statement
• Stating that they have a fixed fee and charging additional fees
• Delays made during the legal process that have delayed or killed the sale
• Providing insufficient or incorrect counsel that results in issues for the client
• Trouble identifying garden/property boundaries
• Charges on the property that are held over from the previous owner

The first step in filing a complaint against your licensed conveyancer or solicitor is to go directly to the firm and file the complaint based on their company’s protocol. If your complaint is not resolved in the time allotted, you need to file a complaint with the governing body of the conveyancer or solicitor.

Conclusion

There is obviously a myriad of things that can go wrong in the conveyance process, but many of them can be avoided with a little research. Be sure to ask the right questions early so you can move forward with confidence that the deal will close.