Conveyancing Glossary
Property Law Terms
A comprehensive guide to common conveyancing and property law terms.
A
Adjustment
The process of dividing costs like rates and body corporate fees between buyer and seller based on the settlement date.
B
Body Corporate
The legal entity comprising all lot owners in a community titles scheme (units, townhouses). Responsible for common property and shared expenses.
C
Caveat
A legal notice registered on a property title that warns others that someone has an interest in the property. Can prevent sale or mortgage until removed.
Certificate of Title
The official document proving ownership of land. In Queensland, most titles are now electronic (eTitles) rather than paper.
Community Management Statement (CMS)
The document that governs a community titles scheme, including by-laws, lot entitlements, and contribution schedules.
Contract Date
The date when the contract becomes binding, typically when the last party signs. Important for calculating cooling-off periods and condition dates.
Conveyancing
The legal process of transferring property ownership from one party to another, including searches, contract review, and settlement.
Cooling-Off Period
A 5 business day period after the contract date during which a buyer can terminate the contract by forfeiting 0.25% of the purchase price.
Covenant
A restriction registered on a property title that limits how the land can be used or developed, such as building height limits or prohibited activities.
D
Disbursements
Out-of-pocket expenses paid by your solicitor on your behalf, such as search fees, registration fees, and government charges.
Discharge
The process of releasing a mortgage from the property title when the loan is paid off.
E
Easement
A right for someone else to use part of your land for a specific purpose, such as access, drainage, or utilities.
Encumbrance
Any right, interest, or liability attached to a property that may affect its value or use, such as mortgages, easements, or caveats.
F
Finance Date
The deadline by which the buyer must obtain formal finance approval. If not obtained, the buyer may be able to terminate the contract.
First Home Owners Grant (FHOG)
A government grant for eligible first home buyers purchasing or building a new home. Amount and eligibility vary by state.
Freehold
Complete ownership of land and buildings, as opposed to leasehold where the land is leased from someone else.
L
Lot Entitlement
The proportional ownership interest of a lot in a community titles scheme, used to calculate contribution levies.
M
Mortgage
A loan secured against property. The lender holds a registered interest in the property until the loan is repaid.
P
PEXA
Property Exchange Australia - the electronic settlement platform used for most property transactions in Australia.
Pre-Settlement Inspection
A final inspection of the property before settlement to ensure it's in the same condition as when you bought it.
R
Reference Schedule
The section at the front of the contract containing key information like parties, property details, price, dates, and conditions.
S
Settlement
The day when ownership officially transfers from seller to buyer. The buyer pays the balance of the purchase price, and the transfer is registered.
Settlement Date
The agreed date for settlement, specified in the contract. Usually 30-90 days after the contract date.
Stamp Duty (Transfer Duty)
A state government tax payable on property purchases. The amount depends on the purchase price and buyer circumstances.
Strata Title
A form of ownership for units and apartments where you own your lot and share ownership of common property with other lot owners.
Subject to Finance
A contract condition that allows the buyer to terminate if they cannot obtain finance approval by a specified date.
Survey
A detailed measurement and mapping of property boundaries, buildings, and features by a licensed surveyor.
T
Title Search
A search of the land registry records to confirm ownership, registered interests, and any encumbrances on a property.
Transfer
The legal document that transfers ownership of property from seller to buyer.
U
Unconditional
When all conditions in the contract have been satisfied or waived, making the contract fully binding with no remaining escape clauses.
V
Vendor
Another term for the seller in a property transaction.
VOI (Verification of Identity)
The process of verifying a person's identity, required before signing property documents to prevent fraud.