I’ve Just Secured My Property. What Happens on Settlement Day?

Congratulations! Securing a property is a huge and exciting milestone - and it won’t be long until you can walk through the doors of your very own home. 

However, before you start planning the housewarming, there are a few more steps you’ll need to take before you’re officially a homeowner. These will take place on the all-important settlement day.

Settlement day is the date when the ownership of the property is transferred from the seller to the buyer. It involves certain processes that need to be followed carefully in order to ensure everything goes smoothly with the transfer.

Here is a guide on what to expect from settlement day. 

1. Legal and financial preparation

Before settlement day even arrives, your conveyancer or solicitor will be busy preparing all the necessary legal documentation and coordinating with your lender to ensure everything is in order and ready for settlement.

Luckily you can leave this part to the professionals - but be prepared in case they need to ask you for any last-minute documents or information.

2. Final property inspection

In advance of the settlement date, you’ll have the chance to conduct a final inspection of the property to make sure it’s in the same condition as when you agreed to purchase it.

This is an important step, as it’s your final opportunity to check that everything is in order and to identify any issues that may need to be addressed before settlement takes place.

3. Transfer of funds

When settlement day arrives, your lender will transfer the funds to the seller’s solicitor or conveyancer.

These funds will cover the purchase price of the property, as well as any adjustments for rates, taxes, and other costs.

4. Registration of title

After the funds have been transferred, your conveyancer or solicitor will arrange for the transfer of title to be registered with the relevant land titles office.

This process can take a few days to complete - but once it’s all done, you’ll officially be the registered owner of the property.

5. Collection of keys

With settlement all wrapped up, it’s finally time to collect the keys to your new home from the real estate agent.

This marks the beginning of your journey as a homeowner, so go ahead and enjoy the excitement of this moment!

6. Notification of utilities

After the settlement process is complete, you’ll need to notify the relevant utility providers (such as electricity, gas, water and internet) that you’re the new owner of the property.

This will ensure that the services are transferred into your name, and you’ll be responsible for billing from the settlement date onwards.

7. Celebration!

The most important step! It’s time to celebrate your big achievement and reflect on the fact that you’re now a homeowner.

Whether it’s with family, friends or just a quiet moment of reflection, don’t forget to take the time to acknowledge the significance of this milestone, as you look forward to a bright future in your new home.

While settlement day is an exciting time, it's important to be prepared and aware of what to expect. Make sure you have a trusted conveyancer or solicitor guiding you through the process, and don’t hesitate to ask questions if there's anything you're unsure about. 

With the right support and preparation, settlement day can be a smooth and stress-free experience as you take the final steps towards becoming a homeowner.

Keen to learn more about the home-buying process? Check out our other articles and stay in the know about all things home loans.

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This article is intended to provide general information only. It does not have regard to the financial situation or needs of any reader and must not be relied upon as financial product advice. Please consider seeking financial advice before making any decision based on this information.

Unloan is a division of Commonwealth Bank of Australia.

‍Applications are subject to credit approval; satisfactory security and you must have a minimum 20% equity in the property. Minimum loan amount $10,000, maximum loan amount $10,000,000.

‍Unloan offers a 0.01% per annum discount on the Unloan Live-In rate or Unloan Invest rate upon settlement. On each anniversary of your loan’s settlement date (or the day prior to the anniversary of your loan’s settlement date if your loan settled on 29th February and it is a leap year) the margin discount will increase by a further 0.01% per annum up to a maximum discount of 0.30% per annum. Unloan may withdraw this discount at any time. The discount is applied for each loan you have with Unloan.

‍There are no fees from Unloan. However, there are some mandatory Government costs depending on your state when switching your home loan. For convenience, Unloan adds this amount to the loan balance on settlement.

* Other third-party fees may apply. Government charges may apply. Your other lender may charge an exit fee when refinancing.