This week in the A – Z of Conveyancing, we’ll go through the commonly used terms in relation to conveyancing, looking at the letter P.
If you are purchasing a property and are unable to complete the settlement on the due date, the vendor has the right to impose penalty interest in accordance with the Special Conditions in the Contract. The interest rate is negotiated prior to the Contract becoming unconditional and is charged on the balance of the purchase price at a daily rate from the date of when settlement was to take place until the date on which settlement is actually completed.
PEXA (“Property Exchange Australia”) is the primary platform for most conveyancing transactions. Solicitors/Conveyancers, banks and any other parties to a transaction join a PEXA workspace which enables the settlement to be completed electronically. Electronic settlements are mandatory in NSW and it is only in rare circumstances that “paper” settlements take place.
Principal place of residence
This is the home that you principally reside in. If you own other properties but you do not live in them, they are considered investment properties and need to be disclosed to Revenue NSW to be registered for land tax purposes.
The owner or holder of a property as registered on title. They can be registered on the title as a sole proprietor, joint tenant or tenant in common. The registered proprietor is also known as the Vendor on a Contract for Sale when the property is being sold.
For more information on the A – Z of Conveyancing check out our other posts:
The Letter A: Adjustments, Amendments, Auctions
The Letter B: Breach, Broker, Building Contract, By-Laws
The Letter F: Final Inspection, Finance, Fittings & Fixtures
The Letter G: Grants, Guarantee/Guarantor, Goods & Services Tax
The Letter H: Holding Deposit, Home Loan
The Letter I: Inclusions, Inspection Reports, Insurance
The Letter J&K: Joint Tenants, Keys
The Letter M: Mortgage, Mortgagor, Mortgagee.
The Letter N: Negotiations, Notice of Rescission, Notice to Complete