Whether you are buying, selling or renting a property, one thing is for sure that you will come across a lot of terms, phrases and names. These phrases are used throughout the process and it is unlikely that you know what each one actually means. Property contracts are hard to understand, which is why it makes good sense to hire a property lawyer to help you navigate through the process easily. Still, it is great to educate yourself about the common terms you will find in the property agreement.
Here are some of the terms explained.
1.
Certificate of Title (Title Deed)
It is a document that shows the location,
volume and current ownership of the given property. It also shows deals,
easements, mortgages and other third party interests in the property. A new
owner's name is registered on the Certificate of Title, every time the property
is sold. As the owner of a property, you will receive a copy of this
document.
2.
Contract of Sale
This is a written agreement between the buyer
and the seller that sets out the main terms and conditions of what has been
decided such as purchase price, special conditions, the name of the parties and
financial arrangements.
3.
Conveyancing
It is a legal process of transferring the
ownership of the property from one person to another. Property conveyancers or specialist property lawyers are
licensed by the Government to advise and help in preparing the documents to
transfer the ownership of the property.
Conveyancing also needs to be undertaken for mere transfers where there
is no buyer or seller such as in transferring the property between spouses,
ex-spouses or family members without any purchase price.
4.
Covenant
These are some of the phrases you might come across during the property transaction.
