Conveyancing explained: a home buyer's guide

What is conveyancing?

Conveyancing is the legal process that transfers ownership of a property from one party to another.

The process begins once a property is listed for sale and continues until settlement is complete and the buyer becomes the legal owner. In Victoria, this process is governed by state legislation and includes reviewing contracts, conducting property searches, managing settlement, and registering the change of ownership with Land Use Victoria.

Conveyancing can be handled by a licensed conveyancer or a property solicitor, both of whom are qualified to manage the legal aspects of a property transaction.

Why conveyancing is important for home buyers

Conveyancing protects buyers by ensuring they understand exactly what they are purchasing and any risks attached to the property. This includes identifying legal restrictions, outstanding debts, or planning controls that could affect how the property can be used.

Without proper conveyancing, buyers could unknowingly inherit problems such as unpaid council rates, illegal building works, or restrictions that limit renovations or future development. A professional conveyancer or solicitor helps identify these issues early, allowing buyers to make informed decisions before committing to the purchase.

How conveyancing supports first-home buyers

For first-home buyers, conveyancing can seem daunting. A good conveyancer provides guidance at every step, explains unfamiliar terminology, and helps buyers understand their obligations.

This support is especially valuable in Victoria’s competitive property market, where decisions are often made quickly. Having professional advice can help first-home buyers move forward with greater confidence.

Do conveyancers organise building inspections?

Conveyancers do not organise or carry out building inspections, such as structural, pest or drug residue testing. The person interested in purchasing the property can arrange a building inspection through a licensed building inspector or specialist provider.

But a conveyancer can help protect a buyer by ensuring the contract of sale includes appropriate conditions, such as a 'subject to building and pest inspection' clause. This allows buyers to withdraw from the contract or renegotiate if serious issues are identified.

Conveyancers also explain inspection-related timeframes and the steps buyers must follow to exercise their rights. While inspections assess the physical condition of a property, conveyancing ensures buyers are legally protected if problems are uncovered.

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The key stages of conveyancing in Victoria

While every property transaction is different, conveyancing in Victoria generally follows the same key stages.

1. Before you sign the contract

Before signing a contract of sale, buyers should have it reviewed by a conveyancer or solicitor. In Victoria, contracts are often signed quickly, sometimes on the same day as an inspection or auction, making early legal advice especially important.

At this stage, your conveyancer will review:

• the contract of sale
• the Section 32 (Vendor’s Statement)
• any special conditions or additional clauses.

They will explain your rights and obligations, identify any unusual terms, and highlight potential risks. This step can help prevent costly surprises later in the process.

2. Understanding the Section 32 (Vendor's Statement)

The Section 32 is a legal document the seller must provide to prospective buyers. It contains key information about the property, including:

• title details and ownership
• easements, covenants and restrictions
• planning and zoning information
• outgoings such as council rates and owners corporation fees.

Your conveyancer will review the Section 32 to ensure all required disclosures have been made and to flag anything that could affect your use or enjoyment of the property.

3. Making an offer or buying at auction

Once you are comfortable with the contract and Section 32, you can proceed to make an offer or bid at auction. In Victoria, properties sold at auction do not have a cooling-off period, which makes pre-purchase conveyancing advice essential.

If buying via private sale, buyers usually have a three-business-day cooling-off period, although some exceptions apply. Your conveyancer can explain how the cooling-off period works and whether it applies to your situation.

4. After the contract is signed

Once contracts are exchanged, the conveyancing process moves into the post-contract stage. Your conveyancer will:

• confirm key dates, including settlement
• arrange property searches and enquiries
• liaise with the seller’s conveyancer
• work with your lender to prepare for settlement.

This stage is focused on ensuring all legal and financial requirements are met before ownership is transferred.

5. Property searches and checks

Property searches are a crucial part of conveyancing. These checks confirm details about the property and identify any issues that may not be obvious from an inspection.

Common searches include:

• title and plan searches
• council and water authority searches
• land tax and owners corporation checks
• building and planning information.

These searches help confirm there are no outstanding debts or restrictions that could become the buyer's responsibility after settlement.

6. Settlement

Settlement is the final stage of the conveyancing process. On settlement day, legal ownership of the property is transferred to the buyer, and funds are exchanged through an electronic settlement platform.

Your conveyancer will:

• ensure funds are correctly transferred
• confirm the title is updated
• notify relevant authorities of the ownership change.

Once settlement is complete, the buyer can collect the keys and take possession of the property.

Conveyancer vs solicitor: what's the difference?

Both licensed conveyancers and property solicitors can manage conveyancing in Victoria, but there are some differences.

A licensed conveyancer specialises in property transactions and is often a cost-effective option for straightforward purchases.

A solicitor can provide broader legal advice and may be better suited to complex transactions, such as those involving disputes, unusual contract terms, or commercial properties.

For many home buyers, especially first-home buyers, a licensed conveyancer offers a practical and affordable solution. The most important factor is choosing a qualified professional with experience in Victorian property law.

How much does conveyancing cost?

Conveyancing fees vary depending on the provider and the complexity of the transaction. Costs typically include:

• professional fees charged by the conveyancer or solicitor
• search and registration fees
• electronic settlement fees.

In Victoria, conveyancing costs for a standard residential purchase often range from several hundred to a few thousand dollars. While it may be tempting to choose the cheapest option, value and expertise are just as important as price.

Conveyancing and stamp duty in Victoria

Stamp duty is one of the largest upfront costs when buying property in Victoria. While conveyancers do not determine stamp duty rates, they help ensure the correct amount is calculated and paid at settlement.

Eligible buyers, such as first-home buyers, may be entitled to concessions or exemptions. Your conveyancer can help identify whether you qualify and ensure the necessary paperwork is completed.

Choosing the right conveyancer

When choosing a conveyancer, consider:

• their experience with Victorian property transactions
• clear communication and responsiveness
• transparent pricing
• recommendations or reviews.

A conveyancer who explains the process clearly and keeps you informed can make the buying experience far less stressful.

Conveyancing mistakes home buyers make

Understanding common mistakes can help buyers avoid delays and unexpected costs.

• Signing contracts without legal advice: Signing a contract before it has been reviewed can expose buyers to unfavourable terms or hidden risks.
• Missing key deadlines: Settlement dates, finance approval deadlines, and cooling-off periods are all time-sensitive. A conveyancer helps ensure nothing is missed.
• Assuming all properties are the same: Each property has unique legal characteristics. Easements, zoning and owners corporation rules can all affect how a property can be used.
• Underestimating additional costs: Stamp duty, registration fees and adjustments can add significantly to the overall cost of buying a home.