Your Essential Conveyancing FAQs Guide
Buying or selling property is one of the biggest financial decisions most people make, yet the legal process behind it, conveyancing, is often misunderstood.
These are the questions we’re asked every day. No jargon, no fluff, just clear answers so you understand what’s happening at each stage, what it costs and where things can go wrong.
What is conveyancing?
Conveyancing is the legal process of transferring ownership of property from one person to another.
It covers everything from reviewing the contract before you sign to settlement, when the property officially changes hands.
A conveyancing lawyer manages the legal side of the transaction, including:
- Reviewing and explaining the contract
- Conducting property searches
- Handling legal documents
- Coordinating with banks, agents and the other party
- Managing settlement
In simple terms, conveyancing ensures the property is transferred correctly, legally and without unexpected risks. If you would like to know more about: What is conveyancing?
What is the conveyancing process in NSW?
The conveyancing process in New South Wales follows four key stages. Each stage carries legal and financial implications, which is why timing and accuracy matter. Conveyancing for property buyers and sellers | NSW Government
1. Pre-contract stage
This is where everything should start, but often doesn’t. A conveyancer reviews the contract before you sign, identifies risks and explains any special conditions.
2. Exchange of contracts
Both parties sign the contract, and it becomes legally binding. At this point, the buyer usually pays a deposit (commonly 10%).
3. Pre-settlement stage
This is the due diligence phase. Searches are completed, finance is finalised and legal requirements are checked.
4. Settlement
Ownership transfers from seller to buyer, funds are exchanged, and the buyer receives the keys.
Each step builds on the previous one. Missing something early often leads to problems later.
How long does conveyancing take in NSW?
The standard settlement period in NSW is 42 days (6 weeks) from the exchange of contracts.
However, this timeframe is not fixed. It can be negotiated and influenced by several factors, including:
- Buyer’s finance approval timeline
- Complexity of the property (e.g. strata vs house)
- Contract conditions
- Delays in searches or documentation
Some transactions settle faster (e.g. 2–3 weeks), while others, like off-the-plan purchases, can take months or even years.
The key point: timelines are flexible, but deadlines within the contract are not.
What happens at settlement?
Settlement is the final stage of the conveyancing process.
On settlement day:
- The buyer’s lender provides the loan funds
- The remaining balance is paid to the seller
- Legal ownership of the property is transferred
- The buyer receives access to the property
In NSW, settlements are now completed electronically through PEXA (Property Exchange Australia). This reduces delays and removes the need for physical paperwork or in-person meetings.
Once the settlement is complete, the transaction is final.
How much does conveyancing cost in NSW?
Conveyancing lawyer costs in NSW typically start from $2,000.00 and depend on the complexity of the transaction and the level of service provided.
There are two main components:
Professional fees
This is what your conveyancing lawyer charges for their legal work.
Disbursements
These are third-party costs required to complete the transaction (more on this below).
While it’s tempting to choose the cheapest option, low-cost conveyancing often means limited support, minimal contract review, or poor communication. In property transactions, mistakes can cost significantly more than the initial savings.
What are disbursements in conveyancing?
Disbursements are out-of-pocket expenses your conveyancer pays on your behalf during the transaction.
Common disbursements include:
- Title searches (confirm ownership and restrictions)
- Council planning certificates (10.7)
- Water and sewerage diagrams
- Strata reports (for apartments)
- Government registration fees
These checks are not optional; they’re essential for identifying legal or structural risks tied to the property.
What is stamp duty and when do you pay it?
Stamp duty (also known as transfer duty) is a government tax paid by the buyer when purchasing property.
In NSW:
- It must generally be paid within 3 months of the exchange of contracts or at settlement, whichever comes first
- The amount depends on the property value
For many buyers, stamp duty is one of the highest upfront costs after the deposit. Failing to pay on time can result in interest charges and penalties.
What is the cooling-off period in NSW?
For most residential property purchases in NSW, buyers are entitled to a 5-business-day cooling-off period after contracts are exchanged.
During this time:
- The buyer can withdraw from the contract
- A small penalty applies (usually 0.25% of the purchase price)
However, there are important exceptions:
- No cooling-off period applies to auction purchases
- The cooling-off period can be waived using a Section 66W certificate
- No cooling-off period for non-residential properties
- No cooling-off period for large residential lots (more than 2.5 HA)
This is why contract review before exchange is critical; once the cooling-off period is gone, your legal exposure increases significantly.
What legal documents must sellers provide?
In NSW, sellers must provide specific documents before a property can be legally sold.
These include:
- Title documents
- Zoning (10.7) certificate
- Sewerage diagrams
This is known as vendor disclosure. If the contract is incomplete or misleading, it can:
- Delay the transaction
- Give the buyer grounds to withdraw
- Lead to legal penalties for the seller
What checks should be done before buying a property?
Due diligence is one of the most important parts of the conveyancing process.
Before committing to a purchase, buyers should complete key checks, including:
- Title search – confirms ownership and restrictions
- Zoning and planning certificates – identify how the land can be used
- Strata inspection report – for apartments (financial health of the building)
- Building and pest inspection – identifies structural issues
These checks uncover risks that are not visible during inspections or open homes.
What are the special conditions in a contract?
Special conditions are additional clauses included in a contract that can alter the standard terms.
They may:
- Protect the buyer (e.g. subject to finance clause)
- Protect the seller
- Shift risk between parties
Not all special conditions are obvious or fair. Some can:
- Limit your rights
- Add financial obligations
- Change settlement terms
This is where professional contract review becomes critical.
What can go wrong during conveyancing?
Most transactions run smoothly, but when issues arise, they can be costly.
Common problems include:
- Delayed settlement – can lead to penalty interest
- Finance falling through – putting deposits at risk
- Undisclosed property issues
- Unfavourable contract terms
Most of these problems stem from issues that could have been identified early.
Do I need a conveyancer or a conveyancing solicitor?
Both can handle property transactions, but there are differences.
- Conveyancer: Specialises in property transactions
- Solicitor: Specialises in property law & transactions and provides broader legal services, including disputes and complex legal matters
Can I do my own conveyancing?
Yes, it is legally allowed, but it is not recommended.
DIY conveyancing comes with significant risks:
- Misinterpreting contracts
- Missing critical deadlines
- Failing to identify legal issues
- Financial exposure if something goes wrong
It is also important to note that you will not be able to settle the matter via PEXA without a subscription, which is only available to solicitors, conveyancers and settlement agents.
Property transactions involve strict legal requirements. Most people choose professional support to avoid costly mistakes.
What should I look for in a conveyancer?
Choosing the right conveyancing lawyer can make a significant difference to your experience.
Key things to look for:
- Fixed, transparent pricing
- Strong communication
- Experience with NSW property law
- Ability to review contracts before signing
A good conveyancer doesn’t just process paperwork; they identify risks and guide decisions.
What is different about off-the-plan purchases?
Off-the-plan purchases involve buying a property before it is built.
Key differences include:
- Longer settlement timeframes
- Potential changes to design or layout
- Developer-controlled contracts
These contracts often include clauses such as sunset clauses, which can impact your rights if the project is delayed.
Because of this, off-the-plan contracts should always be reviewed carefully before signing.
How does conveyancing work for family transfers?
Transferring property between family members still requires a formal legal process.
This includes:
- Preparing legal transfer documents
- Assessing stamp duty obligations
- Determining market value
Even though no traditional sale occurs, these transactions must comply with legal and tax requirements.
Final Thoughts
Conveyancing is not just paperwork; it’s the legal foundation of your property transaction.
Most issues don’t come from the process itself, but from:
- Contracts not reviewed properly
- Risks not identified early
- Misunderstood timelines and obligations
Getting the legal side right from the start makes everything else smoother.
Need Help with Conveyancing?
If you’re buying or selling property in NSW, getting the contract reviewed before you sign is one of the most important steps you can take.
At Eastside Legal, we guide you through the process from contract to settlement, making sure everything is handled correctly, clearly and without unnecessary delays.
