These are items that are easily moved, not permanently attached to the property and, unless specifically listed in the contract, may not form part of the sale. Some common examples of chattels can include furniture, dishwashers, water tanks that are not ‘plumbed in’, some pool/spa equipment and pot plants.
Certificate of Title
This is the paper title that evidences the ownership of the land. If there is a paper Certificate of Title in existence for a property, this must be handed to the Buyer at settlement. However, mostly these days there is no paper Certificate of Title.
This is an interest in the land that is held by a person or entity that is not the owner of the land. Common examples of encumbrances are mortgages and easements.
An easement is the right to enter or use a certain section of land for a specific purpose by someone who is not the owner of the land. Common examples of easements include easements for driveways and easements in favour of Council to run sewerage or drainage lines through a property. Any easements registered over the land must be declared in the contract.
Unlike a chattel, a fixture is an item that is ‘fixed’ to the property and would generally be sold with the property. Any fixtures that are not to form part of the sale must be specified in the contract. Common examples of fixtures can include split system air conditioners, stoves/ovens, water tanks that are ‘plumbed in’ and satellite dishes / antennae.
When there is more than one owner of a property you may choose to hold as ‘Joint Tenants’ or ‘Tenants in Common’. Joint Tenants means that all owners hold the property in equal shares and upon the death of one of the owners, their share will automatically pass to the remaining owner/s.
This is the interest registered over the property by your bank or other lender in exchange for them providing funds for you to purchase the property.
Pay Out Figure
This is the amount that your bank or other lender will require at settlement in order for them to release their mortgage over the property.
Release of Mortgage
When you have a mortgage and sell your property you need to notify your bank so that they may prepare this document which will release their interest over the property. This document will typically be handed to the buyer of the property at settlement by the bank in exchange for payment of the amount owing to them.
Tenants in Common
When there is more than one owner of a property you may choose to hold as ‘Joint Tenants’ or ‘Tenants in Common’. Tenants in Common means that all owners can hold the property in equal or unequal shares, and upon the death of one of the owners their share will be distributed according to their legal will.