Behind the Scenes of a South Auckland Residential Property Lawyer
The happiest time of a property transaction is when the new owners are handed the keys to their new home. But before they can get to that stage there is a lot of unseen work behind the scenes performed by a number of people with the South Auckland residential property lawyer at the centre.
While buyers and sellers focus on the tangible—the new home, the investment property, the commercial space, the South Auckland residential property lawyer has to diligently and methodically concentrate on a raft of documents, processes, and procedures.
Below we will take a brief look at some of those tasks.
Reviewing The Contract
In New Zealand it is not common for the lawyer to have to draft a contract since mot property sales use the Auckland District Law Society Sale and Purchase Agreement.
However, often the buyer will insert a cash-out or escape clause. The buyer’s lawyer will need to make sure that this additional clause is correctly written so as not to put their client at risk.
On the buyer’s side, they may want to include clauses about Code of Compliance documents or requiring certain works to be completed.
Another key aspect of reviewing the S and P Agreement is to make sure that the correct legal entities are noted on the document. It is costly and time consuming to correct any errors or omissions.
Due Diligence
This step is essential to make sure that the transaction to safeguard their client’s interests.
An early step is to verify that the seller is who they claim to be on the Sale and Purchase Agreement. Is the correct name shown on the document?
The lawyer will contact Land Information NZ (LINZ) which has a database of titles and owners of all properties in NZ. They will verify that the seller is the rightful owner with authority to sell the property.
They will also check for any check for encumbrances, such as mortgages, easements, or covenants that could affect a property’s use. Other issues to check are Māori land interests to ascertain if there is cultural sensitivity or claim on the property.
The lawyers will also check with Auckland Council if there are any outstanding rates, Certificates of Compliance for building works, and that resource consents have been issued.
Regulatory Compliance by South Auckland Residential Property Lawyer
There is a wide range of laws and regulations affecting a property in Auckland. These include the Resource Management Act, Building Act, Overseas Investment Act, and the Auckland Unitary Plan, to name a few.
Real estate lawyers have to understand how these requirements affect your desired property purchase. They will liaise with the various bodies to confirm that all obligations are met whether for overseas buyers, zoning is accurate, and the various lease options including cross-lease titles or unit titles.
It certainly pays to have an experienced lawyer manage this work for you.
Risk Management
Property transactions rarely proceed without a hitch. All sorts of issues can come out of the woodwork. For example, a previously undisclosed caveat is discovered on the title, a building inspection reveals unconsented work, or a finance condition falls through at the eleventh hour.
Your property lawyer earns their fee in situations like this where they have to negotiate with various people, resolve disputes, and respond to each issue in their client’s interests.
Experience and foresight can save deals from falling over.
Settlements and Transfers
On settlement day, there needs to be seamless coordination between all parties—buyers, sellers, lenders, and lawyers. The property lawyer is at the centre and manages the receipt of funds from the lender, the transmission of that money to the seller’s lawyer. When all of that is confirmed to the real estate agent, they will hand over the keys to the new owners.
The lawyer will also lodge documents with Land Information New Zealand (LINZ), and the transfer of legal title.
Summing Up – South Auckland Residential Property Lawyer
Buying or selling property is stressful at the best of times. For people in the Manukau area who are buying or selling any form of real estate, having a South Auckland residential property lawyer that they can rely on is essential. McVeagh Fleming is a law firm based in Manukau city centre. They have a team of property lawyers who can help. Click here for more details.