WHEN SELLING A PROPERTY
There are a few things you should know when selling a property:
- Once the sale agreement has been signed and the 10% deposit has been made, you should give a copy of the Deed to the listing Real Estate Agent to hand over to the purchaser. In most cases the deposit is held in Escrow. “Escrow generally refers to money held by a third-party on behalf of transacting parties e.g. Lawyer or Real Estate Agent”
- Please note if the property is shared ownership ALL parties must sign the Sale Agreement. If the any or all parties live abroad, the Agreement must be sent to them to be signed and must notarized before returning
- If you have an existing mortgage on the property you will need to advise your Mortgagor that the property is up for sale and you will be paying off your mortgage with a few months. Once a deposit is received you will have to instruct your financial institution in writing to prepare a Deed of Mortgage Release in Escrow . Please speck to your Loan Office to discuss early closing of your mortgage.
- f you have already paid off your mortgage please make sure that your Mortgage Release was executed and a copy of it is handed over to the Purchaser Attorney ,otherwise this simple hiccup can delay the closing process. Once a deposit is received you will have to instruct your financial institution in writing to prepare A Deed of Release in Escrow ( This usually takes 4-6 weeks to be prepared by your Financial Institution’s Lawyers therefore we strongly recommend that you applied for this immediately after you executed a signed Agreement and deposit made ) . You will also be required to request from your bankers a Settlement letter/ Redemption Statement which will be forwarded directly to the purchasers Mortgage Officer or Attorney so that they will know how the funds would be disbursed
- It is important that you do an inventory of what is being sold with the property. Make a list of what stays and what goes. For example water tanks, air condition units, ceiling fans etc. this is the ensure there is not confusion by parties involved and any of missing items after the sale closes
- Have all your documents in order. The following are a list of some of the documents you will need to pass on to the purchaser.
If you have them ready before hand you will speed up the completion process:
- Copy of the Title and Mortgage Deed
- Power of Attorney ( if acting on behalf of the owner )
- Land Lease ( If selling Lease hold property )
- Land and Building Taxes up to date up to 2009
- WASA receipts up to date
- WASA Clearance Certificate ( In the Vendor(s) name If Applicable )
- T and Tec Up to date paid
- Completion Certificate ( If property ( house ) has been built is less than 4 years )
- Probate ( If the property is willed )
- Deed of Assent ( If the property is willed )
- Deed of Release in Escrow (If property has a mortgage )
- Receipt to show that the Deed of Release was paid for by Vendor
- Settlement letter (If the property has a mortgage )
- Death Certificate ( If the original owner(s) has passed away )
In the case of a condo or Leasehold Properties additional documents are:
- Original Share Certificate ( If you have a mortgage the lawyer would liaise with the bank to obtain this Certificate )
- Maintenance Charges receipts
- Lease rent receipts ( if applicable )
- Certificate of company continuance ( If applicable )
- Consent to Assign ( if applicable )
For Land which has been subdivided in addition to the above mentioned documents:
- Cadastral Sheets / Survey Plans
- Town and Country sub-division approval
- If selling leasehold property (Such as Woodbrook or St. James) it is advisable to have your lease renewed before listing to save time.
- Holes left in walls after removal of pictures, curtain rods and shelves should be plugged and touched up before handing over the property to the new buyer, Lawn and garden beds should be up kept until the closing date.
- Remember it would be unkind to hand over the property dirty, so please clean he property before handing it over.