|
Step
|
Description
|
Notes
|
|
1
|
 | | You |
|
buy a
|
 | | House |
|
from the
|
 | | Seller |
|
|
This is normally done through an Estate Agent
|
|
2
|
| | You |
|
apply to
|
 | Your
Bank |
|
for a
|
 | | Loan |
|
|
A loan is required so you can pay the Seller the Purchase Price. The amount of the loan is normally the Purchase Price less any Cash Deposit and/or the proceeds from the sale of your existing property.
|
|
3
|
| Your
Bank |
|
instructs their attorney, the
|
 | Bond
Attorney |
|
to register a
|
 | Mortgage
Bond |
|
|
A Mortgage Bond is a special loan which uses fixed property (e.g. a house) as security and it is registered in the Deeds Office
|
|
4
|
| Bond
Attorney |
|
contacts the
|
| Seller's
Bank |
|
and requests the
|
 | Original
Title Deed |
|
and the
|
 | Cancelation
Figures |
|
|
If the Seller has a bond over the property, his/her bank will hold the title deed in safekeeping.
The bank will also provide Cancelation Figures (or Discharge Costs), i.e. how much is required to settle the Seller's bond.
|
|
5
|
| Seller's
Bank |
|
instructs their attorney, the
|
 | Cancelation
Attorney |
|
to cancel the Seller's bond
|
|
The Cancelation attorney then sends the Title Deed and guarantee requirements (i.e. the Cancelation costs) to the Registering Attorney
|
|
6
|
| Bond
Attorney |
|
assembles and prepares the
|
 | | Documents |
|
|
This can take up to 3 weeks
|
|
7
|
| | You |
|
will be called by the
|
| Bond
Attorney |
|
to come in and sign the
|
 | | Documents |
|
|
You will be required to sign the actual bond documents, a loan acceptance form, authorities to issue guarantees, and any other papers the bank requires (such as debit order forms).
Remember to take your ID and FICA documents. |
|
8 |
| | You |
|
also pay the
|
 | Bond
Costs |
|
at this time
|
|
You will be presented with a Proforma Account which is an estimate of the costs. You will get a Final Account after regsitration when the actual costs are known.
The costs vary because the date of registration is unknown at this stage and some of the costs (such as the interest on the bond being canceled) are determined by this date.
|
|
9 |
| Bond
Attorney |
|
instructs the
|
 | Lodging
Attorney |
|
to lodge the
|
 | | Documents |
|
in the Deeds Office
|
|
The Lodging Attorney is located near the Deeds Office and acts on behalf of the Registering Attorney (who may be far away from the Deeds Office - even in another town)
|
|
10 |
| Lodging
Attorney |
|
contacts the
|
| Canceling
Attorney |
|
to ensure the documents are lodged together on the same day
|
|
The documents have to be registered at the same time because the Seller's bank has guarantees that ensure it will be paid when their bond is cancelled and they are not prepared to cancel the bond until the new bond is registered.
|
|
11 |
 | Deeds Office
Examiner |
|
carefully checks all the
|
 | | Documents |
|
|
This stage is called "on prep". It can take between 7 - 10 working days depending on how busy the Deeds Office is.
|
|
12 |
| Deeds Office
Examiner |
|
contacts the
|
| Lodging
Attorney |
|
| Canceling
Attorney |
|
to inform them the
|
 | | Documents |
|
are ready
|
|
This stage is called "Up for prep" or "Up for Fees". It means the documents are all in order and they will be registered the next day.
|
|
13 |
| | Documents |
|
are registered
|
|
The buyer become the owner of the property
. The new bond is registered and the seller's bond is canceled. The guarantees are presented for payment (i.e. the seller's bank is settled) . |
|
14 |
| Bond
Attorney |
|
sends the
|
| Title
Deed |
|
to
|
| Your
Bank |
|
|
It can take up to 3 months for the Deeds Office to send the Title Deed to the Attorneys.
Your bank will keep the new title deed as security until the bond is paid off.
|
