Settlement
The final step of a purchase, when the balance of the price is paid, ownership transfers to the buyer and the keys are released.
- Usually 30 to 90 days after exchange, as agreed in the contract
- Completed electronically by solicitors, conveyancers and lenders
- Stamp duty is generally due by settlement
How it works
On settlement day, your lender pays the loan funds, you pay any balance, the seller's loan is discharged, and the title is transferred into your name. Most settlements are now completed online.
Before settlement
A final inspection checks the property is in the condition agreed. For an investment, lining up a property manager before settlement means the property can be leased sooner.
Most agencies stop at settlement. Rothmore reviews each property and your plan with you every year after it.
Common questions
Can settlement be delayed?
Yes, by agreement, but a party that is not ready can face penalties under the contract.
When do I get the keys?
Usually from the selling agent on settlement day, once the transfer is confirmed.
Related terms
Sources
General information only. It does not consider your objectives, financial situation or needs, and is not financial, credit, tax or legal advice. Rules change, so check current law and get advice from a licensed professional before acting.