Expert Legal Advice from Affordable Plus Conveyancing

In NSW, a legal relationship between buyer and seller is only created once contracts are formally exchanged. This means:

1. Both purchaser and vendor sign identical copies of the contract.
    
2. The deposit is paid to the deposit holder named in the contract.
    
3. If required, a 66W Certificate is signed by Affordable Conveyancing and provided for the exchange.
    
4. Once all the above steps are verified, the vendor’s conveyancer or agent dates the contracts as “exchanged.”
    

Until this formal exchange occurs, either party can walk away without penalty. This is why it’s essential to be ready to move toward exchange as soon as possible.

The exchange can happen in one of two ways:

For residential property purchases in NSW, the Conveyancing Act 1919 allows buyers a five-business-day cooling off period—unless:

• The property is bought at auction or on the same day following an auction.
   
• A 66W Certificate is provided.
   
• The property is commercial, Company Title, or larger than 2.5 hectares.
   

With a cooling off period, you typically pay 0.25% of the purchase price at exchange, with the balance of the deposit paid before the cooling off period ends.

This option lets you take the property off the market quickly while still allowing time to finalise inspections and due diligence before contracts become unconditional.

If you decide not to proceed during this period, you can rescind the contract by serving formal notice. In such a case, the 0.25% is forfeited to the vendor. While rare, this can happen if you change your mind, fail to secure finance, or are dissatisfied with inspection results.

Any exchange at auction—or on the same day following an auction—is automatically unconditional.

For private treaty sales, Affordable Conveyancing can prepare and sign a Section 66W Certificate, waiving your right to a cooling off period. This enables an immediate, unconditional exchange under auction-like conditions.

A 66W Certificate is often required by vendors, especially in competitive Sydney markets, when purchasing before auction. It can strengthen your offer and give you an edge in negotiations.

Note: All commercial transactions, Company Title purchases, and land over 2.5 hectares are unconditional from day one without the need for a 66W Certificate.

Once contracts are unconditional, both Affordable Conveyancing and your lender work to prepare for settlement on or before the agreed completion date.

While the standard settlement period is six weeks, we often complete within four weeks, depending on your lender and search time frames.

During this stage, you’ll need to:

• Sign and return documents so we can arrange stamp duty payment and legal transfer authorization.
   
• Finalize and sign your loan documents with your lender.
   
• Choose whether to sign our documentation in person or electronically—usually available within a week of unconditional exchange.
   

You’ll also be entitled to inspect the property in the three days before settlement to confirm it’s in the same condition as at exchange, fair wear and tear excepted.

It’s also the time to organize:

• Moving arrangements.
   
• Insurance cover.
   
• Utility connections.
   
• Payment of any settlement shortfall.

Settlement day is exciting—but by then, all the important work will be done.

On the day itself, Affordable Conveyancing completes a quick final check to confirm that finances, documentation, and lodgment  details are all correct.

Once settlement is complete, we’ll call you with the good news. You can then collect the keys from the agent and start enjoying your new property.