Checklist 06 of 06 — Before Settlement Day
You are almost there. The due diligence is done, conditions are removed and settlement is booked. This final checklist covers everything to confirm and arrange in the days leading up to settlement so that the day itself goes smoothly.
Most of these items should be completed in the week before settlement. A few, particularly the final inspection and settlement fund confirmations, should happen the day or two before. Do not leave them until settlement morning.
The final inspection is your last opportunity to confirm the property is in the condition you agreed to buy it in. Do not skip it, rush it or treat it as a formality. It is a contractual right and a practical safeguard.
You are entitled to a final inspection of the property before settlement, typically within two business days. Do not skip this step. It is your last opportunity to confirm the property is in the same condition as when you signed the contract and that all agreed inclusions are present.
Walk through the property systematically and confirm every item listed in the inclusions schedule is still there. Solar systems, batteries, pool equipment, window treatments, light fittings and appliances should all be checked. Missing inclusions are best resolved before settlement, not after.
Check for any damage that may have occurred during the contract period, including storm damage, water damage, pest damage or damage caused by the vendor moving out. If significant damage is found, contact your conveyancer immediately before settlement proceeds.
Confirm the property is vacant if that was agreed, or that the vendor or tenant is in the occupation state specified in the contract. If the property is not vacant as agreed, contact your conveyancer immediately. Settlement can be delayed or withheld until the property is delivered in the agreed state.
Check with the agent that all keys, garage remotes, intercom codes, gate codes and access devices will be available at settlement. It is worth confirming the number of key sets held and whether there are any access devices not accounted for.
Settlement day moves quickly and has zero tolerance for delays on the finance side. Everything on this list should be confirmed the business day before settlement at the latest, not on the morning of.
Confirm with your conveyancer and broker exactly what funds are needed, where they need to be and by what time on settlement day. Funds typically need to be in your conveyancer's trust account the business day before settlement. Last-minute fund transfers can delay settlement.
Transfer duty must be paid before the title can transfer. Confirm with your conveyancer whether transfer duty has been paid or will be paid as part of the settlement process. Ensure the funds are available and the Queensland Revenue Office portal is ready if required.
Confirm with your broker that all loan documents have been signed, returned and processed by the lender. The lender needs to be ready to fund on settlement day. Any delay in document processing can push back settlement.
Confirm the settlement time, location or electronic settlement details with your conveyancer. Most Queensland settlements are now conducted electronically via PEXA. Confirm your conveyancer and the vendor's conveyancer are both set up and ready.
Your conveyancer will prepare settlement adjustment figures covering rates, water and any body corporate levies paid in advance by the vendor. Review these figures before settlement day and confirm you understand what you are paying and why.
Insurance needs to be in place before settlement completes, not arranged afterward. Confirm your building insurance is active, the sum insured is adequate and any body corporate insurance obligations are understood.
Confirm your building insurance policy is active and the sum insured is adequate for the full replacement cost of the property. If the policy has not already been arranged, arrange it immediately. Do not wait until after settlement to confirm coverage.
If you are moving personal possessions into the property, confirm your contents insurance is in place from the date of occupation. Some buyers assume contents are covered under building insurance, but they are separate policies.
For properties in body corporate schemes, confirm what the body corporate insurance covers and what you are individually responsible for insuring. Typically the body corporate insures the building structure and common property, while lot owners insure their contents and any improvements within the lot.
Utilities and services need to be arranged before settlement day, not after. Lead times for some connections can be several weeks. Starting this process two weeks before settlement avoids unnecessary disruption.
Contact your electricity retailer before settlement day to arrange the account transfer or new connection from the settlement date. Do not assume the existing account will automatically transfer. Being without power on move-in day is avoidable with a short phone call a week before settlement.
Contact Unitywater before settlement to arrange the water account transfer from the settlement date. Your conveyancer will adjust water charges to the settlement date, but the account itself needs to be in your name from that day.
If the property has a gas connection, contact the gas retailer before settlement to arrange the account transfer or new connection from the settlement date.
Contact your preferred internet provider well before settlement to arrange connection from the settlement date. Lead times for NBN connections can be two to four weeks in some areas. If you are relying on internet for work, do not leave this until the week before settlement.
Arrange mail redirection through Australia Post before settlement day. Update your address with banks, government agencies, subscriptions and any other organisations that send you correspondence. This is easily overlooked and can create practical problems for months after you move.
Settlement day is typically straightforward when everything has been prepared in advance. These items cover what to do if something is not right and what to expect when settlement completes.
If the final inspection reveals missing inclusions, new damage or the property is not vacant as agreed, contact your conveyancer immediately. Do not proceed to settlement without first understanding your options. Settlement can be delayed or funds withheld in some circumstances.
Confirm with your conveyancer and agent exactly how and when you will receive keys on settlement day. Electronic settlement via PEXA can be confirmed and keys released within minutes of settlement completing, but it is worth confirming the handover process in advance.
Have the contact details of your conveyancer, mortgage broker and agent readily available on settlement day. Delays do occur, typically due to funding delays or document issues. Knowing who to call and remaining calm is the most useful thing you can do if settlement does not proceed at the scheduled time.