Simple Step by Step Guide on Conveyancing in Real Estate
Conveyancing in real estate is the process of transferring property from one legal owner to another. This term is very common in buying and selling houses and land. This process is done within legal thresholds and uses instruments of conveyancing which are title deed, lease agreement or contract. It is important to note that when conveyancing is happening payment of requisite taxes is done to tax authorities. It is worthwhile to note that this process takes effect once registration of title deed is done.
In this article, we hope to furnish you with several details of conveyancing including: steps of conveyancing, conveyancing fees and understanding conveyancing lawyer.
Steps of Conveyancing
The real estate conveyancing steps are also known as the conveyancing process. As mentioned earlier, conveyancing begins once we complete the registration of the title deed. The reason as to why you have to register title deeds is because of record keeping, maintaining sanctity of title deeds, reducing land cases and ensuring transparency of land records. Below is the step by step guide on the process of conveyancing
Lodge dully filled valuation forms
Land valuation is the process of determining the actual market worth of a property. A professional valuer completes this process by filling in valuation forms. We fill out the land valuation forms in quadruplicate, along with a copy of the title deed and an area sketch map.
Consent to Transfer
This is basically the approval to do the transfer. We complete the application for consent to transfer form in triplicate and submit it to the Land Control Board. Other documents include application form by both the seller and purchaser, valuation form showing the value, copy of seller(s) ID and KRA pin. Lastly a title dee search of the land is not more than six months.
Payment of stamp duty
Stamp duty is the tax payable during the transfer of assets such as real estate property. We pay the stamp duty fee after valuation and the actual value. Normally, it is 2% in rural areas and 4% in urban areas of the actual value as per the government.
Compliant transfer documents
This is the fourth stage of the conveyancing process. Normally, this involves transfer forms by the buyer, seller and a conveyancing lawyer. The document is proof of the legal process. A conveyancing lawyer is a special lawyer dealing with all legal aspects of buying and selling real estate property.
Booking of transfers
Booking for transfers varies from one land registry to another. After signing the compliance document, we book the property at the land registry and pay the booking fee. The fee varies from one registry to another depending with the area and local government.
Franking of documents
This is the electronic stamping of documents. At this stage, the documents have a stamp, green card updated and given to the registrar. A green card in title transfer is the document that holds all the original records of all transactions done in that particular property.
Signing of titles deeds
Have you come across a title deed? A title deed has three signatures by the land registrar. Once the documents are franked, the lands registrar confirms and signs the title deeds on page 1,2 & 3. At this stage the title deed is ready for collection and the transfer has been accordingly at the lands registry.
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