Term	Description
Completion	See Settlement.
Contract	See Contract for Sale.
Contract for Sale	A written agreement, signed by both parties, which sets out the terms and conditions of the sale, description of the property, the price, inclusions and completion date.
Conveyance	The transfer of ownership of property from the sellers name to the buyers name.
Conveyancer	A person licensed by the Department of Fair Trading to practice conveyancing in Victoria.
Conveyancing	The legal process for the transfer of ownership of real estate.
Cooling Off Period	The current legislation provides a period of 5 business days from date of exchange of contracts in which (only) the purchaser may cancel the contract for the purchase of residential property.
Covenant	A notation on a title deed which imposes an obligation to terms, conditions or restrictions regarding the property.
Deposit	An agreed amount (usually 10%) of the purchase price, which is paid by the purchaser at exchange of contracts and usually held by the estate agent until completion.
Deposit Bonds	This is a guarantee issue by an insurance company that the purchaser will pay the full deposit by the due date. There is a fee for these bonds and they are regularly used instead of money as a deposit. Conditions apply.
Disbursements	Miscellaneous fees and charges incurred during the conveyancing process, including search fees and charges paid to Government authorities.
Discharge of Mortgage	A document signed by the lender and given to the borrower when a mortgage loan has been repaid in full.
Easement	A right by a person who is not the owner of the property, to use or have access over part of that land.
Encumbrance	An outstanding liability or charge on a property.
Exchange of Contracts	The time at which the Agreement for Sale becomes binding on both parties, the agreed deposit is paid and the cooling period commences.
Exclusions	Items which are specifically excluded from the sale.
Fittings	Goods or articles that can be removed from the property without causing damage to it.
Fixtures	Items such as built in cupboards, stoves, etc which are fixed to the property and cannot be removed without causing damage. There is still argument about what constitutes a fixture so these should be detailed in depth in the contract.
Final Inspection	An inspection of the property, prior to completion, to determine that the property is in the same state and condition that it was at the date of exchange of contracts.
Folio Identifier Gazumping	Gazumping is when a purchaser’s offer has been accepted and the purchaser begins pre-contract enquiries, only to and that the seller has accepted a higher offer from someone else.
Inclusions	Items which are specifically included in the sale.
Inventory	A list of items included with a property, usually furniture, furnishings, movable items etc.
Joint Tenants	Ownership of a property in equal shares, where if one owner dies his/her share passes to the surviving owner/s.
Land Tax	A tax levied by the state government against some owners of property and is based on the value of the property.
Mortgage	Any charge on land (other than a covenant) created merely for securing the payment of a debt.
Mortgage Broker	A person or organization offering to organize or broker loans from a group of lenders.
Mortgagee	The proprietor of a mortgage; a person who lends the money to another where the loan is secured by taking a mortgage over the borrower’s property.
Mortgagor	The proprietor of land or of any estate or interest in land pledged as security for the payment of a debt in favour of the mortgagee.
Old System Title	The title system which pre-dated the Torrens system and still exists in some properties today. Old system title to a property was proved by demonstrating an unbroken chain in title.
Option to Purchase	A legal document giving a person a right to buy. In the document the price and period are specified. A fee is paid and if the person proceeds to buy the property the amount of the fee comes off the purchase price. If the person does not proceed to buy the property the fee is forfeited to the seller.
Owners Corporation	The owners of lots in a strata title scheme.
Purchaser	A person who buys a property (buyer).
Rescission of contract	Where a party cancels a contract because the other party has breached the terms of the contract.
Right of Way	See Easement.
Settlement	The settlement (or completion) of the sale whereby the purchaser pays the balance of the purchase money, the vendor gives the purchaser possession of the property and gives the title deed and the Transfer to the purchaser.
Stamp Duty	This is a tax charged by the State Government for which the purchaser will be liable, unless entitled to an exemption.
Strata Title	The subdivision of a property into lots and common property. The lots are the units or other areas owned by the owners and the common property is everything that does not form part of a lot and is owned by the owners corporation (all the owners collectively).
Survey	A plan that shows the boundaries of a block of land and the positioning of any building/s on that land.
Tenants in Common	Joint ownership of property and may be in equal or unequal shares. Each joint owner may dispose of their share in the property independently and unlike Joint Tenancy, the shares do not automatically pass to the other owners in the event of death but form part of that persons estate.
Title Deed	Document disclosing the legal description and ownership of a property.
Torrens Title	A term used to describe the system of title (or land) registration expressed in NSW in the Real Property Act. This type of title is guaranteed by the State Government, except in some cases of fraud.
Transfer	A document registered with the Land Titles Office that confirms the change of ownership as noted on the Title.
Unencumbered	Describes a property free of mortgages, covenants, restrictions etc.
Valuation	A report detailing a professional opinion of a property’s value.
Vendor	A person who offers property for sale (seller).
Zoning	A qualification on the allowable use of the property, imposed by Council.