What is the conveyancing process for buyers in NSW?

For buyers in NSW, the conveyancing process runs from offer acceptance through exchange of contracts, a 5 business day cooling-off period (unless waived), a pre-settlement period (typically 4 to 6 weeks), and then settlement. Your conveyancer or solicitor reviews the contract, raises any requisitions, prepares transfer documents, and coordinates settlement via PEXA or manual settlement. The key statute is the Conveyancing Act 1919 (NSW).

When do I need to get building and pest inspections in NSW?

Building and pest inspections should be completed before exchange of contracts. Unlike some other states, NSW does not give buyers automatic rights to pull out if inspections reveal problems after exchange (unless the contract includes a specific inspection clause). Most conveyancers strongly recommend ordering inspections before signing so you have time to negotiate or walk away during the cooling-off period if significant issues are found.

What is a section 10.7 certificate and does the seller provide it?

A section 10.7 certificate (under the Environmental Planning and Assessment Act 1979) discloses zoning, any heritage listing, flood risk, contamination, and other planning constraints that apply to the land. In NSW, the seller is required to attach a section 10.7(2) certificate to the contract of sale before exchange. Buyers can request the more comprehensive 10.7(5) certificate at their own cost if they want additional detail about any planning instruments that may affect the land. Source: Environmental Planning and Assessment Act 1979 s10.7, NSW Legislation.

What do I need to do after settlement in NSW?

After settlement, the title is transferred to the buyer via NSW Land Registry Services (NSWLRS). Your conveyancer typically lodges the transfer electronically via PEXA. Buyers should update their address with Australia Post, banks, the ATO, electoral roll, and council/water rates authorities. Sellers should ensure all utilities and insurance are cancelled from the settlement date. Capital gains tax implications apply to sellers of investment properties - consult an accountant.

NSW conveyancing checklist: buyer and seller guide

Q: What happens at exchange of contracts in NSW?

At exchange, the buyer and seller each sign identical copies of the contract of sale and swap them. The buyer pays a deposit (usually 10%, though 5% is sometimes negotiated). The contract becomes legally binding at exchange. A 5 business day cooling-off period begins for the buyer after exchange, during which the buyer may rescind but forfeits 0.25% of the purchase price. There is no cooling-off period if the property was purchased at auction or if a section 66W certificate was signed.

Q: Who is responsible for building insurance after exchange in NSW?

Unlike some other Australian states, NSW law - specifically section 66K of the Conveyancing Act 1919 - provides that risk in a property remains with the vendor until completion (settlement), not exchange. This means the vendor bears the risk of property damage between exchange and settlement in most standard NSW residential transactions. However, many conveyancers still recommend buyers arrange building insurance from exchange as a precaution, particularly where early settlement or occupation is possible. Confirm the appropriate start date with your insurer and conveyancer for your specific transaction.

Last updated: June 2026 • Conveyancing Explained

A plain-English checklist covering every task buyers and sellers need to complete from the moment a sale is agreed to the day keys change hands. Use it alongside your conveyancer's advice, not instead of it.

General information only, not legal advice. This checklist is a general guide to the NSW conveyancing process. Your conveyancer or solicitor will advise on the specific requirements for your transaction. Laws and processes may change. Source legislation: Conveyancing Act 1919 (NSW); Conveyancing (Sale of Land) Regulation 2022; NSW Fair Trading - buying and selling property.

Buyer: before exchange of contracts

This is the most important phase for buyers. In NSW, once you exchange you are legally committed (subject to the 5-day cooling-off period if it applies). Everything in this list should ideally be done before you agree to exchange.

Engage a licensed conveyancer or solicitor
Appoint your legal representative before you start inspecting properties. They should review the contract before you sign or exchange.
Get pre-approval for your finance
Conditional finance approval before exchange reduces the risk of losing your deposit if your lender declines the loan at a later stage. NSW contracts do not automatically include a finance clause unless one is negotiated.
Order a building and pest inspection
Order inspections before exchange, not after. If significant defects are found, you can negotiate with the vendor or exit during the cooling-off period (forfeiting 0.25%). After exchange, most buyers have no automatic exit right based on inspection results.
Review the contract of sale with your conveyancer
Your conveyancer will check the contract for unusual conditions, the sale price, inclusions and exclusions, settlement date, and whether the vendor has met their disclosure obligations (section 149/10.7 certificate attached).
Check the section 10.7 certificate
The seller must attach a section 10.7(2) certificate (issued by the local council) to the contract. This discloses zoning, flood risk, heritage, and contamination. If you want more detail, ask your conveyancer about obtaining the more comprehensive section 10.7(5) certificate at your cost.
Check the strata report (if applicable)
For apartments and townhouses in strata schemes, review the strata inspection report. This covers the sinking fund balance, any ongoing disputes, upcoming special levies, and the condition of common property. A strata report can be ordered from specialist services.
Confirm your stamp duty (transfer duty) obligation
Calculate your stamp duty using the Revenue NSW transfer duty tables. If you are a first home buyer, check whether you qualify for the stamp duty exemption or concession (for properties up to $1M) or whether you are eligible for the First Home Buyer Choice land tax option (for properties up to $1.5M). Source: Revenue NSW Transfer Duty.
Negotiate any conditions or price adjustments
Based on inspections and contract review, your conveyancer can help you negotiate price adjustments for defects, request additional vendor warranties, or negotiate inclusions (blinds, appliances, etc.) before exchange.
Decide on cooling-off strategy
You have 5 business days to cool off after exchange (in most circumstances). Decide in advance whether you will use the cooling-off period or sign a section 66W certificate to waive it. Waiving cooling-off is usually requested by vendors at auction or in competitive markets. Do not sign a 66W unless your conveyancer has reviewed the contract and you are comfortable proceeding.
Prepare the deposit
The deposit is typically 10% of the purchase price, payable on exchange. Some vendors will accept 5%. The deposit is usually held in the agent's or vendor's solicitor's trust account until settlement. Ensure your deposit funds are accessible on exchange day.

Buyer: after exchange - before settlement

Once you have exchanged, the property is contractually yours (subject to the settlement conditions). This phase typically runs 4 to 6 weeks in NSW.

Arrange building insurance
Unlike some other states, NSW law (section 66K of the Conveyancing Act 1919) provides that risk in the property remains with the vendor until completion (settlement), not exchange. However, it is still prudent to arrange building insurance from exchange, in case settlement completes unexpectedly early, you take early occupation, or the vendor's insurance does not pay out for a particular event. Confirm the appropriate start date with your insurer and conveyancer for your specific transaction.
Arrange unconditional finance approval
Get formal unconditional loan approval from your lender as soon as possible after exchange. Your lender will arrange a valuation of the property. Delays here are the most common cause of settlement adjournments.
Respond to any requisitions from your conveyancer
Your conveyancer may raise requisitions (formal questions about title or the property) with the vendor's solicitor. Respond promptly to any queries your conveyancer sends you about your finances, identification documents, or settlement instructions.
Set up your PEXA account (if required)
Most NSW settlements now occur via PEXA (the national electronic settlement platform). Your conveyancer will invite you to join a PEXA workspace to sign transfer documents digitally. You will need to verify your identity via your conveyancer.
Confirm settlement funds
Work with your conveyancer and lender to confirm the exact amount required on settlement day (purchase price, less deposit already paid, plus stamp duty, less any adjustments for council rates and water rates). Your lender's solicitor will bring the mortgage funds.
Book your pre-settlement inspection
You are entitled to inspect the property in the 3 business days before settlement. Check that the property is in the condition described in the contract, all inclusions are present, and the vendor has moved out. If damage has occurred since exchange, notify your conveyancer immediately before settlement proceeds.
Arrange removalists and notify key parties of your new address
Book removalists for settlement day or the day after. Begin notifying your employer, bank, the ATO (for correspondence), Australia Post (for mail redirection), and the electoral commission of your new address.

Buyer: pre-settlement inspection

The pre-settlement inspection is your last chance to confirm the property is as agreed. Under the standard NSW contract, you can inspect the property once in the 3 business days before the scheduled settlement date.

Check all fixtures and fittings included in the contract are still present (light fittings, blinds, dishwasher, oven, etc.).
Test taps, toilets, power points, and appliances.
Check for any damage that was not present at the time of exchange (holes in walls, broken windows, water damage).
Confirm the property has been cleaned and vacated (if agreed in the contract).
Check that any agreed work (for example, repairs agreed as part of the negotiation) has been completed.
If anything is wrong, contact your conveyancer before settlement. Do not proceed to settlement without raising it - once settlement occurs, leverage to remedy issues largely disappears.

Buyer: settlement day and after

Confirm funds are in place
Your lender and conveyancer should confirm the settlement amount has been verified and all parties are ready to proceed. PEXA settlements are typically scheduled by time of day; your conveyancer will notify you when settlement is complete.
Settlement occurs - title transfers
Your conveyancer will notify you as soon as settlement completes. In a PEXA settlement, title transfer happens electronically. Your name is registered as owner with NSW Land Registry Services (NSWLRS) within a day or two.
Collect keys
Keys are usually held by the real estate agent. Once your conveyancer confirms settlement is complete, you can collect the keys. The agent will not release them until settlement is confirmed.
Cancel your mail redirection notice / update final addresses
Complete any remaining address changes: water authority, council rates (contact your local council), land tax (Revenue NSW), body corporate (if strata), subscriptions, and your electoral enrolment at aec.gov.au.
Receive your title documents
For properties purchased with a mortgage, the bank holds the certificate of title as security. If you purchased without a mortgage, your conveyancer will arrange for the certificate of title to be issued to you. In electronic conveyancing (PEXA), title is held by NSWLRS in the electronic register.

Seller: before exchange of contracts

Engage a licensed conveyancer or solicitor early
In NSW, sellers must prepare a contract of sale before the property is advertised for sale. Your conveyancer or solicitor prepares the contract. Engage them before you list. Source: Conveyancing (Sale of Land) Regulation 2022.
Obtain a section 10.7 certificate from your council
The section 10.7(2) certificate must be attached to the contract before exchange. Your conveyancer can order this from the local council (current fee is set by each council, typically $80 to $150). Allow 10 to 15 business days for standard processing or 5 days for an urgent order.
Arrange discharge of your mortgage (if applicable)
If there is an existing mortgage on the property, notify your lender that you are selling and request a discharge of mortgage. This can take 10 to 15 business days. Your conveyancer will coordinate the discharge as part of the settlement process.
Clarify what is included in the sale
Decide which fixtures and fittings are included (or excluded) and make sure this is clearly stated in the contract. Inclusions typically include fixed light fittings, window coverings, dishwashers, and built-in appliances. Exclusions (for example, a decorative chandelier) must be listed specifically.
Agree on a settlement period
The standard settlement period in NSW is 42 days (6 weeks) after exchange. A shorter or longer period can be negotiated. Make sure your conveyancer and agent are aligned on your preferred settlement date.
Consider your capital gains tax position (investment properties)
If the property is not your main residence, capital gains tax may apply to the sale. Consult an accountant before exchange. For the 2025-26 tax year, a 50% CGT discount applies to assets held more than 12 months. CGT rules are subject to change - confirm current rates with your accountant or the ATO at the time of your sale. The main residence exemption also has specific eligibility conditions.
Consider GST implications (if applicable)
Residential property sales are generally not subject to GST. However, if you have developed the property or are selling it as part of a business, GST may apply. Confirm with your accountant.

Seller: after exchange

Wait for the cooling-off period to pass (if applicable)
If the buyer has a cooling-off period (5 business days), the sale is not yet unconditional. Once the cooling-off period expires without the buyer withdrawing, the contract is unconditional. If the buyer withdraws, they forfeit 0.25% of the purchase price as a penalty.
Do not remove inclusions or damage the property
Once contracts are exchanged, the property must be maintained in the condition agreed in the contract. Do not remove anything listed as an inclusion. If the property is damaged before settlement, the buyer may be entitled to compensation or to delay settlement.
Begin organising your move
Book removalists early, particularly for settlement dates in spring (peak property season). Confirm you will have vacated the property by the agreed settlement date and time.
Coordinate discharge of mortgage with your lender
Your conveyancer will manage the mechanics, but you may need to confirm account numbers and provide authority to your lender. Make sure the lender has your updated contact details so there are no delays.

Seller: settlement day and after

Ensure the property is vacant and in agreed condition
Vacate the property before the settlement time. All belongings must be removed (unless agreed otherwise), and the property should be in the condition described in the contract. The buyer is entitled to a pre-settlement inspection in the 3 days before settlement.
Hand over keys
Keys (and any access codes, remotes, or strata fobs) are usually left with the real estate agent, who releases them to the buyer once your conveyancer confirms settlement is complete. Make sure all sets of keys are accounted for.
Receive sale proceeds
Your conveyancer will arrange for the sale proceeds (net of the discharge of mortgage, conveyancer's fees, and adjustments) to be transferred to your nominated bank account on settlement day. PEXA settlements typically complete by 5pm on the scheduled day.
Cancel your building insurance from settlement date
Under section 66K of the Conveyancing Act 1919 (NSW), risk in the property remains with the vendor until completion (settlement). Keep your building insurance in place until settlement completes. Cancel it from settlement day once your conveyancer confirms the transaction is complete.
Cancel council rates and water rates in your name
Contact your local council and Sydney Water (or your local water authority) to advise that you have sold the property. Rates are adjusted at settlement for the current period, but ongoing billing must be transferred to the new owner. Confirm with your conveyancer that rate adjustments at settlement have been calculated correctly.
Report the sale to the ATO if required
If CGT applies to your sale, include the capital gain in your income tax return for the year of settlement. Keep records of purchase price, costs of acquisition and improvement, and sale costs (agent commission, legal fees). The ATO's property and CGT guide is a useful reference.

Frequently asked questions

What happens at exchange of contracts in NSW?

Exchange is the moment when both parties sign identical copies of the contract and swap them. It is legally binding. The buyer pays the deposit (usually 10%, sometimes 5%). A 5 business day cooling-off period begins for the buyer (unless waived via section 66W or the property was bought at auction). After cooling-off expires, the contract is unconditional and settlement proceeds on the agreed date.

Do I need a conveyancer to buy or sell in NSW?

Technically no, but in practice almost all buyers and sellers use a licensed conveyancer or solicitor. The documentation, PEXA requirements, stamp duty lodgement, and title transfer process are complex enough that attempting it without a professional creates significant risk. The cost of conveyancing (typically $1,000 to $2,500 including disbursements) is a small fraction of a typical Sydney property purchase. See our do I need a conveyancer guide for more detail.

When do I need to get a building and pest inspection?

Before exchange. NSW contracts do not automatically give buyers a right to exit after exchange based on inspection results. If you discover problems after exchanging, your options are limited unless the contract has a specific inspection clause. Most conveyancers recommend ordering inspections as soon as your offer is accepted so you have time to review results before exchange.

Who is responsible for building insurance after exchange in NSW?

Under section 66K of the Conveyancing Act 1919 (NSW), risk in the property remains with the vendor until completion (settlement) - not exchange. This distinguishes NSW from states like Queensland, where risk passes at exchange. However, many conveyancers recommend buyers arrange building insurance from exchange as a precaution, in case settlement occurs early, the buyer takes early occupation, or an issue arises with the vendor's insurer. Confirm the appropriate start date with your insurer and conveyancer.

What is the typical conveyancing timeline in NSW?

From offer accepted to settlement, typical NSW timelines are 6 to 8 weeks: 1 to 2 weeks for pre-exchange due diligence, 5 business day cooling-off period, then 4 to 6 weeks of pre-settlement. Express settlements of 14 to 28 days are possible but require tight coordination with your lender. See our how long does conveyancing take guide for a full breakdown.

What does a conveyancer do at settlement?

Your conveyancer coordinates settlement by preparing transfer documents, confirming the settlement figures (adjusting for rates and other outgoings), liaising with your lender (if you have a mortgage), and completing the transaction via PEXA or manual settlement. After settlement completes, they notify you and arrange for the key release (via the agent) and title registration at NSW Land Registry Services.

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Conveyancing Explained provides general information about property transactions in Australia. It is not legal advice and does not create a client relationship. For advice on your situation, engage a licensed conveyancer, settlement agent, or property solicitor in your state or territory.