Step 6: Settlement – Completion

Congratulations on passing through the exchange step! Settlement is another important step in the Off the Plan Process. This is the time when you will organise your finance and prepare for the completed property. Below is further information on the settlement process:

Step 6.1: Prepare Finance
Step 6.2: Final Inspection
Step 6.3: Settlement
Step 6.4: Handover of Keys
Step 6.5: Occupy / Rent

Step 6.1: Prepare Finance

Example of conditional loan approvalObtain your formal finance approval approximately 3 months before settlement is meant to occur.
It would be wise to get an understanding of your borrowing capacity before purchase. Another tip would be to speak to a mortgage broker as they compare multiple lenders. This process typically saves you time and money as they tend to find the most competitive interest rates.

Step 6.2: Final Inspection

During this inspection you can list all defects you see such as small paint touch ups to make sure the property is in pristine condition.

What to Bring With You to Your Final Inspection

  1. Pen and Clipboard with paper OR i-pad with notes application
  2. Measuring tape
  3. Camera or smart phone camera
  4. Contract of sale including Schedule of finishes
  5. Smartphone charger
  6. Torch

Inside the Property

Kitchen Checklist

Are all the finishes the same as the Schedule of finishes i.e. benchtop, backsplash, cabinets? Yes No
Do all the kitchen appliances work i.e. stove, oven, exhaust fan? Yes No
Does the kitchen tap work? Does the hot water run well? Does the pressure last? Does the water drain correctly? Yes No
Do all the power points work (check with your smartphone charger)? Yes No
Is the flooring correct and well finished? Yes No
Do the light switches work? Yes No

Bathroom Checklist

Are all the finishes the same as the Schedule of finishes i.e. shower, vanity, toilet, door? Yes No
Do all the taps work i.e. shower taps, sink taps, bath taps? Does the hot water run well? Does the pressure last? Does the water drain correctly? Yes No
Does the toilet work correctly i.e. Flush and doesn’t make noises? Refills correctly? Yes No
Do all the power points work (check with your smartphone charger)? Yes No
Is the flooring correct and well finished? Yes No
Do the light switches work? Yes No

Bedroom Checklist

Are all the finishes the same as the Schedule of finishes i.e. flooring (carpet, tiles or floor boards), door? Yes No
Do the windows open correctly? Yes No
Is the paint to a nice standard i.e. you can’t see layers of paint below? Ideally check during the daytime with maximum light or use your torch for help Yes No
Do the light switches work? Yes No

Living Areas Checklist

Do all light switches work i.e. Dining room / TV room / Hallways? Are the light fittings correct? Yes No
Is the ceiling painted correctly i.e. no paint peeling or you can’t see through to lower layers of paint? Yes No
Is the flooring correct as per the Schedule of finishes? Yes No
Are there fly screens or window coverings? Yes No
Does the air-conditioning work? Yes No

Outdoor Checklist

Does the door open correctly to the outside area i.e. balcony / courtyard / alfresco area? Yes No
Are the floor surfaces finished correctly based on the Schedule of finishes i.e. floor finishes with / concrete / tiles / decking / turf? Yes No
Does the entrance door lock work? Does it open correctly? Yes No
Are the outside walls and ceiling finished correctly i.e. paint / cladding? Yes No
Are there any outdoor connections i.e. Gas outlet for BBQ? Yes No
Is the landscaping correctly finished i.e. relatively level and similar to description in Schedule of finishes? Yes No
Does the garage remote door work (if included)? Yes No

Download: Final Inspection Checklist

Step 6.3: Settlement

The 10% deposit is released from the trust account and finance will come through formerly taking possession of the property.

Step 6.4: Handover of Keys

A time is organised where the keys will be handed over and you can take physical possession of your brand new property.

Step 6.5: Occupy / Rent

If the property is to be used as an investment, now would be the time to advertise for a tenant. Typically you would want at least a month before settlement to start generating enquiries.

To review the concluding remarks about the Off the Plan process.