Selling a home in Melbourne is exciting, but it also involves a maze of legal obligations, tight deadlines, and paperwork that must be perfect the first time. One of the earliest questions vendors ask is whether they must engage a professional conveyancer or solicitor, or whether they can save money by handling the transfer themselves. In this comprehensive guide, I will walk you through the Victorian rules, the practical risks, and the hidden benefits so that you can make an informed decision with confidence.
What Exactly Does a Conveyancer Do?
Conveyancing is the legal work needed to transfer ownership of real property from one person to another. In Victoria, licensed conveyancers and legal practitioners perform tasks such as:
- Investigating the title and preparing the Section 32 Vendor Statement that must be given to every prospective buyer before they sign a contract
- Drafting or reviewing the Contract of Sale, including special conditions that protect your interests
- Liaising with your bank, the buyer's representatives, agents, councils, owners corporation managers, and the State Revenue Office
- Arranging electronic settlement through the PEXA platform, which has been mandatory in Victoria since 1 August 2019
- Making sure that all rates and taxes are adjusted correctly on settlement day
- Ensuring the title is transferred and funds are disbursed securely and promptly
In short, a conveyancer acts as the project manager for the legal side of your sale, freeing you to focus on open for inspections, moving plans, and your next property adventure.
Is It Legally Compulsory to Hire a Conveyancer?
No statute in Victoria forces a vendor to appoint a conveyancer. However, the Sale of Land Act 1962 and related regulations place very strict duties on a seller. If you get them wrong the buyer can rescind, settlements can collapse, and you may face penalties of up to 120 penalty units (currently more than AUD 22,000) or even 12 months' imprisonment for serious breaches.
Put bluntly, the law gives you the right to run your own case, but it also loads the dice heavily against the unrepresented.
The Critical Role of the Section 32 Vendor Statement
The Section 32 statement (named after the relevant section of the Sale of Land Act 1962) is a disclosure document setting out everything a purchaser needs to know to decide whether to proceed. Typical inclusions are:
- Title search and plan
- Details of any mortgages, easements, covenants, or caveats
- Council and water rates, land tax information, and owners corporation fees
- Zoning, planning overlays, and building permits
- Notices from authorities affecting the land
If the statement is missing items or contains errors, the buyer may rescind the contract at any time up to settlement. Preparing a fully compliant Section 32 usually involves ordering certificates from multiple authorities and cross‑checking them against the title. Most vendors sensibly outsource this complex task to a licensed conveyancer who carries professional indemnity insurance.
Electronic Conveyancing: The New Normal
Before 2018, settlement clerks would gather at specific locations with bankers' cheques and paper titles. Those days are gone. Since the 2019 mandate, all mainstream land transfers in Victoria must be completed through an Electronic Lodgement Network (ELN) such as PEXA. That requirement applies whether you are represented or acting in person. Individual vendors can in theory become PEXA subscribers, but the eligibility criteria include VOI, insurance, and complex compliance checks.
Electronic settlement offers real advantages instant confirmation, cleared funds, no courier fees but only if the workspace is built correctly. Miss a deadline and the entire workspace is not ready, forcing costly rescheduling. A conveyancer's daily experience is your safety net.
Common Pitfalls When Vendors Go It Alone
Melbourne's property market moves quickly, and a small paperwork mistake can cost a sale. Here are the traps that catch DIY sellers most often:
- Out of date certificates – local council and water certificates expire after 90 days. If you reuse old documents, you breach Section 32 and hand the buyer an escape route.
- Overlooking owners corporation disclosure – OC certificates are mandatory for apartments and townhouses. They take time to arrange and must include insurance, minutes, and budgets.
- Failing to disclose unapproved works – If you built a pergola without a permit you must say so. A buyer who discovers undisclosed works can either demand a price reduction or walk away.
- Misunderstanding cooling off rules – The buyer of a private sale property has three clear business days to cool off, but not if the sale is by auction. Contracts drafted by novices often misstate these rights, inviting dispute.
- Settlement funds miscalculated – Adjustments for rates and land tax must be accurate to the day. A few hundred dollars wrong can delay settlement and trigger penalty interest.
- PEXA workspace errors – The ELN will not allow settlement to proceed if title references or account details are mismatched. Fixing errors under time pressure is stressful even for professionals.
Deposit Release and Section 27
In Victoria, the buyer's deposit is usually held in the estate agent's trust account until settlement. Sellers can apply for an early release under Section 27 of the Sale of Land Act, often to secure their next purchase. A conveyancer prepares the Section 27 statement of finance and negotiates consent. If the figures are wrong, the buyer may refuse release or later claim damages, so accuracy is critical.
Due Diligence Certificates and Local Regulations
Victoria's councils each issue their own planning and building certificates. In coastal areas, for example, a flood‑prone overlay can dramatically change a property's appeal. Inner Melbourne suburbs may require heritage overlays or cladding reports. A conveyancer knows which certificates to order and can flag red zone issues before your marketing campaign goes live. This local expertise saves embarrassing withdrawals later.
The Hidden Value a Conveyancer Adds
Beyond ticking boxes, a good conveyancer:
- Saves time – Electronic conveyancing eliminates the need to attend physical settlement or chase cheques.
- Reduces stress – They coordinate pest, building, or finance extensions and keep agents informed so your campaign runs smoothly.
- Manages risk – Professional indemnity cover means you are protected if something goes wrong with the paperwork.
- Negotiates special conditions – For example, a licence to occupy after settlement so you have time to move, or early release of deposit funds when you need them for your next purchase.
- Provides independent advice – Unlike the selling agent, a conveyancer owes their duty solely to you.
- Keeps you compliant – Privacy rules, anti money laundering checks, and identification requirements are all part of the modern sale.
Costs: How Much Will Professional Conveyancing Set You Back?
Fees in Melbourne vary with property type and complexity, but as a rule of thumb you can expect:
Service | Indicative Fee (AUD) |
Standard residential sale | $900–$1,400 plus disbursements |
Complex sale (off‑the‑plan, subdivision, or multiple titles) | $1,500–$2,500+ |
Disbursements (search certificates) | $250–$500 |
When you weigh those figures against the median Melbourne house price (now above $930,000) the cost amounts to less than 0.2 per cent of the transaction. Most vendors see it as cheap insurance.
How to Choose the Right Conveyancer in Victoria
Here is a quick checklist:
- Ask whether the principal handles files personally or delegates to clerks.
- Confirm they are PEXA ready and transact daily under the 2019 e‑settlement mandate.
- Check that their fee quote covers the Section 32, Contract of Sale, and settlement some cheap quotes exclude parts of the job.
- Look for local market knowledge. A practitioner based in Melbourne will already know council timeframes and common planning overlays.
- Read recent reviews that mention communication and proactive problem solving.
Melbourne Market Snapshot 2025
Melbourne remains Australia's second largest property market, with CoreLogic reporting a 5.3 per cent annual rise in the median house price to $932,000 in March 2025. Marketing costs, particularly online advertising on dominant portals, continue to climb. With higher stakes and larger deposits, professional risk management through conveyancing is even more important than it was a decade ago. Weekly auction clearance rates have hovered between 70 and 75 per cent through autumn, signalling a balanced market where well prepared vendors still enjoy strong demand, but buyers insist on flawless contracts and accurate disclosures.
Case Study: The $14,000 Mistake
In 2024, a Bayside vendor attempted a DIY sale to a neighbour. He downloaded a free contract template, copied an old title search, and forgot to mention a $500 quarterly owners corporation fee. Three weeks before settlement, the buyer's conveyancer spotted the omission and exercised the right to rescind under Section 32K. The neighbour walked away, the property went back on the market, and the eventual price was $14,000 lower than the first contract plus two extra months of mortgage interest. A $1,200 conveyancing fee would have avoided the whole saga.
Frequently Asked Questions
Q: What is the difference between a conveyancer and a solicitor?
A: Both can undertake conveyancing, but a solicitor is a fully qualified lawyer who can also advise on wider legal issues like deceased estates or family law. Licensed conveyancers focus exclusively on property law. For most straightforward sales, a conveyancer offers excellent value.
Q: Can I change conveyancers mid transaction?
A: Yes, but you will usually need to pay the outgoing practitioner for work done to date, and additional time may be required for handover. It is best to choose carefully at the start.
Q: Do I still need a conveyancer if I am selling at auction?
A: Absolutely. Auction contracts are unconditional, so errors cannot be fixed later. A conveyancer will ensure the paperwork is watertight before the first bidder raises a paddle.
Q: Does the buyer pay any of my conveyancing costs?
A: No. Each party pays their own legal costs unless the contract states otherwise.
Q: What happens if settlement is delayed?
A: The defaulting party usually pays penalty interest calculated under the contract. Your conveyancer will calculate and negotiate any claims on your behalf.
Q: How early should I engage a conveyancer?
A: Ideally 2-4 weeks before listing so that the Section 32 is ready for potential buyers.
So, Do You Really Need a Conveyancer?
Technically, no but practically, yes. Victoria's property law framework is unforgiving, electronic settlement is compulsory, and buyers are increasingly sophisticated. A professional conveyancer gives you peace of mind, compliance, and negotiating leverage for a cost that is tiny compared with the value of your house.
Conclusion: Next Steps for Melbourne Vendors
If you are planning to sell in Melbourne during 2025, take the stress out of the process by engaging an experienced conveyancer. Pearson Chambers Conveyancing has helped thousands of local vendors achieve smooth, timely settlements. For a friendly chat, a free Section 32 review, and transparent fixed pricing:
- Phone: 03 9969 2405
- Email: contact@pearsonchambers.com.au