Published November 2026
Settlement is the day the property officially changes hands: the buyer pays the balance of the purchase price, the seller is paid out, and ownership is transferred. In NSW it usually happens around six weeks after contracts are exchanged. For most people it’s the finish line of a long process, and knowing what goes on behind the scenes makes it far less stressful. This post walks through what happens in the weeks leading up to settlement, on the day itself, and straight afterwards.
Settlement Is Now Fully Electronic
If you remember settlements at a bank office with bank cheques and a paper certificate of title, those days are gone. Since 11 October 2021, NSW has been 100% electronic. Paper certificates of title were cancelled, and property transfers can only be lodged electronically. Settlements now take place in an online workspace run by an Electronic Lodgment Network Operator, which your conveyancer, the other side’s representative and any banks involved all join. There are two operators, PEXA and Sympli, but PEXA handles around 99% of electronic settlements in Australia, and it’s the platform we use for all of ours.
This means you don’t need to be anywhere on settlement day. There’s no meeting to attend and nothing to sign on the day.
The exception is company title property, usually older apartment blocks. Because you’re buying shares in the company that owns the building, rather than land registered with NSW Land Registry Services, company title sales still settle the traditional way: in person, with the share certificate, a signed share transfer and bank cheques handed over.
In the Weeks Before Settlement
Most of the work happens well before the day itself:
Finance is finalised. If you’re buying with a loan, your lender prepares its mortgage documents and confirms the loan funds available for settlement. If you’re selling with a mortgage, your lender prepares to discharge it.
Adjustments are calculated. Council rates, water rates and, for strata properties, strata levies, are split between buyer and seller so each pays for their share of the financial year for council rates and the quarter for water rates and strata levies. Your conveyancer calculates these and agrees the figures with the other side.
Transfer duty is arranged. Buyers must pay transfer duty (stamp duty) at the time of settlement, or within three months of signing the contract if that’s earlier. In most cases, it’s paid at the time of settlement.
The seller provides a clearance certificate. Every seller, including Australian residents, now needs an ATO clearance certificate. Without one, the buyer must withhold 15% of the price and pay it to the ATO. The ATO says to allow up to 28 days to receive a clearance certificate, so sellers should apply as soon as they decide to sell.
The Pre-Settlement Inspection
Before settlement, buyers should do a pre-settlement inspection of the property, usually arranged through the agent. This is your chance to check that the property is in the same condition as when you bought it, that any inclusions listed in the contract are still there, and that anything the seller agreed to fix has been done. If there’s a problem, tell us straight away, before settlement goes through.
On the Day
Settlement is booked for an agreed time in the electronic workspace (most banks require settlement to take place in the afternoon, around 2:00pm). In the lead-up, each party’s representative checks that the figures balance and that all documents have been signed digitally.
At the settlement time, the funds are exchanged between everyone’s bank accounts, and the transfer (plus any mortgage and discharge of mortgage) is lodged with NSW Land Registry Services, all as a single transaction. That’s the key advantage of electronic settlement: nobody pays unless the documents are lodged, and nobody lodges unless the money is paid.
Once settlement is confirmed, we let you know, and the agent is told they can release the keys to the buyer. The agent will also then account to the seller for the deposit held in the agent’s trust account.
After Settlement
Buyers are recorded as the new registered owner once the transfer is registered. We notify council and the water authority of the change of ownership (along with the strata or company manager for strata or company title properties).
Sellers receive their sale proceeds, after the mortgage payout, agent’s commission and any other agreed amounts, directly into their nominated account.
Both should arrange utilities, and buyers should make sure home and contents insurance is in place.
What Can Delay Settlement?
Most delays are avoidable with early preparation. The usual causes are finance that isn’t ready in time, a missing clearance certificate, figures not agreed until the last minute, or an issue found at the pre-settlement inspection. If a purchaser isn’t ready to settle on the agreed date, the contract will allow the seller to charge interest for each day that settlement is delayed, so it’s worth taking deadlines seriously. We keep all parties on track through the settlement period so there should be no surprises on the day.
A Calm Settlement Starts Early
The best settlements are the uneventful ones, and that comes down to preparation. Whether you’re buying or selling, we’ll keep you updated at every step, handle the figures, liaise with your bank, manage the electronic settlement and let you know the moment it’s done. Get in touch for a fixed-fee quote.
This post is general information, not legal advice. Information checked as at 28 September 2026.
ConveyAbility — 100 Queenscliff Road, Queenscliff NSW 2096