Throughout the process of selling your home, you will most likely experience a mix of exhilaration and relief when you accept that crucial offer.

There are several formal steps to undertake before relaxing completely.

Exchange of Contracts: Your house has just sold at Auction or you've accepted an offer.  Congratulations! The property will now be withdrawn off the market after you and the buyer have signed a contract. The buyer will next pay a deposit, which in an auction is typically equal to 10% of the purchase price.

What is the “cooling off” period? 

Buyers in South Australia have a two-business-day cooling-off period following the contract's signing. This provides the buyer the possibility to complete any searches or building inspections of the property and, essentially, gives them the option to back out of the deal if they change their mind. Once the cooling-off period has passed without opposition from the buyer the settlement procedure will start. However, if the property is sold at auction, the buyer will not be eligible for a cooling-off period, and the sale will be unconditional.

What happens to your mortgage? 

Most people sell their homes before paying off the mortgage. If that applies to your sale, settlement won't happen until you make arrangements to pay off the remaining balance on your loan. Beginning the process with your lender as soon as the contract is completed is advised because this can take several weeks to organise.

This will be a reasonably easy process if you're selling your property for more money than you owe. When the proceeds from the sale are insufficient to pay off your remaining mortgage balance, things get more challenging. In this scenario, your lender may require you to use your own resources, such as the sale of other assets, to make up the gap.

Settlement: When the buyer and seller reach a settlement, the sale is complete, and the new owner receives the keys. Lawyers and conveyancers handle the majority of the settlement procedure, examining inclusions and exclusions, zoning, planning permissions, boundaries, and other related issues.

Normally, the settlement time lasts six weeks, although you and the buyer are free to agree on a different duration. On the day of settlement, you'll get all the money you're due from the sale, and the buyer will get the keys and the official transfer of ownership. Therefore, you must make sure that all of your personal belongings have been moved into your new home or storage before this happens.

Now that the sales complete, you can relax and enjoy time celebrating!