How Much Does It Cost to Get a Contract of Sale in NSW?
A contract of sale is the first thing your conveyancer prepares when you decide to sell. Here’s what it costs to get one drafted, and how that fits into your total conveyancing fees.
A contract of sale is essential to sell a property in NSW. Whether you sell privately or through a real estate agent, a contract must be prepared before the property can be marketed to buyers. Here’s what that costs, what’s included, and how the numbers fit together.
At a glance
- A contract of sale must be prepared before your agent can start marketing the property.
- RM’s upfront fee to get started is $400, credited against your total professional fee at settlement.
- A full conveyance (professional fee, disbursements and PEXA) typically comes to around $2,650 for a straightforward NSW sale.
How much does it cost to get a contract of sale prepared?
At RM, getting your contract drafted and ready for your agent starts with an upfront fee of $400. That amount isn’t an extra cost on top of everything else, it’s simply the first instalment of your total professional fee, so it’s deducted from what you pay at settlement.
Preparing the contract itself involves pulling together the certificates and searches a buyer’s conveyancer will expect to see, so your agent can list the property without delay.
What’s included in the cost of preparing a contract?
- Section 10.7 certificate: obtained from the local council, showing zoning, planning controls and any restrictions on the property.
- Sewer service diagram: a certificate from the governing water authority showing where the sewer line runs on the land.
- Title and other searches: title searches, deposited plans, land tax searches and, for units, strata searches.
- Pool or spa compliance: if the property has one, a compliance or non-compliance certificate from council or a private certifier.
Costs vary a little depending on the property and council, but this covers the core of what goes into getting a contract ready to market.
Typical conveyancing costs for a straightforward NSW sale
| Professional fee (inc. GST) | $1,900 |
| Disbursements (searches and certificates, estimated) | $600 |
| PEXA settlement fee | $146.30 |
| Typical total | ~$2,650 |
If AML/KYC identity verification applies, add $150 per person on title. Costs move up or down depending on the property and how straightforward the sale is, so treat this as a guide rather than a fixed quote.
What does your conveyancing fee actually pay for?
- Managing negotiations with the purchaser’s legal representative once your offer has been accepted.
- Preparing and handling the documents the government requires for the property transfer.
- Organising the bank’s discharge of mortgage paperwork if there’s a loan on the property, and coordinating its settlement.
- Calculating land rates and water rate adjustments at settlement.
The $400 you pay to get your contract drafted isn’t a separate cost, it’s simply the first part of the total fee you’ll pay at settlement.
How much does it cost to sell a house overall?
Conveyancing is only one line item. Depending on the property and how it’s sold, expect to budget for:
- Real estate agent’s commission – typically 1.9% to 2.5% of the sale price, though this varies.
- Conveyancer or solicitor fees – around $2,650 all up (see the breakdown above), depending on the difficulty of the sale.
- Marketing – $5,000 to $8,000 for professional photography, floor plans, advertising copy, a signboard and online advertising.
- Auctioneer’s fees – around $1,000, if selling at auction.
- Home staging – from $3,000 to $6,000, depending on the size of the home.
- Moving costs – around $1,000 to $2,000, depending on the size of the home and the distance to your new property.
- Mortgage discharge fees – varies by lender, but budget at least $300.
In plain English
Getting a contract drafted is a small, refundable-against-your-fee first step, not a separate expense. The bulk of your conveyancing cost is only paid at settlement, once the sale actually goes through.
Can you sign a contract of sale electronically?
Yes, if your conveyancer or solicitor has the facility to do so, which RM does. Contracts can be signed anywhere with internet and email access, whether you’re on holidays, interstate or overseas, using secure electronic signing.
Review and negotiation
- Before exchange, both parties review the contract. The buyer’s conveyancer conducts searches and inspections, and terms are negotiated if needed.
Signing the contract
- Once satisfied, the buyer signs and their conveyancer sends it to the vendor’s conveyancer, who checks it and sends it to the vendor for electronic signing.
Exchange of contracts
- There are two copies, one for each party. Once each side signs their copy, the conveyancers or agent swap, or “exchange”, them. At exchange the buyer pays a deposit, usually 0.25% of the price, into the agent’s trust account before exchange can occur.
Can a vendor cancel a contract of sale?
A vendor can cancel a contract of sale in certain circumstances, including:
- Rescission clause: the contract may set out specific circumstances and a procedure for either party to terminate.
- Cooling-off period: buyers have a cooling-off period of 5 business days. Only the buyer can withdraw during this period, and the vendor cannot cancel unless the buyer breaches the contract terms.
- Failure to meet conditions: if the contract is subject to finance or a building inspection and the buyer doesn’t meet those conditions in time, the vendor may be able to cancel.
- Mutual agreement: both parties can agree to terminate at any stage before settlement, including how the deposit is handled.
- Breach of contract: if the buyer breaches the contract, such as failing to pay the deposit or settle on time, the vendor may have grounds to terminate and retain the deposit, subject to the contract terms.
We give you an exact, itemised figure before you commit to anything, so there are no surprises at settlement.
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