THE "SIMPLE" REAL ESTATE CONVEYANCE

Selling or purchasing a home, or purchasing property and building a home, is likely the largest investment most people make in their lifetime. Yet there is often a perception that it is a "simple" conveyance and that it is likely that nothing will go wrong.

Often people enter into a contract to sell or purchase property without the benefit of legal advice and once the "interim agreement" is signed, it is a binding contract that cannot be amended or revoked unless both parties agree.

There are covenants, easements, rights of way, statutory building schemes, and other charges registered against the titles of properties that run with the land and transfer with the ownership of the land. These charges are commonly referred to as "non-financial encumbrances". The standard interim agreement binds the purchaser to purchase the property despite the existence of most of these charges.

It is therefore wise to obtain a land title search and copies of the non-financial encumbrances prior to signing a contract to purchase property, especially if you are buying land.

If you are building, building schemes, restrictive covenants and rights of way may restrict you from building the home you want on your lot. Environmental restrictive covenants may protect vegetation on slopes, "eagle trees", or provide for protected areas around ponds and streams. These types of restrictions are quite common in North Nanaimo and the Lantzville area.

Searches can be obtained and most documents can be ordered on-line from lawyers.

A lawyer is the person trained to interpret the contents of these documents and to advise the client of its consequences. Many complexities may be hidden behind what appears to be a simple legal matter. If you are not in a position to decide what is "simple" and what is not, the consequences could be serious.