Legal issues
There can be a minefield of legal matters to consider when dealing with property and shares. Legal documents that pertain to property can be particularly difficult to read, comprehend and act upon. Thankfully, for most of us contemplating the sale and purchase of real property in modern times, the complexities of the legal system are addressed by the solicitors or conveyancers that we engage to conduct the transaction.
This chapter provides an overview of some of the most important legal issues in investing in shares and property, so you will have an idea of what is involved.
People talk of owning land, but in reality when we buy property we are really just acquiring an interest in land referred to as an ‘estate in land’.
The estate is recognised by a certificate of title, which records your interest as the registered proprietor, as well as that of the bank or other institution as mortgagee, if you are borrowing money and using the property as security. The most common title acquired in buying land is known as freehold. Other types of titles include strata and community titles, which occur mainly in relation to units, flats and apartments.
The contract — transferring title
Conveying land from one person to another requires the transfer of title. This is done with ...
