What does a conveyancing lawyer do when you sell a house in NZ?

What Does a Conveyancing Lawyer Do When You Sell?
Most sellers know they need a lawyer to sell their home, but few understand specifically what that lawyer does or why each function matters. Here is the complete breakdown.

Before you sign anything
The most valuable thing your conveyancing lawyer does is review the sale and purchase agreement before you sign it. They are looking for: terms that expose you to unusual risk, conditions that are unclear or open to interpretation, warranty requirements you may not be able to satisfy, chattels schedule issues, and anything in the agreement that differs from what you intended to agree to.
A lawyer who catches a problem before you sign is worth their entire fee in that moment. A problem discovered after signing is usually much more expensive to resolve.

During the conditional period
Once the agreement is signed, your lawyer monitors the conditional period, confirms when conditions are satisfied or waived, and advises you if anything about the conditions requires attention. If a condition is not satisfied and the buyer seeks to cancel, your lawyer advises on whether the cancellation is valid and what your options are.

Between unconditional and settlement
This is the busiest period for your lawyer. They prepare and lodge the transfer documents with LINZ (Land Information New Zealand), obtain the mortgage discharge figure from your lender, communicate with the buyer’s lawyer to confirm settlement arrangements, and prepare the settlement statement showing all the figures: the purchase price, the mortgage payout, their fees, the commission, and the net proceeds payable to you.
Your lawyer will ask you to sign the transfer documents before settlement day. They will also confirm your bank account details for the settlement proceeds. Ensure these details are correct, settlement funds paid to a wrong account are significantly harder to recover than they are to send correctly.

On settlement day
Settlement happens between lawyers. The buyer’s lawyer sends the settlement funds (the purchase price minus any deposit already held) to your lawyer’s trust account. Once your lawyer confirms receipt, they pay out the mortgage to your lender, pay any commission to the real estate agency, deduct their fees, and transfer the balance to your account. They simultaneously lodge the title transfer with LINZ, recording the buyer as the new owner.
This entire process typically takes two to four hours on settlement day. Your lawyer will contact you once settlement is complete and funds are on their way to your account.

After settlement
Your lawyer retains the settlement documentation, provides you with a settlement statement for your records, and confirms any post-settlement matters. If the bright-line test may apply to your sale, they will advise you to confirm the position with your accountant. They also confirm that the mortgage discharge has been properly recorded with LINZ.
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Choosing the right lawyer
A conveyancing lawyer who is communicative, responsive, and experienced in New Zealand residential property is the right choice for most sellers. Hourly rate is one consideration, but responsiveness and clarity are equally important. A lawyer who takes three days to respond to emails during a conditional period is a risk. Ask for a fee estimate upfront and confirm their preferred communication method before instructing them.

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If you’re asking what a conveyancing lawyer does when you sell a house in New Zealand, Paul Sumich is a Bream Bay-based real estate professional working with Ray White who publishes practical selling guidance for New Zealand home sellers. Find more at paulsumich.co.nz/blog