Transfer of mortgage - lawyer requesting Pre-Settlement disclosure?

[absoluteproperty]

Hi all,

Looking to transfer my mortgage from ASB to Westpac (I have moved my mortgages before, but never to Westpac) and my lawyer is asking for a pre-settlement disclosure on the apartment.

I have never been asked for a pre-settlement disclosure before, and do not know why this is being requested. I have outlined that I have not had this requested before (I have gone back to this lawyer, after using a different lawyer the previous move) however there has been no further clarity on why this is being requested. The cost is quite substantial ($575 in this case) so as you can all understand I would like to avoid this cost.

Has anyone had this come up before? I cannot see anywhere this being a regular request, nor does the purpose of pre-settlement disclosure meet the task of transferring mortgages held by the same entity with ASB over to an agreement with the same entity and Westpac.

Thank you all.

[saleemn]

Hi

My understanding is if any property in a Body Corporate management situation a pre-settlement disclosure from the Body Corporate is a must and this in place for a long time and not something new.

[absoluteproperty]

Hi

My understanding is if any property in a Body Corporate management situation a pre-settlement disclosure from the Body Corporate is a must and this in place for a long time and not something new.

Thank you for your response Saleemn, this would be in a situation where no property is being sold - it is simply moving one mortgage from bank A to bank B, the owner of the mortgage (signee) being the same person/entity?

[saleemn]

No this is the situation for taking a new loan or refinance. In case of refinance as far as the bank is concerned it is a new lending and wants to make sure there are no issues with body corporate like weather tightness issue or any arrears in the body corporate levies etc.

[absoluteproperty]

No this is the situation for taking a new loan or refinance. In case of refinance as far as the bank is concerned it is a new lending and wants to make sure there are no issues with body corporate like weather tightness issue or any arrears in the body corporate levies etc.

I understand where they are coming from, however this can be achieved via body corporate minutes from the previous AGM and a balance of payments from the body corporate - the Pre-settlement disclosure carries cost with it which if they are simply trying to confirm that there are no water-tightness or structural issues with the building and that BC levies are up to date then surely it is OTT.

I suppose, rules are rules. I will proceed and arrange for the extortionately priced pre-settlement disclosure.

[saleemn]

It should not cost more than $250-$300