What are the normal steps involved in a real estate transaction?
The normal steps in a real estate transaction are as follows:
Both prior to and after executing the notarial transfer deed the Dutch civil law notary will check:
After executing the transfer deed, the Dutch civil law notary submits a true copy of the deed to the Land Registry, which registration is the actual moment of delivery and transfer of the real estate.
A Dutch civil law notary generally arranges the financial completion of a property transaction.
Because the Dutch civil law notary is at the heart of the financial arrangements, he will not execute any deed before he is certain that the entire purchase price (plus other costs and taxes payable) has been transferred to the notarial trust account. The purchase price (and other amounts to be paid to the seller or the seller’s bank) is not paid to the seller until the Dutch civil law notary has confirmed that the property is not encumbered with any mortgages or enforcement, other than those that were disclosed when the transfer deed was signed.
It is common in larger transactions to agree in a separate 'notary letter' amongst seller, purchaser, lender and notary on the flow of funds.
