How long will it be until the sale completes?
All transactions are individual and will depend on a number of factors as well as the wishes of each party in the chain of transactions.
A rough estimate would be that completion would occur 6 to 10 weeks after the transaction is initially agreed.
We will try to complete your transaction as quickly as possible and if you have any particular requirements you should make us aware of these as early as you can.
How will you keep me updated?
We will update you at all the main stages of the transaction. We use email for the majority of our contact with you but will also use telephone and letters where appropriate. If you prefer a particular form of communication please let us know and we will endeavour to use this.
If you would like an update at any stage the please use the direct email or phone number which you have been provided for the conveyancers handling your transaction.
Why are you asking me to prove my identity?
We are under a duty to verify your identity under the Money Laundering Regulations. We may also be asked to verify your identity by other parties to a transaction.
In all cases the Land Registry require us to have verified your identity as a party to a transaction being registered with them.
Where you are having a mortgage your lender requires us to have checked your identity as part of our instructions from them.
I have been told completion usually occur on a Friday. Does it matter which day we complete?
Completions can occur on any banking day that is agreed between the parties.
Friday is the traditional day for completion as it allows the weekend for unpacking and organising the house which has been purchased.
When will I receive the sale proceeds?
Upon receipt of the sale proceeds, we will deduct all the necessary costs associated with your sale such as mortgage redemption, estate agents fees and our own costs.
We will then transfer the proceeds directly to you via a bank transfer provided the purchase funds are received in good time.
If the other party decides they do not want to proceed will they need to reimburse me for any costs I have incurred?
Until contracts have exchanged either party is able to withdraw from the transaction and no compensation would be payable. This ensures that the purchaser is able to have the legal due diligence carried out and obtain a survey and mortgage. If any adverse matters are revealed then it gives them an opportunity to renegotiate or withdraw from the transaction.
Unfortunately this does also mean that either party can withdraw without giving a reason.
Once contracts have exchanged the position is different and there will be financial liabilities to withdrawing from a transaction.
What is the difference between exchange of contract and completion?
Exchange of Contracts is the point at which a transaction becomes legally binding. This will not occur until all parties are ready to proceed. A deposit is usually paid at this stage.
Completion is the point at which the balance of the purchase price is paid (and any mortgage funds are drawn down). This is the point at which ownership of the property actually changes.
I understand some properties are registered at the Land Registry and some are not. Why is this?
It is now compulsory for all purchases of property to be registered at the Land Registry but this was not always the case.
Some properties which have not changed hands for some time will still not be registered at the Land Registry and we will need to see, and report upon, the old paper copies of the deeds. Following completion of the transaction the property will need to be registered.
We have experience dealing with the properties which are either registered or unregistered.
I have been told the property I am selling is freehold/leasehold. What does this mean?
In most cases houses are purchased on a freehold basis and flats are purchased on a leasehold basis.
The freehold title relates to the ownership of the land itself. All properties have a freehold title.
If you purchase a leasehold property then you will be the tenant of the property. This could be by purchasing an existing tenancy/lease or when a new tenancy/lease is created.
Residential leasehold properties are usually the subject of a long lease which was initially granted for 99 years or more. By purchasing the property you will become a tenant of the property and will be entitled to exclusive use of the property.
Leases are usually used for flats to ensure that the Landlord retains control of the building and common parts. This means that one person/organisation is responsible for maintaining the main structure and common parts and can charge for this through a service charge.
When should I stop making payments for my mortgage?
We recommend that you continue to pay your mortgage up until completion has taken place. This will avoid any issues in redeeming your mortgage as a result of non-payment.
Will Solicitors redeem my mortgage?
Yes, prior to exchange of contract, we will obtain an initial redemption figure to ensure that the property is not subject to negative equity. You will be provided a copy of the redemption figure for your comments.
Once contracts are exchange and a completion date is set, we will apply for a final redemption figure and will pay the mortgage from the sale proceeds on the day of completion.
What can I expect to happen on the day of completion?
Prior to the day of completion we will have provided you with a completion statement when we need funds from you and instructions for how these can be transferred to us. We will also have requested any mortgage funds.
Under the terms of the contract completion should usually occur by no later than 2pm. However, in practice, completion will occur once the funds have been transferred to the seller’s conveyancer.
Where there is a chain of transactions this will depend on how long it takes for the money to arrive with us on your sale transaction.