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Guide to Buying a Property |
Buying a home is always an exciting prospect, but without the help of a solicitor or a conveyancer, it can also be a legal minefield.
Your solicitor or conveyancer is there to help you avoid potential problems and to protect your interests at every step, from making an offer to getting the keys and moving in.
Through these pages we will give you a guide as to what you can expect from your solicitor or conveyancer when buying a new home.
What your solicitor or conveyancer will need from you:
We will require you to complete our Client Questionnaire which will provide your personal details and the details of the property and how you are proposing to finance your purchase, for example if you are dependant on selling your current home and/or obtaining mortgage finance.
We will also need you to provide identification, and provide a payment on account of the various searches we have to apply for.
Your seller and his solicitor or conveyancer
Once we have received the Memorandum of Sale from the Estate Agents, we will contact your seller's solicitor asking them to supply us with a Draft Contract, copies of the title documentation, replies to enquiries and a fixtures and Fittings form which lists the items that are included in the sale. You must ensure that this list is checked thoroughly by you to ensure that it meets with your expectations.
Searches
We will make various searches, which always include a Local Authority Search, a Drainage Search and an Environmental Search. Depending on what is revealed once we have received the results, we may advise that further searches be carried out for example, mining searches or contaminated land searches.
If the searches reveal anything of concern, we will advise you immediately.
Leasehold Properties
If the property is leasehold there will be detailed lease terms and conditions. We will check the Lease and the terms carefully and will also make enquiries of the seller's solicitor/conveyancer or the managing agents of the property about what service charges and management costs you will have to pay for the use of the property.
Survey Advice
If you are applying for a mortgage, your mortgage lender will need an independent valuation of the property. Usually they will appoint their own surveyor to do this, but you will have to pay for it. Remember that this is a valuation only and not a survey.
You should consider appointing your own surveyor to carry out a survey on the property as it is up to you to satisfy yourself that the property is structurally sound before you buy it. If the survey reveals that building work is needed, you should tell your solicitor/conveyancer immediately as this may allow you to renegotiate the price.
Mortgage Deed and Terms
Your mortgage lender will also require a signed mortgage deed. You should read the mortgage deed, offer letter and mortgage conditions very carefully, and we will explain them to you.
Signing the Contract
Once all matters are in order, we will prepare a report for you to read carefully. This report will contain all investigations, documents, and searches that we have carried out on your behalf.
If you are happy with matters as they have been set out, you will need to sign the Contract and return it to us, together with your deposit money.
Exchange of Contracts
This is the crucial moment of the agreement between you and the seller. Your solicitor/conveyancer and the seller's solicitor/conveyancer will exchange contracts and matters then become legally binding.
If you wish to withdraw after exchange of contracts has taken place, there will be severe financial implications.
At exchange of contracts, the completion date is fixed which is the day when you move into the property after the seller has moved out.
Final Balance
Between exchange of contracts and completion, we will prepare a financial statement which shows all financial matters, including monies you have already paid, sale proceeds and mortgage advance, and will give a final figure for payment to us in readiness for completion of your purchase.
At this stage, final searches will be carried out, including a Bankruptcy Search if you are obtaining a mortgage. We will also prepare the Transfer document for the Seller and you to sign.
Completion
This is the final stage in the conveyancing process as far as you are concerned, and this is the time when the balance of monies due to the Seller are paid to his solicitor/conveyancer. You will then be able to collect the keys and move into your new home.
Post Completion
After completion has taken place, the stamp duty will be paid to the Inland Revenue by your solicitor/conveyancer. The Land Registry application will be made to register you as the new owner of the property and your mortgage companies legal charge.
Once registration has taken place, the Title Documents will be sent to your Mortgage Company for their security. If there is no mortgage, we will either forward them to yourself for safekeeping or keep them in our storage facility, depending on your wishes.
Making Your Will
Once you have bought a property, we strongly recommend that you make a Will.