You’ve found the perfect home, and your offer has been accepted. Congratulations! You’re now ready to start the process of conveyancing.
Conveyancing is the legal process of transferring property ownership from one person (the seller) to another (the buyer). The process can seem daunting, but this beginner’s conveyance guide will give you all the information you need to get started. Read on to learn more about what to expect during the process.
Who Handles Conveyancing?
Most people instruct leading property conveyancing solicitors in London to handle their conveyancing. It’s important to note that in England & Wales, only solicitors and licenced conveyancers are allowed to carry out specific tasks, such as exchanging contracts. So, if you choose the DIY route, you should be aware of what you can and cannot do yourself.
If you decide to use a professional, shop around for quotes before making your decision. Read the fine print and ensure you understand the quote’s terms and conditions before instructing someone to act on your behalf.
The Roles of the Conveyancer
- Prepare and review the contract of sale
- Lodge necessary documentation
- Advise on stamp duty and other government charges
- Conduct searches
- Attend to settlement
- Exchange contracts
- Prepare the transfer documents
Conveyancers can also assist with the following:
- Mortgages
- Leased properties
- House building contracts
- Restrictive covenants
- Easements
The Conveyancing Process
The conveyancing process can be divided into two parts: the pre-contract stage and the post-contract stage.
The pre-contract stage refers to all the legal work that must be done before the contract is signed. This includes title searches, local authority searches, and arranging for a mortgage (if you’re taking out a loan to finance the purchase).
The post-contract stage is when the contract has been signed, and all parties are ready to go ahead with the sale. This stage can be further divided into two parts: pre-completion and post-completion. Pre-completion refers to everything that needs to happen between signing the contract and completing the sale (i.e., exchanging keys and moving in). Post-completion is everything that happens after you move into your new home, like registering the transfer of ownership at the Land Registry.
Here’s a quick overview of what you can expect during the conveyancing process.
Entering Into a Contract
The first step in the conveyancing process is to enter into a contract with the seller. This contract will set out all the terms and conditions of the sale, including the purchase price, settlement date, and any special conditions that may apply. You must read and understand all of the terms of the contract before signing it.
Conducting Searches
Once you have signed the contract, your conveyancer will begin conducting searches on the property. These searches will reveal any information that could potentially impact your decision to purchase the property, such as zoning changes or unpaid rates.
Exchanging Contracts
Once all the searches have been conducted, and you are happy to proceed, your conveyancer will organize for the exchange of contracts. This formal legal agreement between you and the seller binds both parties to the sale. A deposit (usually 10% of the purchase price) is usually paid at this stage.
Completing the Sale
After the contracts have been exchanged, the sale is considered “unconditional.” This means that both you and the seller are committed to going ahead with the sale and that all of the conditions of the contract have been met.
At this point, your conveyancer will organize for settlement to take place. This is when the purchase price balance is paid, and you receive the keys to your new home.
Post-Completion
There are a few final tasks that need to be completed. Your conveyancer will prepare the transfer documents and lodge them with the Land Registry. They will also pay any stamp duty that is due on the property.
Once these tasks have been completed, the conveyancing process is officially finished, and you are the property’s new owner!
Conclusion
The conveyancing process can seem daunting, but it doesn’t have to be. If you instruct a solicitor or licensed conveyancer to handle the process for you, they will take care of everything. You need to make sure that you understand the contract, conduct searches, and exchange contracts. The rest will be taken care of by your conveyancer.