The buying and selling process of your property should be an exciting time. Our aim at SMQ is to ensure the legal side of the conveyancing process goes as smoothly and efficiently as possible.
We have put together this step by step guide to the conveyancing process to help you understand the buying and selling process.
The conveyancing process – Buying and selling
- When we provide an initial quotation, it will include the fees and disbursements that are to be paid in a clear format. Our letter will make it clear what the instructions are and whether there could be additional disbursements added to the fees e.g. management company fees or indemnity insurance, CHAPs payments (see our conveyancing solicitors page for further information).
- We will calculate Stamp Duty payable on the transaction and this will appear on our quotation.
- We will conduct anti money laundering checks are important for all involved. Not only for compliance for us as your solicitors but for the safety of our clients ensuring the parties involved and the transaction are legitimate.
- We will find out who the solicitors are for the other party. We will need immediate contact details so we can send out our standard letter to confirm our instruction.
- We will obtain the addresses of key parties and find out if any agents are involved. We know some of our clients prefer to keep their mortgage brokers involved in the process and we can copy brokers into communications with a client’s consent. We tailor our approach to the client’s request.
- If purchasing a property, we will request the contract package from the seller’s solicitors to review.
- If more than one person is purchasing a property, we will discuss and take instruction on how the property is to be held i.e. joint tenants or tenants in common.
- We will require proof of funds to ensure that you have the required amount of money to purchase the property.
- We will obtain a local search and any other necessary searches, such as coal mining reports or water searches, and will advise on them.
- Contract – it is important that the contract and associated documentation is understood and we will spend as much time as necessary to ensure this. On exchange of contract the completion date is set so everything to be in place first.
- Contracts are exchanged between solicitors and the time and date of exchange are noted. The contract can be signed before this date, in readiness, but it is the exchange that puts the contract in force.
- We will then call the seller’s solicitor (or vice versa) and confirm that they are holding a signed contract and they will run through the details and confirm contracts are exchanged. We then send your signed contract to the seller’s solicitor and the seller’s solicitor will send their clients signed contract to us in the post. On exchange of contracts a deposit is paid to the seller’s solicitor. This is usually 10% of the purchase price.
- Following exchange of contracts we will provide you with an account showing all monies to be received and paid out and the balance due from you to complete.
- Between exchange and completion we will arrange for mortgage papers and the transfer to be signed and apply for the mortgage monies (if you have a mortgage).
- On the day of completion the balance of the purchase price is transferred to the seller’s solicitor. Once the seller’s solicitor has received the funds, they will make arrangements to authorise the release of the keys to the property.
- Following completion the purchaser is registered as the owner of the property at the Land Registry and the Stamp Duty Land Tax Return is submitted and the tax paid.
Selling Process
- The seller of a property will complete a Property Information Form and List of Fixtures and Fittings which are provided to the buyer. We will assist in answering these questions where necessary. It is important the forms are completed as accurately and honestly as possible.
- An Energy Efficiency Certificate is a legal requirement before a property can be placed on the market for sale. If it is a private transaction we can assist in obtaining this.
- Sometimes it is necessary to obtain indemnity insurance where there are issues with a property, e.g. for Flying Freeholds. We can assist in obtaining any such insurances.
- Once all the information is to hand we can prepare the contract pack to send to the buyer’s solicitor. This consists of the contract and all documents which provide relevant information to the sale of the property.
- The buyer solicitors will then raise enquiries which we will discuss with you and to which we will respond.
- Once the completion date is agreed and the contracts are signed, we are ready to exchange the contracts.
- We will confirm with your mortgage provider the redemption figure for any mortgage over your property and this will be paid upon completion.
- Unless you instruct us otherwise, we will also settle your account with the estate agent.
- On completion we will provide you with an account showing all monies received and paid out and the balance due to you.
- After the exchange of contracts, we will advise you of the necessary steps you must take to get ready for completion.
- On the completion day we will obtain receipt of the sale monies from the buyer and call you to confirm that you can release the keys to the estate agent. We will pay any outstanding mortgages from the sale proceeds (or we will have asked you to pay money on account to cover the shortfall, if any). We will then send the title deeds to the buyer’s solicitor and any net sale proceeds and the completion statement will be sent to you. We usually arrange to pay the estate agent their commission from the sale proceeds before the money is sent to you.
If you have any questions about the conveyancing process or are ready to move forward with buying or selling a house, please get in touch with our friendly team of conveyancing solicitors, or complete the enquiry form below.