Whilst buying a car can be simply a case of swapping money for keys and a logbook, it sometimes comes as a surprise, particularly to first-time buyers, just how complex it is to buy a property. Buying a home presents a legal minefield. This is because very often a mortgage is involved, meaning a third party has a vested interest in the property and needs to know that their loan is secure. In addition, searches and surveys need to be completed to confirm that the property is legally owned by the sellers who have the right to sell it and that the property does not have any outstanding issues that could present a challenge for the buyers.
Conveyancing solicitors are property law experts who will manage the legal aspects of the purchase on your behalf, ensuring that you are content with their findings at every stage. They will deal with the monetary transfers and contract exchanges to provide you with the legal title to your new home. As explained by the Home Owners Association their role is crucial to the success of the transaction.
The Conveyancing Process
The conveyancing process can take up to 16 weeks from start to finish and follows the following timeline:
Instruct
The first stage is to instruct a conveyancing solicitor to manage the process for you. You could choose a local solicitor with a conveyancing department, or elect to use an online concierge service to access a conveyancing solicitor, such as Sam Conveyancing. Whichever you choose, you should ensure that they provide you with an itemised quotation that you are happy with.
Review of contract and supporting documents
Your chosen legal expert will review the contract provided by the seller’s solicitor and raise any questions with them.
Searches
They will conduct a variety of searches such as Local Authority, Land Registry, Flood Risk, and so forth as appropriate to the specific property and any concerns that you have informed them of.
Conveyancing
A mortgage valuation is required when part of the purchase price will be covered by a mortgage, and you can choose to have a survey done on the property as well. If the property is older or you are aware of any issues likely to need rectifying, you should elect to have a full structural survey completed instead of a simple home buyer’s survey. Your solicitor will also require that you have buildings insurance in place prior to completion.
Contracts
Your solicitor will ensure that you sign and exchange contracts in a timely manner as pre-arranged with the buyer’s solicitor. Before contracts are signed, they will verify that all queries have been settled to your satisfaction, you are content with the fixtures and fittings list and that the proposed completion date is mutually acceptable. Once you have exchanged contracts, you are legally bound to purchase the property.
Completion
On this date, you can collect the keys to your new home from your estate agent and move in to your property. After completion, your solicitor will pay your stamp duty for you, provide your mortgage provider with a copy of the title deeds and issue you with their bill. They will also provide you with all of the paperwork relating to the purchase of the property which you will need to keep safe as it will be required should you decide to sell in the future.
Summary
There are many legal aspects involved in purchasing a home, so employing a dedicated and trustworthy conveyancer to support you is vital to a successful transaction.
Searches, exchange and what happens afterwards
Some stages of the conveyancing process deserve a closer look. Once a price is agreed, the seller’s conveyancer prepares a contract package, including the property information form and the fittings and contents form, which shows what will stay in the property. Along with the title deeds, and the lease for a leasehold home, these documents show exactly what is being bought. This is also the time to arrange a survey.
Before signing, your conveyancer carries out searches. Local authority searches look for planning issues and legal restrictions, environmental searches assess risks such as contamination or flooding, and water and drainage searches confirm the property is properly connected.
When everything is resolved, contracts are exchanged and the buyer pays a deposit, making the deal legally binding. On completion, the balance is transferred and the keys are handed over. Afterwards, the conveyancer registers the new ownership with HM Land Registry and settles any stamp duty owed.
Key stages from offer to completion
Once an offer is accepted, a conveyancing solicitor drafts the contract. If you are buying with a mortgage, they will usually act for the lender as well. They request property searches from sources including the local council and water company to build a picture of the property and the area. Because searches take time, they check the title with HM Land Registry at the same stage to confirm the seller is the rightful owner. Many buyers also arrange a survey to check for damp, subsidence and other problems.
The solicitor then sends questions to the seller about anything not yet answered, such as issues with the title, and checks the list of what is included in the sale, from white goods to blinds and carpets.
When everything is agreed, contracts are exchanged with the price and completion date fixed. Arrange buildings insurance from exchange and transfer your deposit before completion. On completion the title passes to you and the solicitor pays any stamp duty due.