Buying a Home

Before your solicitor can begin progressing your purchase, there are a few key details and documents they will need from you to ensure the transaction runs as smoothly and efficiently as possible.

What your solicitor will need from you:

• Personal identification
• Price of the property
• A copy of the energy performance certificate
• Influences that may affect the time you want to buy the property
• And how you are planning to pay for the property

Your solicitor may also need to know:

• If you have applied for a mortgage
• Plan to carry out work on the property
• Buying with someone else
• Whether the seller is buying another property
• And if you have a property to sell

Your solicitor will write to the seller’s solicitor requesting the contract papers and will also ask you to provide evidence of the source of the monies you will be contributing towards the purchase.

You may also at this stage wish to instruct a Survey of the property.

The Process of Buying a Home

Step 1

Your solicitor will write to the seller’s solicitor requesting the contract papers and will also ask you to provide evidence of the source of the monies you will be contributing towards the purchase.

You may also at this stage wish to instruct a Survey of the property.

Step 2

On receipt of the contract papers your solicitor will apply for any required searches, such as the local authority search, the environmental search and the drainage and water search.

Your solicitor will also review the contract papers and assess whether any enquiries need raising with the sellers. An example of such an enquiry is asking whether the seller has carried out or is aware of any structural alterations to the property and whether the necessary consents were obtained for the work.

If you commissioned a survey, you should supply a copy of the report to your solicitor as the surveyor may also recommend that your solicitor investigates certain matters.

Step 3

On receipt of satisfactory replies to enquiries from the sellers and search results (and a mortgage offer, if applicable), your solicitor will advise you on any matters which you should be made aware of prior to the exchange of contracts.

Your solicitor will also advise you on the options available to ensure you do not inherit any risks in connection with the property.

If applicable, your solicitor will also review your mortgage offer and advise you on the terms and conditions.

Step 4

You will usually meet with your solicitor to sign the relevant paperwork in connection with the purchase.

You will then be asked to provide your deposit, which is usually 10% of the purchase price. You will also be advised to obtain quotes for buildings insurance for the property, as you will normally be required to set up cover with effect from the date of exchange of contracts. A notable exception to this is if you are purchasing a leasehold property, in which case the freeholder or management company will usually insure the whole of the building.

You will also discuss what date you would like as your moving date (“completion date”) during the meeting.

Step 5

Once a completion date is agreed, exchange of contracts can take place.

When exchanging, the buyer’s and seller’s solicitor agree over the telephone to insert the final terms of the contract. Once exchange takes place, the contract becomes legally binding. Your solicitor will usually apply for your mortgage money at this stage. You will also be required to let your solicitor have the balance of any money you are contributing towards the purchase price at this stage.

Step 6

On the completion date, your solicitor will electronically transfer the purchase monies (less any deposit paid on exchange of contracts) to the seller’s solicitor who will telephone your solicitor and the estate agent (if applicable) when that money is received to confirm that the keys to the property may be released to you.

You will need to collect the keys from the estate agents or, if there is none, the seller’s solicitor.

Step 7

Shortly after completion, your solicitor will deal with any Inland revenue formalities (submitting a Land Tax return and paying stamp duty land tax if applicable) and will then register the change of ownership of the property with the Land Registry.

After the Land Registry has completed the registration, your solicitor will forward to you the Land Registry’s confirmation and any relevant title deeds or documents for the property to you and your mortgage lender (if applicable).

If you are considering buying a property and would like advice on the procedure and costs involved, Wolferstans can help you.