Conveyancing is what?
This is the process of transferring the property to you. A suitably qualified person will handle this process and ensure good title is received. That person could either be a qualified solicitor or a conveyancer. But whether you choose a licensed conveyancer or solicitor, they will need to be on the lender’s legal panel.
The conveyancer will obtain a draft contract from the vendor’s solicitor to ascertain the basis of the sale and any issues. Many solicitors will apply for searches after both the draft contract and formal mortgage offer have been received. As you would not want to exchange and commit to the purchase until you are satisfied you are getting good title, you may instruct your solicitor to apply for searches sooner to help reduce the overall time to exchange. Searches can take several weeks to come back, although you can pay extra for an express service. But if the vendor is not in a position to move out immediately, then you may as well let things take their natural course and not pay extra to expedite matters.
Once the searches and various enquires are back, this in itself may raise further questions and the conveyancer will then need to investigate further. Some of the issues may be answered by the vendor’s solicitor who may provide an undertaking whilst other issues may require clarification from entities such as the council or a surveyor. The lender may also need to be advised of any potential issues that may affect the security address. Legal undertakings and indemnity insurance can be used for certain aspects. You may also be required to make decisions as to how you want to proceed.
Once the conveyancer is satisfied, they will then prepare a Report On Title. At this point all being well, you can proceed to exchange of contract. Further deposit monies will also be passed to your solicitor and these can be used to cover costs if there is a breach of contract by you. The vendor is also now committed and bound by the contract.
Completion can be simultaneous or a short while after as per the agreement. The conveyancer will have drawn down funds from the lender in preparation of the completion. On completion day, your conveyancer will transfer the purchase monies to the vendor’s solicitor. Upon receipt of that money, the solicitor will instruct the vendor to release the keys.
You will get a call from the estate agent or your solicitor confirming the completion has taken place and the property is yours. You will then receive the keys as agreed and be the owner of a new property.
The key professionals that you should employ is a mortgage advisor and a professional conveyancer.
Conveyancing can be a labour intensive task as they need to ensure both you and the lender are satisfied with the quality of the property title. Many firms therefore will either use junior solicitors or licensed conveyancers. We advise you to employ a suitably qualified firm to handle this. The prices do not vary greatly as they all need to operate in the same market place, the experience and knowledge differential however can be wide.
We have seen many deals collapse due to bad advice, unnecessary delays or just incompetence by the conveyancer. And what’s worse than a collapsed deal – you buying a property with defective title. This process is not just a formality, but key to ensuring your interests and the lender’s interests are protected. A defective title can make it difficult to sell or even remortgage the property as another conveyancer in future transactions may be more diligent and highlight the defects.
A highly experienced solicitor may have better all-round knowledge surrounding your property and other legal matters relating to a property purchase.
As mentioned the price difference across the conveyancers/solicitors may not be much. Some when providing the initial quote will only highlight their fees and leave the cost of expenses and disbursements open. Others will specify the various expenses to give you a better idea of overall costs.
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