Want to know what goes on behind the scenes once you’ve agreed an offer on your house?
Have you ever heard the term ‘sales progression’? It’s what estate agents sometimes call the process after you’ve accepted an offer and up to the point you hand over your keys.
There are lots of steps to get you to completion, not just with your estate agent but with solicitors too, so, we thought it would be useful to explain what happens and when.
Step 1
Once an estate agent has found a buyer for your property and the price is agreed, they write to both solicitors with the details of the sale.
Step 2
Your solicitor and the buyer’s solicitor then write to you both with their terms of service. To protect against property fraud, you’ll have to provide ID to prove that you are who you say you are, and you may have to also show how you acquired the money so it’s clear it’s not the proceeds of crime.
Step 3
As the vendor, you’ll then receive some property forms to fill in so you can give specific information about the house. One form will ask you questions about whether you’ve had new windows, an extension or whether there have been any flood issues. Another form will ask you to confirm what items you’ll leave at the property when you go.
Step 4
Your solicitor then sends the draft contract, the property forms, and a copy of the deeds to your buyer’s solicitor.
Step 5
On receipt of the deeds, your buyer’s solicitor will play detective.
They’ll make sure there are no discrepancies within the forms and check for any rights of way that you may have on neighbouring land or ones that your neighbours may have on yours. They’ll also check for any private agreements in the deeds that restrict building work and look for any paperwork on new windows, electrical work or gas installations.
If there are any discrepancies, they’ll contact your solicitor to iron them out.
Step 6
There are three searches usually carried out by the buyer’s solicitor:
• A local search which reveals things such as building works done to the property.
• An environmental search which reveals if the property may be built on contaminated land.
• A drainage and water search which shows where the pipes run and whether the property is connected to the mains.
Step 7
If there have been any enquiries from the buyer’s solicitor, you reply through your own and then their solicitor sends a report to the buyer explaining the deeds and the paperwork. If the buyer has no more questions, then they sign the contract in readiness for the exchange.
Step 8
The moving date is agreed, which is called the completion date, and the solicitors call each other and exchange contracts. At this point, no one can back out!
Step 9
On the day the sale completes, the buyer’s solicitor sends the purchase money through the banking system to your solicitor. Your solicitor then rings your agent and tells them that the buyer can have the keys. This is usually around midday.
Step 10
Your solicitor then repays any mortgage and also pays the agent. The buyer’s solicitor then registers the change of ownership with the land registry.