Selling Guide
This is the basic agenda that we follow for the sale of a property.
Step1 Preparing and gathering information
Once we receive your instructions we ask you to fill out some forms about the property for sale. These include, Fixtures, Fittings and Contents form, Property Information Form, and where the property is leasehold, a Leasehold Property Information form. We will ask the Land Registry for an up to date Office Copy of the Title Deeds and your mortgage lender for the actual title deeds. When all these are received by us we will prepare a draft Contract pack to send to the purchasers solicitor.
If the property is leasehold we must also raise inquiries of your management company or freeholder/landlord. These inquiries show the buyer that the ground rent and service charge is paid up to date. We also ask them to provide the last three years service charge accounts and any projected service expenditure for the next twelve months and details of the buildings insurance. These details are also included in the draft Contract pack.
The buyers solicitors will look through the draft Contract pack and will usually ask further questions (this is what some refer to as raising inquiries). We will reply to these inquiries from the information that we have gathered and whatever we can't answer we will ask you. Once both solicitors are happy with the terms of the Contract and the buyers solicitors are in receipt of a mortgage offer and their Searches both parties are in a position to sign and exchange contracts.
Step2 Exchange of Contracts
This is when the seller and the buyer commit themselves to completing the transaction and a binding Completion Date will be agreed. After this stage neither party can withdraw from the transaction without incurring severe financial penalties. The exchange is done over the telephone by both solicitors who agree to swap their respective contracts by post and it is at this stage that the Deposit of 10% (or less if agreed) is sent to the sellers solicitor to hold until completion. We will inform you once exchange has taken place and confirm to you the completion date. It is at this stage that we ask your mortgage lender for a redemption statement which shows how much will need to be paid back to them on completion.
The buyers solicitor will now prepare the Transfer Deed which will be sent to you (via us) for signature. It is vital that this signed document is back in our hands as soon as possible. If the property is leasehold we will also ask you to produce receipts for payments made to the management company or landlord up till the date of completion so that we can claim this back from the purchaser (also referred to as apportionments).
Step3 Completion
On the day of completion you must vacate the property, ensure that all the contents that you have agreed to leave are left at the property and clear all rubbish and personal belongings. We will inform you as soon as we receive the money from the buyer's solicitor. You will then need to hand the keys to the estate agent or make arrangements directly with the buyer.
We will redeem the mortgage, pay estate agent and deduct other Disbursements and fees and return the balance of the monies to you with a completion statement. You should therefore ensure that you leave us a forwarding address. We will send the Transfer Deed and Title Deeds to the buyer's solicitor together with official proof that your mortgage has been paid back.
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