Buying or selling a property is a significant milestone, and the conveyancing process plays a crucial role in ensuring a smooth transaction. At Dezrezlegal we believe in bringing certainty and less hassle to this process and putting people at the centre of everything we do.
In this guide, we will walk you through each step of the conveyancing process so you can begin your property journey with confidence.
What is conveyancing?
Conveyancing is the legal process of transferring property ownership from one party to another. This involves various steps to ensure that all legal and financial aspects of the property transaction are properly handled.
Step-by-Step Conveyancing Process
Step 1: Instruction
The seller officially instructs their conveyancer or solicitor to begin the process. This will give the conveyancer the go ahead to send over a few initial documents, including the Terms of Business, a Property Information Form, a Fittings and Contents Form and confirmation of fees.
Once the seller completes and returns these documents their conveyancer will then carry out some identity checks, including an AML (anti-money laundering) check. If the initial documents reveal that the seller will be sending funds to the conveyancer to complete the sale, they will also request proof of funds information.
When a buyer makes an offer on the property and the seller has accepted it, the estate agent will issue a Memorandum of Sale giving the conveyancers the details of the agreement and details on how to contact each other.
At this point the buyer will instruct their conveyancer who will ask them to complete a few initial documents, including the Terms of Business, Proof of Funds, carry out some initial identity checks, and request funds for legal searches.
Step 2: Issuing Contracts
The seller’s conveyancer obtains the Title Deeds from the Deed Holder (unregistered) or gains Official Copies of the Title Register, Plan and other relevant documents from the Land Registry.
The seller’s conveyancer will then prepare the draft contract, Land Registry Transfer Deed and supporting contract documentation to be sent to the buyer’s conveyancer.
Next, they will obtain details of the amount of any existing mortgages and/or loans registered against the property. If the property is leasehold, contact is made with the Freeholder/Management Company to request their charge for the leasehold management information. The conveyancer will request provision of the information once payment has been made. The leasehold management information will be provided to the buyers conveyancer as soon as it is made available by the Freeholder/Management Company.
Step 3: The Enquiries Loop
The buyer’s conveyancer checks the contract and supporting contract documentation. At this point they may raise pre-contract enquiries with the seller’s conveyancer. If they haven’t already ordered searches, they will also do this now.
Next, the seller will respond to the pre-contract enquiries and both the seller’s and buyer’s conveyancers may go back and forth several times until the buyer is happy with the answers to the pre-contract enquiries, as well as the results of the searches and are in receipt of a mortgage offer (if any) and survey (if required).
If the buyer is purchasing with a mortgage, their conveyancer will also check the formal mortgage offer to make sure that all legal aspects of the property meet the requirements of the lender.
At this stage the seller and buyer will be asked to sign their respective parts of the Contract in readiness for Exchange of Contracts.
Step 4: Exchange of Contracts
The buyer’s conveyancer provides the buyer with a completion statement detailing all funds to be received and expended in relation to the property transaction. Then they’ll request the deposit funds/balancing payment required to complete the transaction from the buyer, if appropriate.
At the same time, the seller’s conveyancer will obtain final settlement figures for any existing mortgages and/or loans registered against the property, confirmation of the estate agent’s fee (if any) and provide the seller with a completion statement delineating all funds to be received and spent in relation to the sale transaction.
The seller and the buyer will then agree on a completion date and authorise their respective conveyancers to “Exchange Contracts” – meaning both parties are legally committed to the transaction.
At this point the buyer will provide a deposit, typically 10% of the purchase price.
The buyer’s solicitor will also confirm with the lender that funds will be available at completion.
Step 5: Completion
1. Transfer of Funds
The seller’s conveyancer obtains a final settlement statement to repay any existing mortgage.
The buyer’s conveyancer will then request any funds required from the buyer to complete. They will also request funds from the lender to arrive at least one working day before the agreed day of completion.
The buyer’s conveyancer will forward their completion funds to the seller’s conveyancer. At this point they will also take payment for their conveyancing services and any associated costs.
Once the seller’s conveyancer has received the funds, the transaction has completed, and the buyer’s conveyancer will be notified that keys are available. If the property transaction is part of a chain, funds will need to travel up each chain link to complete one after the other; this will take some time.
The seller’s conveyancer then pays the estate agent, takes payment for their conveyancing services and associated costs, pays off any outstanding mortgages/loans on the property before forwarding the balance of funds to the client or an onward purchase.
2. Transfer of Ownership
The seller’s conveyancer sends the Title Deeds and Land Registry Transfer Deed to the buyer’s conveyancer together with an undertaking to use the sale proceeds received to repay any existing mortgage/loan registered against the property.
On the day of completion, the seller must vacate the property at an agreed time (usually by 2:00pm) and have made arrangements to hand over the keys – usually through the estate agent.
3. Registration
The buyer’s conveyancer will notify the Land Registry of completion and request for their records to be updated appropriately. Registration can take some time depending on the workload of the Land Registry.
How long does the conveyancing process take?
The conveyancing process can take anywhere from 4 weeks to 20 weeks, depending on the type of transaction. For instance, cash buyers purchasing a freehold property with no chain tend to complete faster than buyers purchasing a leasehold property with a mortgage that is part of a chain of multiple properties.
Essentially, the more variables, the more likely it is for something to go wrong or delay the process.
If more certainty and less hassle is important to you, Dezrezlegal's innovative and efficient approach means we complete on our clients’ transaction more quickly than other equivalent Property Lawyers. Importantly, we put people at the centre of everything we do.
We think differently. For example, our Legally Ready service for home sellers can save them up to 21 days on transaction times; we simply follow that same conveyancing process, but in a much more logical and efficient order.
To aid sellers in moving forward with certainty, we identify and resolve as many of the issues that may have otherwise delayed their sale early.
This efficiency is crucial for keeping the conveyancing cycle moving and giving you more certainty that your transaction will complete.
Get Started with Dezrezlegal
Navigating the conveyancing process can become extremely confusing without the assistance of an efficient and reliable conveyancer.
At Dezrezlegal, we are committed to providing exceptional conveyancing services for buyers and sellers. We will guide you through each stage of the conveyancing process with expertise and care, so you know exactly where you stand.
For more information about our conveyancing services or to get started, contact us today or click the link below to get an estimate.
