Residential Conveyancing is a term that refers to the official process that legally protects and seals the transfer of residential property such as houses. Since the process requires attention to intricate details and demands of buyers and sellers to conduct utmost legal due diligence, it is important to consult professionals who can be held liable in case of manifestation of a risk. The risk has to emerge from acts of shrewdness and bad faith in the conveyance or due to lack of adequate due diligence in the process. Many folks hire solicitors to represent them and act in their stead during the purchase or selling of houses due to the appreciation that sufficient knowledge is required for an error-free transaction. Such services are especially demanded off by mortgage creditors when their client intends to purchase residential property.
Residential conveyance particularly includes three separate stages namely:
- Agreeing to the sale
- Exchange of contracts
- Completion of sale
Agreeing with the sale
If you have identified a property you deem worthy of residing in and have deliberated with the owner to sell it to you, you have initiated the first step of the agreement stage. It is never as easy as just saying it. The negotiating process could prove a trick, and if the price quotation seems exuberant or generous, maybe there could be a cause for worry. Exercise due diligence, do enough research into the property. If possible, hire values to inspect the property and determine if there could be anything wrong with the property. If everything seems clear, according to expert advice, and you know you can afford it, organise for legal documents to be sent to your seller to clarify certain details of the transaction. The documents should include;
- A Property Information Form describing neighbour disputes, guarantees, boundaries, planning and development consents, service charges, leaseholds and community residential rules.
- Inquiry Form for the title Copy of the title deeds
- Fixtures and Contents Form describing what items and contents will be left to furnish the house
- Contract of Sale detailing the terms and conditions of the sale, the price and the address of the property
Exchange of contracts
Ample communication should be made between two mandatory parties and two other parties that could be adjoined signatories to the transaction by a requirement of law. They could be:
- Either the mortgage provider of the buyer or the seller
- Both the mortgage providers of the buyer or the seller
- None of the mortgage providers of the buyer or the seller
At this stage, cash deposits may be made to block the seller from jumping ship to better-paying buyers. However, depending on the sale agreement, the deposit could be fully or partially refundable in case the transaction is cancelled by one of the four parties entitled to participate in the transaction or legally annulled by any other party with vested interests via litigation.
The balance of the agreed amount for sale is transferred to your seller. The contract should stipulate a final date for the transaction, and all the demands of the buyer and seller should be met. You and the seller should then finally sign the contract to seal the deal and file the documents with your attorneys and the local authorities.
Again, it would be prudent and wise to seek the professional input of residential conveyance experts in any sale. The process is not only just time consuming but it could also lead to numerous financial and legal tribulations in the case you find yourself in a deal with dubious businessmen and malicious litigants. The best way to avert such discordant sales is to hire reputable property solicitors to handle your residential sales and purchases.