SELLING AND BUYING - HOW DOES IT WORK?
In theory it would be nice to find someone with a suitcase full of five pounds notes to hand over in exchange for your property -

Unfortunately, the reality is very different.

SELLING
First of all you need a Home Information Pack preparing for your property. There is a section below devoted to Home Information Packs - or HIPS as they are more commonly known - but basically there are two differing types of HIPS - those that contain all the information as dictated by the Government - and those that contain all the information needed to be really useful to the end user - that is - your Buyers solicitors. The former will ensure that you and your selling agents comply with the Law. The latter will ensure that as far as is possible the HIP is useful and will speed up the conveyancing process and this is the type if HIP that we at Watsons Solicitors are committed to providing to our clients.

Once a serious Buyer is found, Contract documentation is issued and legal representatives for the Buyer will do any additional searches and ask any questions they feel necessary of us, and any other relevant body or authority.

Once done, a Mortgage Offer will be issued and the Buyers will then be in a position to see their legal representatives to discuss the transaction and talk about exchanging contracts and completion.

Most people think that once a Contract is signed, there is a commitment to buy and sell property. Generally, this is not so, as the signing of the Contract is done in readiness for what is known as "exchange". This is the point at which the contract signed by the Seller is exchanged for that signed by the Buyer - by legal representatives acting for both sides. At that point - AND AT THAT POINT ONLY - is there a commitment by both side to buy and sell at a given price with completion taking place on an agreed date. ONLY THEN can you safely book removals, transfer services, hand in notices on rented property etc. etc.

If in doubt, PLEASE wait until we say it's safe to do these things before doing anything that may cost you either in time, or money.


BUYING
Well, if you read the bit above about "Selling", and reverse it, you've pretty much got the process.


Of course, you can (and should) have any checks on the property carried out as you feel necessary, or as are advised by your surveyor. These may include checks on the gas central heating, electrics etc. These should be carried out prior to exchange of contracts, as on exchange you will take the property as it stands at the point of exchange.

It is also recommended (and if you are having a mortgage it may be a requirement) that you organise buildings insurance on the property from the date of exchange.


COMPLETION DAY
Contrary to what appears to be popular belief, there is no "completion time". Most Contracts state that if the money does not appear in the Sellers solicitors Bank by 1pm - 2pm on the day of Completion (and this varies depending on how the individual Contracts are drawn) then there is a potential breach of contract situation, and everyone starts shouting.

In reality, where common sense and curtesy prevail, Buyers and Sellers in a chain take into account each other's situation and simply co-operate. There is little point in a first time-buyer, whose monies hit their Sellers solicitor Bank account at 9.30am on the morning of completion, expecting their Sellers to be packed, loaded and gone, before their cornflake dishes are even empty.

Similarly, someone moving out of their house shouldn't expect a lazy morning lie in, followed by a leisurely lunch and removal.

There are legal remedies for breaching a contract - and as usual these involve money

Sometimes, this is beyond anyone's control save for the Bank's. If you are a Buyer, once the money is put into the Bank's telegraphic system to send it on its way to your Seller's solicitors, THERE IS ABSOLUTELY NOTHING THAT CAN BE DONE TO SPEED IT UP! (As much as we would like to because it can be just as frustrating for us!)

If you are SELLING once the money arrives with your legal representatives - your Buyers are entitled to the keys to your property - again contrary to popular belief you cannot hold on to the keys until the money reaches your Bank. This is because your legal representatives act as your agents and therefore once the money reaches them, completion is deemed to have taken place.

Similarly, if you are BUYING, once the money arrives with your Seller's solicitors, you are entitled to the keys to your new house.

But - PLEASE - remember that on completion and throughout - bricks and mortar don't make moving stressful - PEOPLE DO!




Home Information Packs (or HIPS as they're more commonly known)

Home Information Packs have been much in the news during 2008.

In spite of campaigns for and against, it would appear that HIPS are here to stay, at least in one format or another.

As at the date of creation of this website (October 2008) it is a requirement in Law that a Home Information Pack be ordered for every property marketed. That is to say, a HIP must be ordered, and there must be a commitment to pay for the HIP and all relevant parts of the HIP must have been ordered.

A lot of people, including estate agents, have been lulled into what can only be classed as a false sense of security in the current Regulations.


And this is where the bad news is waiting to strike.....


Because from 1st January 2009 not only will it be a requirement that a HIP be ordered -

.... but the HIP will actually have to be physically available, together with all the required elements - before a property can be marketed.


Watsons Solicitors prepare all their HIP components in-house in order to avoid unnecessary expense and delay

Each HIP is designed not only to comply with Government legislation but also to be a REALLY USEFUL HIP containing all the information we as end users would like to see - and that which stands a chance of really speeding up the conveyancing process.

Talk to us now - talk to us early - talk to us BEFORE the bad news strikes!