What’s the difference between exchange of contracts and completion?
When you exchange contracts, this means that you are agreeing to all the terms drawn up within the contract made between you on one side of the transaction, and the opposite party on the other side. It is from this point that you are legally obliged to go through with the transaction (unless you want to be subject to financial and/or legal penalties).
The completion of contracts is the point where you officially take over ownership of the property, receive the keys and can move in. All monies are transferred between the various parties and the conveyancing solicitor contacts the Land Registry to register the change of ownership to you.
Confused by the jargon in conveyancing? Let Homeward Legal's straightforward and clear service help guide you to as early a completion as possible. Try our online quote generator or call us on 0800 038 6699.
How does a Help to Buy scheme work for me?
This government-sponsored scheme aims to assist homebuyers with three ways of purchasing a property:
- Help to Buy ISA - if you are a first-time buyer and don’t own any other property (anywhere in the world), and you don’t have another cash ISA opened in the same tax year, when you buy your first home, the solicitor will apply for the government bonus on your behalf when closure of your Home to Buy ISA used to buy the property is confirmed.
- Help to Buy: Equity Loan - if you have no other property and are buying a newly-built home, the government will provide 20% of the cost of the house (up to a maximum of £600,000), leaving you with the saved 5% deposit and a 75% mortgage to cover the remainder. This is open to current homeowners and first-time buyers, and the home cannot be sublet nor can it be used in a part-exchange deal.
- Help to Buy: Shared Ownership - if your household earns less than £80,000, you could be eligible for this scheme, which allows you to buy between 25% and 75% of the home’s value, while the government pays the remainder on which you would then pay rent.
(information retrieved from HM Government’s Help to Buy website on 16 April 2019).
Contact the Money Advice Service, the government’s Help to Buy website, or your local ‘Help to Buy’ agent for more information.
Why is it silly to buy a leasehold with less than 99 years to run?
In large part, if a leasehold drops below 90 years, it’s because mortgage companies will not be willing to lend money to purchase the leasehold. They will almost certainly have a stipulation on the length of the leasehold as part of their criteria for lending.
Most buyers are very aware of this and the trend is for an insistence of the sellers to provide an extension back up to the 99-year or 125-year thresholds before considering its purchase. Otherwise, even if you can finance it, eventually you’ll have to consider the legal cost of extending the lease yourself.
If I’m renting out rooms in my house, do I need to appoint a solicitor?
No, you don’t, because there is no legal imperative for you to do so. However, it’s not as straightforward as simply leasing out a room to a renter because there are certain provisions that must be met in order to protect you as the renter and the person renting the room.
This depends on the room and where it is in the property, state of the plumbing, insurance, and a number of other factors. You’ll also need to draw up a tenancy agreement to ensure demarcation and rights for both parties. While you won’t necessarily need a solicitor involved, it’s worth contacting a letting agency who will have the experience and knowledge to ensure you have everything in place. Be aware that any advice you seek from professionals may come with a fee, so it would be worth shopping around first.
Are there many conservation areas in the area?
The areas around Irby will include a range of conservation areas. These restrictions adds to upkeep costs, but the benefits will include a more attractive neighbourhood.
I am shortly going to move out of our terraced building on the outskirts of Irby to our new maisonette in West Kirby . At what point to instruct a house removal firm?
Most property lawyers will encourage you put off organising removals until the point where formal exchange of contracts as prior to this usually an actual date wont have been formally agreed. If you are looking for a local company try Kwikshift.Co.Uk, 4 Brian Av, Wirral, CH61 3UX Tel: 0151 644 5678 or Easy 2 Move, 9 Lyndhurst Cl, Wirral, CH61 7UH Call: 0151 648 3961.
We are buying with Nationwide - what do we need to check?
Until recently, most solicitors could act for the majority lenders. Purchasers should consider that, over the last two years, some lenders have limited the firms who can act for them, resulting in increased legal costs for property buyers if the lender insists upon their own solicitor . We can act for all large lenders in the UK so that the buyer will not have to pay legal fees for your lender's solicitor.
The web is awash an increasing number online documents all about doing the legal work yourself. In which case, do I need a lawyer in Irby for my move?
There is no reason why you cannot conduct your own conveyancing yourself. That said, a Irby lawyer carries out a large array of assignments such as chasing lender for comments on issues raised and maintaining constant communication with agents most of which require training.
In any event however, legal firms are required by their regulator to get appropriate indemnity insurance to insulate you in the event of any failures.