Conveyancing is the process of moving property from one individual to another. It is a commonly used term in real estate transactions when buyers and vendors transfer possession of real estate,which could be land,property,or a home.
The process requires an instrument of conveyance which is usually a legal file such as a contract,lease,title,or a deed. The file carries information which includes the agreed-upon purchase cost,the date of actual transfer,as well as the obligations and responsibilities of both parties.
Conveyancing is commonly done in two phases:
- The swap of agreements; at which phase all the terms of the deal are decided and,
- The fulfillment of the deal where the legal title passes on to the buyer
Who Usually does Conveyancing?
Conveyancing is commonly done by a legal representative known as a conveyancer. The conveyancer could be a lawyer,property lawyer or a licensed conveyancer. All lawyers are qualified to do conveyancing; but,not all of them have the involved experience.Most real estate transactions need that a mortgage of some sort be taken out. As a result,property loan lenders have a list of conveyancers whose services they would prefer.If you choose not to use a conveyancer from their certified list,you may be involved to pay a fee to go elsewhere. If you do need help then get in touch with Chris Stevenson Conveyancing
What Exactly do Lawyers and Conveyancers Do?
When a lawyer or conveyancer gets their guidance from you,the following are the services you should expect from them:
They will conduct searches within organizations such as local authorities and utility companies. These searches are important because they ensure that there are no plans afoot – such as building plans – on the land you intend to buy. They also reveal if there are any potential issues associated with the property,such as:
- Whether sewers are running close to the property
- Whether the area is categorised as a flood risk
- Whether unresolved financial liabilities are hanging over it from past inhabitants
They will advise you of likely costs you can incur,such as stamp duty. They will also check out the agreements drawn up by the lawyer or conveyancer of the other party.The obligation will include important details like the cost of purchase or sale. They will also liaise with your property loan lender to ensure that they have all the information they need to proceed with your property loan.
Your lawyer such as Chris Stevenson or conveyancer will register your possession with the Land Registry as the new owner of the property if you are the buyer.
What Procedure does Conveyancing Follow?
The process of conveyancing occurs from two ends – the buyer’s end and the seller’s end. If you are the seller,the process is as follows:
- You instruct your conveyancer.
- Your conveyancer confirms your guidance through a letter which states the terms of business and the cost of fixed fees.
- Your conveyancer carries out a proof of identity check and gives you some forms to fill which will provide information about the property you are selling.
- Once you fill the forms,your conveyancer will need the title deeds or official copies of the title register and any other records the Land Registry requires. You will also need to release details of any existing property loan and the outstanding amount.
- Your conveyancer then prepares the draft obligation and any supporting obligation documentation to send to your buyer’s conveyancer. He or she also answers any pre-contract enquiries raised by your buyer.
- Once your buyer’s conveyancer expresses satisfaction with the results of their searches and the answers to their pre-contract enquiries,they confirm the receipt of a mortgage offer if any.
- You and your buyer agree on a completion date,and you both commit to the transaction legally. Your conveyancer will help you get a settlement number to repay the outstanding amount on the property loan if any. Your buyer’s conveyancer then drafts a transfer deed and sends to your conveyancer.
Your conveyancer then checks the transfer deed,ensures that all is in order and sends it to you to sign,thus signaling the fulfillment of the transaction.As a purchaser,the conveyancing process is the same as your conveyancer looks out for your interests in the process outlined above.
Can I do my Own Conveyancing?
The short answer is yes; you can do your conveyancing yourself. That being said,you shouldn’t do so,especially if you are buying real estate. If you are buying with a mortgage,or selling to somebody who is buying with a mortgage then you will not be allowed to handle the transaction yourself. Lenders have this rule to safeguard their own interests as professional conveyancers have professional indemnity insurance.
Furthermore,conveyancing is a complicated and time-consuming process. It is also a risky business as it could turn disastrous in the blink of an eye. It is a detail-oriented process and one which could hurt you if you miss an essential detail that only becomes apparent after you complete the transaction.Have you ever heard of ‘caveat emptor’? It is a common law principle which means ‘let the buyer beware’,and it applies to property in the United Kingdom.
Thus,if you do the conveyancing yourself and a controversy pops up,you have no recourse against the seller. The sad truth is that in some cases,vendors do not have the legal right to sell the real estates they are marketing. With a licensed and experienced conveyancer,you can avoid this pitfallby calling Chris Stevenson