mashiraz

Having never sold a house in UK, or bought one for that matter, need help on how it works. (Self built the one we are in!)

Getting 3 valuations this week to decide what to do.

Don't want to hand in notice or book tickets till we are sure it's sold.

At what point in the process is it definitely sold (is that when you exchange contracts?)....and how long can you stay before you have to move out?

Thanks to Loopy for advice and trying to cover off any eventualities.

Cheers
Mash....

Don

For England: It's sold when you exchange contract. Technically you could sue the buyer if they pulled out after this stage. Often a deposit is payable (usually 10%) at contract stage. At contract stage you arrange a transfer date (another doc to sign) which is when the money gets handed over and ownership passes from one party to the other. Transfer is also when details go to the land registry and when your mortgage gets paid off. Nothing to stop contract and transfer taking place on the same day though 10 days-2 weeks' delay is fairly normal (there's usually a last check after contract but before transfer that the vendor is not a registered bankrupt). You arrange how long you can stay in the residence at contract stage - some people let the purchaser move in before transfer.

Cheers - Don

Loopy

Hey here's one I know lots about!

You're pretty safe once contracts have exchanged, as Don says you then have legal grounds for sueing the person below you in the chain if they back out. When you exchange you mutually agree a date to complete, that is when monies exchange hands, then the keys! If either side delays completion for some reason there is a set amount of compensation payable by the side at fault, forget the exact amount but can look it up for you if need be.

My husband has been extremely cautious and has refused to hand in his notice until exchange has taken place, in light of our sales falling through twice a very wise move.

The time between exchange and completion is open to negotiation, it used to be approx 4 weeks but now seems to be much shorter in most cases. Ideally we would like the full 4 weeks to work out notice etc. but if it puts a sale in danger we always said we'd be flexible and move out if need be.

The 10% deposit hasn't really been an option so far, a lot of people just can't afford it and our estate agents advised against it. However, next time I may insist that if we don't have a deposit the house stays on the market. A friend insisted on a deposit, got one and has just got to keep it after her house sale fell through. You specify it is non refundable except if the survey or searches throw up something unacceptable.

We are back on the market and have viewings booked for Thursday and the weekend, so fingers crossed!

Loopy

mashiraz

Just had first agent around...Thanks for answers. They are saying push to exchange after 6 weeks and then stipulate the amount of time you need. Its not unreasonable to ask for 2 months. That's what new house builders do...interesting about the deposit though!

That's a bit of a weight off our minds. Market also still bouyant apparently and selling max 4 weeks, but she thought ours was lovely and would have people chasing after it...Nice stuff to hear. she was also flexible on their fees..

Now lets see what the other 2 say!!
Mash...