Understanding the Conveyancing Process

When one buys or sells property or even enters into a remortgage agreement, it’s advisable to engage the services of an independent licensed conveyancing expert or a recognized firm of solicitors. These professionals will help in dealing with the complex paperwork that surrounds these kinds of transaction.

The conveyance work is to take care of all the legal conditions and obligations incidental to the transaction and ensure that the property transfer goes on smoothly. These legal experts also act on behalf of the lending party, ensuring that the mortgage repayments are paid as and when they fall due.

During the conveyancing process, parties to the transaction are involved from the word go; one is informed on what is happening, the procedures to be followed and of course, given some documents for signing so that the various stages of the transaction are completed in due time. All requests should be responded to promptly so that the chain process is not delayed. A break in the chain is normally unpleasant and can be quite distressing especially if there is a whole list of people involved in the transaction.

The conveyancing process from the buyer’s side involves the following processes:
• The conveyance expert will get a purchase agreement (contract) from the seller’s conveyance representative, with details of the property’s features and equity.

• The conveyance expert will then address any pre-contract question and obtain copies of current planning consents and guarantees.

• A list of the available fixtures and fittings in the house will be obtained from the seller. This will necessitate cross-checking and confirmation.

• When the mortgage offer is obtained, the solicitor will arrange for the buyer to sign the contract and hand over the initial down payment in preparation for the final transaction.

• When all the required conditions have been fulfilled, a completion date is set. Contracts are then exchanged and the transfer deed finalized. On the material day, the title deed is exchanged for the agreed consideration.

Arrangement fees are nowadays a common feature of the conveyancing process. In most instances, the arrangement fee is augmented to the loan on completion and therefore does not reflect in the regular payments. Sometimes, the lending institutions require that the fee be presented upfront. In this case, it is referred to as a booking fee. These fees are non-

Legal fees are charged by the conveyance expert or solicitor depending on the amount of time, legal registration costs incurred and other disbursement costs.
Stamp duty is tax levied by the government in property transfer transactions. The cost is computed as a percentage of the property’s purchase price and the rate is charged on a graduated scale basis.