Factsheet: The conveyancing process - step by step guide

 

The first week

Instruct a conveyancing solicitor

A solicitor can either be sourced directly by the purchaser, or by using one recommended by the developer (for new builds) or by the estate agent. Purchasers are not obliged to use one recommended and a purchaser should check they are getting the best deal by shopping around. 

There are different types of conveyancing solicitor and a purchaser should check their service levels. For example with an online conveyancer a purchaser may never be able to meet them in person or speak to them on the phone. 

It is at this point that the purchaser is likely to receive the client care letter and fees. This essentially outlines what the solicitor will do for you, and how much it will cost. Conveyancing tends to be a flat fee plus disbursements (based on the searches carried out)

Once instructed the solicitor will carry out relevant ID and Anti-Money Laundering (AML) checks. They usually ask for source of funds evidence at this point to ensure you can afford the property. This may also be required by the bank/lender. 

Schedule the valuation survey

This is scheduled with the bank/lender so they can be satisfied that the property is worth the value of the mortgage. 

Draft contract and enquiries

The seller is required to complete a number of forms which are then passed onto the solicitor to review with the purchaser. The forms required depend on the nature of the transaction, but commonly include:

• TA6 Property Information Form
• TA10 Fittings and Contents Form
• TA13 Completion Information and Undertakings
  
  

A full list of the forms is available via the Law Society. 

The next few weeks/months

The purchasers solicitor should at this point have ordered the relevant searches, often referred to as disbursements. These include:

• Local Authority Search - sometimes to referred to as the CON29 if ordered directly with the council, otherwise known as an official search. Personal searches are also available which involves a search agent obtaining the information from the council and compiling it into their own report. Most of our clients offer both services. A local authority search should also include anything listed on the Local Land Charges register - known as the LLC1.
• Drainage and Water - sometimes known as the CON29DW. This is a search for all relevant water and sewage infrastructure affecting the property, and shows if it is connected to the mains sewer. 
• Environmental searches - these cover, as a minimum contaminated land, flood risk, radon and ground stability. They vary in scope between provider, with some including a full mining search, climate change information and EPC (such as Groundsure).
• Chancel Repair - chancel repair liability is a financial obligation imposed on some property owners in England and Wales to pay for certain repairs to a church. 
• Land Registry searches - these usually include a copy of the Title Plan and Title Deeds which outline the location and ownership boundaries of the property as well as any previous owners, restrictive covenants etc. 
• Local specific searches such as mining, CON29M (coal mining search) etc. 

Solicitors obtain searches from third party organisations, who essentially package up all the required searches and do the ordering of those searches on the solicitor's behalf. We refer to these organisations as resellers. They act as the middle person accepting the solicitors order, and ordering the required searches with their preferred suppliers. 

Most searches come back within a few days, but the Local Authority Search can take a few weeks, and this is dependant upon the local authority. 

During this time, the purchasers and sellers solicitors will raise and answer enquiries that relate to the searches and forms completed. 

Once all the searches are back, the solicitor will produce their 'Report on Title'. Reports in Title vary between firms.

Arranging a property survey

Whilst not a legal requirement, it is highly recommended to obtain a survey undertake by an independent RICS surveyor. This would highlight any structural issues, or issues such as damp. There are 3 levels of survey provided by RICS: level 1, level 2 and level 3. 

It is at this point that a purchaser may walk away from the purchase if major issues are identified, or they may use it to negotiate the price. 

Mortgage offer

The bank/lender is required to formally offer you a mortgage sometimes via your solicitor. They may liaise directly with the purchaser depending on how they were instructed. 

Leasehold properties

If the property is a leasehold, the sellers solicitor will need to obtain the management pack from the properties managing agents. 

Months 2- 4

Exchange

The term exchange refers to the moment that the purchaser and seller fully commits to the transaction. It is at this point that the respective contracts are signed, which are then 'exchanged' between the solicitors. 

Once contracts have been exchanged, the purchaser should ensure their solicitors has their deposit ready for completion. 

At this point a completion date will be set, as agreed between the purchaser and seller. 

The time between exchange and completion is usually used by the buyer to pack up their property. 

Completion

Completion is when the balance of monies is transferred from the purchasers solicitor to the sellers. Upon receipt of the balance, the sellers estate will be informed and authorised to release the keys to the purchaser. The sale is now complete. 

Post completion

Once completion has taken place, the purchasers solicitor with pay the Stamp Duty Land Tax (SDLT)

They will also register the new owners of the property at the Land Registry.