I’m looking at flats to buy but am a first-time buyer and have a lot to learn.
I hear a lot about the conveyancing process, yet I’m not 100 per cent sure how it works or what’s really involved.
All I keep hearing is that it can be drawn out and costly.
Can you tell me more about the conveyancing process and how I can ensure everything goes smoothly?
Knowledge: A This is Money reader wants to know how the conveyancing process works
Jane Denton of This is Money replies: It is essential you understand the conveyancing process. You need to know what you will be paying a solicitor or licensed conveyancer to do.
You may also want to read our complete guide to buying your first home.
Conveyancing is the legal means of transferring the ownership of a property from a seller to a buyer.
The process starts once a seller accepts an offer from a buyer.
Most buyers and sellers appoint a solicitor or licensed conveyancer to carry out the conveyancing process for them.
It is possible to go it alone and do what is known as DIY conveyancing, but this is very risky and could end up costing more in the long run.
If you opt for a solicitor, have a look at the Law Society’s website to help you select one dealing with property sales. Before appointing a solicitor, check they are registered with the Law Society.
Don’t feel pressured to go with a conveyancing or legal expert recommended by the estate agent you are dealing with.
You should get fee quotes from a few different solicitors or licensed conveyancers. Fees can vary significantly.
Fixed fees are available, but unexpected charges can still crop up.
Know the costs involved
According to the HomeOwners Alliance, the average conveyancing fee for a house in Britain is £2,380, including disbursements.
Disbursements are costs incurred by the conveyancer, which the client pays them back for – for example, the cost of accessing information on the Land Registry.
The costs involved can vary by location and the value of the property.
Conveyancing is the area of law that draws the most complaints, according to the HomeOwners Alliance, meaning it is important to find the best expert you can afford.
Look for reviews, experience and responsiveness before instructing an expert.
Done deal: Conveyancing is the legal means of transferring the ownership of a property from a seller to a buyer
Once you have instructed a conveyancing expert, they will undertake identity and anti-money laundering checks, before requesting certain documents like the draft contract for the property’s sale from the seller’s solicitor.
Your conveyancing professional will check the draft contract and flag any potential concerns or amendments.
They will speak to you about any concerns over things like service charges, ground rents or leases, if applicable.
Early on in the conveyancing process, get a survey arranged for the property you are buying.
If there are significant issues flagged by the survey, you may be able to renegotiate the price.
Your solicitor will complete a number of ‘property searches’ for you.
These will dig out any potential issues like major planning developments planned nearby, flood risk and any restrictions on the land. Sometimes issues or concerns crop up and delay the conveyancing process.
Neither you nor the seller are legally tied in to the sale until contracts are exchanged.
The conveyancing process is only finished when you complete on the property and get the keys for it.
You might have to wait a while before your name is added to the deeds via the Land Registry.
The conveyancing process typically takes 12 to 16 weeks, but it can be longer.
I have asked a solicitor to delve deeper into what the conveyancing process is and how it works.
‘Conveyancing is like running a marathon’
James Naylor, a partner at Naylor Solicitors, says: The conveyancing process is complex, laden with legal terminology, regulatory checkpoints, and substantial financial implications. For most individuals, it represents the most significant financial undertaking of their lives.
To demystify the process, imagine conveyancing as running a marathon, rather than a sprint.
The marathon begins when your offer is accepted. The estate agent sounds the starting gun by issuing a memorandum of sale – think of this as the official start of the race. At this point, the route is mapped out, but nothing is legally binding; you are merely at the starting line, warming up.
Your solicitor opens a file, verifies your identity, and determines whether you are running solo or as part of a joint purchase. You will be asked to provide initial funds for expenses.
James Naylor says your solicitor acts as a ‘coach and referee’ through the buying process
If you require a mortgage, this is the first major checkpoint. Your lender will assess the property valuation and may set conditions. Your solicitor acts as your coach and referee, ensuring you adhere to the rules and avoid disqualification.
Legal searches are akin to checking the marathon route for hazards. Anything from planning issues to flood risks could crop up.
A surveyor inspects the property itself, ensuring there are no structural or other weaknesses that could cause you to stumble.
The seller’s solicitor drafts the contract and responds to standard pre-contract enquiries. As you are likely to be purchasing a leasehold property, expect additional paperwork and the involvement of the landlord or managing agent—these are the hills and bottlenecks that can slow your pace.
Once all due diligence is complete, you approach the final stretch. You sign the contract and pay the deposit.
Upon exchange, you are committed to finishing the race— and, subject to some nuances, there is no turning back, even if you hit the proverbial wall.
Completion day is the finish line. You pay the remaining balance, receive the keys, and officially cross into home ownership.
After the race, your solicitor handles the post-completion formalities: paying any Stamp duty Land Tax due and registering your ownership with the Land Registry.
You receive your medal in the form of title deeds. Your race is run, and you are a homeowner.
