Accepting an offer on your property is a momentous step, often filled with a mixture of relief and excitement. However, this is just the beginning of the next phase of your property journey. For those navigating the housing market, understanding the steps after accepting an offer can help to minimise stress and keep the process running smoothly. Here’s a helpful guide on what to expect.
Step 1: Sale Memorandum
Once you accept an offer, your estate agent will issue a document known as a Sale Memorandum. This outlines the agreed terms of the sale and is sent to both the buyer’s and seller’s solicitors, as well as the buyer. It is not legally binding but acts as a formal record of the agreed sale price and any additional conditions. At this stage, your estate agent will take your property off the market and mark it as “Sold Subject to Contract (SSTC)”.
Step 2: Appointing Solicitors or Conveyancers
Both you and the buyer will need to appoint a solicitor or conveyancer to manage the legal aspects of the transaction. If you haven’t already chosen one, your estate agent can often provide recommendations. It’s crucial to select a solicitor with experience in property transactions to ensure the process runs smoothly. They will begin the conveyancing process, which involves checking the title of the property, preparing the contract and liaising with the buyer’s legal representative.
Step 3: Surveys and Searches
At this stage, the buyer will arrange for a survey to be conducted on your property. This is a vital step for the buyer to assess the condition of the property and identify any potential issues. Surveys can vary in depth, from basic valuations to comprehensive building surveys.
Meanwhile, the buyer’s solicitor will conduct property searches to uncover details about the property and surrounding area. Common searches include local authority searches, drainage and water searches and environmental checks. Any issues flagged during these checks may require further negotiation between you and the buyer.
Step 4: Draft Contracts and Negotiations
Your solicitor will draft the sale contract and send it to the buyer’s solicitor for review. This document includes critical details such as the sale price, deposit amount and any agreements regarding fixtures and fittings.
During this time, further negotiations may occur. For example, the buyer may request a price reduction if the survey reveals issues that need urgent repairs. It’s essential to remain flexible but also seek advice from your estate agent or solicitor to ensure you achieve a fair outcome.
Step 5: Mortgage Finalisation
If the buyer requires a mortgage, their lender will need to finalise the loan. This process includes a valuation survey arranged by the lender to confirm the property’s worth matches the agreed purchase price. Once the mortgage offer is issued, the buyer can proceed to the next stages.
Step 6: Exchange of Contracts
The exchange of contracts is a significant milestone in the sale process. At this point, the transaction becomes legally binding. Both parties will sign identical contracts, which are then exchanged between solicitors. The buyer will also pay their deposit, typically 10% of the purchase price, during this stage.
Before exchanging contracts, ensure all conditions are met, such as agreeing on a completion date and addressing any final queries. Once contracts are exchanged, both parties are committed to the sale and the risk of the deal falling through dramatically decreases.
Step 7: Completion Day
Completion day is the final stage, where the remaining funds are transferred from the buyer’s solicitor to your solicitor. Once the money is received, ownership of the property officially transfers to the buyer.
Your solicitor will notify the estate agent, who will then release the keys to the buyer. Make sure the property is vacated and any agreed fixtures and fittings are left in place before the completion day.
Potential Challenges and Delays
It’s worth noting that property transactions can face delays due to unforeseen circumstances, such as issues in the buyer’s chain, problems uncovered during searches or complications with mortgage approvals. Clear communication with your solicitor and estate agent is essential to address these issues promptly and keep the process moving forward.
Tips to Ensure a Smooth Process
- Choose Experienced Professionals: Work with reputable solicitors, surveyors and estate agents.
- Stay Organised: Respond promptly to requests for information or documents.
- Be Flexible: Be prepared for negotiations and minor setbacks.
- Communicate: Regularly check in with your solicitor and estate agent to stay updated.
Selling a property can be a complex process, but with the right support and guidance, you can navigate it successfully. At Newton Fallowell, we’re committed to helping you at every stage, from marketing your property, arranging viewings, accepting an offer to handing over the keys. Contact us today to discuss your property journey and discover how we can assist you in achieving a smooth and successful sale.
