Everything You Need to Know About Property Conveyancing
Posted on: 20 July 2022
When buying or selling a property, you'll need to go through the conveyancing process. This legal process can be difficult to understand, especially if you're not familiar with it. This article outlines everything you need to know about conveyancing so you can make the best decision for your property purchase.
What Is Conveyancing?
Conveyancing is the legal process of transferring ownership of real estate property from one person to another. The term typically refers to the transfer of land or buildings. Generally, conveyancing involves four main steps: preparation of the contract, exchange of contracts, completion, and registration.
The first step in the conveyancing process is the preparation of the contract. This stage typically involves the solicitors for each party negotiating the terms of the sale and drafting a contract that sets out these terms. Once both parties are satisfied with the contract, it is ready to be signed.
The next stage is referred to as the exchange of contracts. At this point, buyers and sellers are legally obligated to go through with the sale. The exchange usually takes place after the buyer has paid a deposit and received a loan from a bank or other lender.
During the completion phase, the balance of the purchase price is paid, and ownership of the property is officially transferred to the buyer. Completion typically takes place between a couple of weeks after exchange. The final stage of conveyancing is registration, which is when the new ownership is recorded with the relevant authority.
Keep in mind the conveyancing process can be complex, so it's important to have a conveyancer on your team who can handle all the details and ensure everything goes smoothly.
When Can Conveyancing Disputes Arise?
The conveyancing process for transferring real estate property ownership is usually straightforward. However, several potential disputes can occur.
One common cause of the dispute is incorrect or incomplete information provided by the seller or the buyer. For example, if the title deeds contain errors or omissions, this can lead to problems further down the line.
Another potential issue is that the property may not be as described in the contract. For example, if the contract states that the property is freehold, but it's actually leasehold, this can create problems for the buyer. Disputes may also arise if there are outstanding planning permission issues or if the property is found to be structurally unsafe.
Resolution of these disputes can be time-consuming, so check and verify all relevant information before you exchange contracts.
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