Reliable, professional guidance to navigate property ownership effectively
Residential conveyancing, which involves transferring property ownership from one entity to another, can often be a complex and demanding journey. Multiple elements can influence this process, leading to possible delays, complications and extra expenses.
This intricacy underlines the importance of having reliable, professional guidance to navigate the challenges effectively. Whether you’re buying or selling, understanding the potential hurdles can help you prepare better and ensure a smoother transaction.
Various factors can contribute to a delay in the conveyancing process in property transactions. The most prevalent issue arises when either the buyer or seller or their appointed conveyancing solicitors are slow to respond to queries.
The following are additional common reasons for conveyancing delays:
- Unforeseen issues highlighted by the building survey
- Complications with the property title
- Incomplete information provided by the seller
- Issues arising from the buyer’s mortgage application
- A sale proceeding under probate
- Delays due to slow responses from local authorities during property searches
- Being part of a chain transaction
- Purchasing a newly built property that isn’t completed
- Buying a leasehold property
Navigating new build conveyancing
The legal intricacies involved in purchasing a newly built property can be more complex, emphasising the importance of engaging a proficient conveyancing solicitor with relevant experience.
To expedite the conveyancing process, it’s advisable to delve into the contractual documentation as soon as possible. Seek clarification from your solicitor regarding the contract and familiarise yourself with guides on buying off-plan and securing a new build purchase.
When committing to a new build purchase, it’s essential to understand:
- Once you agree to buy a new build property, withdrawing and reclaiming your deposit isn’t possible if the property isn’t completed by the ‘long stop’ date. This final completion date should be stated in the contracts
- The ‘long stop’ date could be up to six months later than the legal completion date stated in the contracts
- The legal completion date might be several months after the estimated completion date at the time of exchanging contracts
- Most mortgage offers are only valid for between three to six months
If you’re considering a new build property, be prepared for potential delays. Due to construction delays, some buyers have incurred substantial costs for temporary accommodation.
Accelerating leasehold conveyancing
Purchasing a leasehold property necessitates additional legal work for your conveyancing solicitor, which can extend the process and potentially increase costs. In addition to the standard legal requirements, your solicitor will need to verify the length of the lease and liaise with the seller’s solicitor, landlord or management company regarding queries about the lease and property management before contracts can be exchanged. Upon completion of the purchase, your conveyancer must update the landlord or management company on the change of ownership.
Importance of Leasehold Property Enquiries (LPE1)
When dealing with leasehold property transactions, your conveyancer will require access to the Leasehold Property Enquiries (LPE1). This document, completed by the company or individual who oversees the lease terms and manages the upkeep of shared property areas, is crucial to the process.
The LPE1, also known as the leasehold management pack, provides essential information such as ground rent and service charge accounts. It also details whether service charges are expected to increase, if a substantial expenditure is imminent and if the ground rent is set to rise over time.
Seller’s obligation and possible delays
The seller is responsible for covering the cost of the LPE1, which can range from £300 to as much as £800. If this payment isn’t made swiftly, it can delay the conveyancing process. The lease administrator typically takes an average of 54 days to complete the LPE1.
Once your conveyancer has reviewed the pack, they may have further questions or enquiries that need addressing. As a buyer, be prepared to pay between £25 and £500 to the lease administrator for the update of their records with your contact details.
Speeding up the conveyancing process
If you’re keen to expedite the conveyancing process, it’s vital that your conveyancing solicitor requests the LPE1 as soon as possible. Similarly, if you’re selling a leasehold property, ensure that you settle the payment for the LPE1 promptly to avoid any unnecessary delays.
Ready to discuss how we can help navigate the complexities of property transactions?
For further information or assistance with your conveyancing needs, please don’t hesitate to get in touch. We are here to help you navigate the complexities of property transactions, ensuring a smooth and efficient process. For more information, please contact our team here.
Please note: a mortgage is secured against your home or property. Your home or property may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.
