Purchasing your first home in Mansfield is an exciting milestone! However, as a first-time buyer, the legal conveyancing process and property surveys can seem daunting. This comprehensive guide from Shaw Financial Services explains these essential steps when buying your first home in clear, jargon-free language.
What is Conveyancing?
Conveyancing is the legal transfer of a property’s ownership from the seller to the buyer. It involves extensive paperwork, legal checks, and communication between estate agents, mortgage lenders and solicitors to ensure the property title is legally transferred.
Although conveyancing may seem complicated, a good local solicitor or licensed conveyancer will handle the workload while keeping you informed every step of the way. Conveyancing fees are usually £750-1500, depending on the property value, and are paid on completion.
Choosing the Right Conveyancer
Research potential conveyancers thoroughly before deciding who to appoint – read online reviews, check qualifications, understand their fees, and find someone experienced with handling first-time buyer cases in Mansfield. Meet with a few local conveyancers in person for an initial consultation, and choose one you feel comfortable with.
As mortgage brokers in Mansfield, Shaw Financial Services works closely with trusted local conveyancers that we are confident will provide first-time buyers in Mansfield with the highest level of service and support. Don’t hesitate to contact us if you would like an introduction to a reliable conveyancer we recommend.
The Conveyancing Process Step-By-Step
1. Pre-Exchange Searches and Enquiries
Once appointed, your conveyancer starts the legal process by conducting various property searches to uncover any issues that may impact the legal ownership transfer or mortgage lending decisions:
– Local Authority Search – Provides property history like planning permissions, building regulations, and proposed developments.
– Water/Drainage Search – Checks supply and drainage connections to identify potential problems.
– Environmental Search – Highlights flood risks, land contamination, and radon gas exposure issues.
– Chancel Repair Search – Reveals any potential liability you may have to fund repairs to a local Church of England church.
Your conveyancer will also make pre-contract enquiries via the seller’s conveyancer to confirm important details about the property’s structure, boundaries, planning consents, disputes, alterations, guarantees, council tax band, connection to utilities etc. Better to investigate and uncover any issues at this early stage before you are legally committed! Your conveyancer will discuss all the outcomes with you before progressing to the next steps.
2. Reviewing the Sales Contract
The next stage involves receiving and thoroughly reviewing the actual sales contract from your conveyancer. Scrutinise every detail – this contract legally binds you to the purchase, so you must read and understand all the terms and confirm all information is correct. Check factual details like names, addresses, purchase price, and fixtures and fittings. Review any special conditions inserted and query unclear sections. Your conveyancer can explain complex legal terminology in everyday language. Never sign the contract until you are 100% satisfied – you are signing up to significant legal obligations.
3. Exchanging Contracts
Once both parties are happy, the buyer and seller sign the contract via their conveyancers. The signed contracts are then physically exchanged between the two conveyancers, and a completion date is agreed upon. At this point, the contract becomes legally binding. As the buyer, you will transfer an agreed percentage of the purchase price (usually 10%) to the seller’s conveyancer as a deposit when exchanging contracts. The deposit is held by the seller’s conveyancer until completion. Exchange is a major commitment – if either party pulls out after this, the deposit is forfeited. But don’t worry; an experienced conveyancer will guide you through the process.
4. Conveyancer Checks
In between exchanging contracts and completion, your conveyancer undertakes all the final checks and due diligence to ensure the purchase is ready to complete securely:
– Confirm your mortgage offer is valid and the lender is ready to release the funds.
– Arrange building insurance to activate on completion
– Secure the signed transfer legal title deed from the seller.
– Conduct final Land Registry search for any changes since exchange.
– Confirm utilities like electricity, gas, water, and broadband can transfer to you.
Your conveyancer resolves any issues arising and will only proceed once satisfied everything is in order for completion.
5. Completion Day
This long-awaited day is when you can finally call the property your own! Your conveyancer will transfer the remaining purchase funds from your mortgage lender to the seller’s conveyancer account. Once the seller’s conveyancer confirms these funds are cleared, they authorise the release of the keys to your conveyancer…and you can pick them up and move in the same day! Possession and legal ownership transfer to you on completion.
6. Legal Title Transfer
Following completion day, your conveyancer fully executes the transfer deed, registers it and your mortgage charge with the Land Registry to officially record the change of ownership. The original title deeds go to your mortgage lender until the loan is repaid. Your conveyancer completes all these final steps and keeps you updated throughout.
Why Do I Need a Property Survey?
Alongside conveyancing, a property survey is highly recommended for all home buyers, especially first-timers unfamiliar with what to look for. A survey is an in-depth inspection and evaluation of a property’s overall condition carried out by a qualified surveyor. It aims to identify any structural issues, defects, required repairs and general soundness of the building.
There are three main survey types to consider:
– Condition Report – A visual inspection giving an overview of the property condition.
– HomeBuyer Report – More comprehensive inspection testing elements like electrical, plumbing, damp, and drains. Highlights any issues.
– Full Structural Survey – Detailed analysis of the entire building’s structure. Only needed on higher risk or very old properties.
Surveys provide first-time buyers peace of mind by informing them of any problems and potential repair costs before purchasing. They also help flag risks to consider in price negotiations or inserting conditions into the contract. As the buyer, you pay for and organise your own survey – your conveyancer can recommend reputable local surveyors.
How Do Surveys Differ from Conveyancing Searches?
While the survey evaluates the physical condition of a property, conveyancing searches uncover non-physical factors that may impact the sale, like planning permissions, flood risks, and drainage connections. Survey results inform you of repair needs and costs. Conveyancing searches highlight issues affecting legal ownership transfer. While optional, surveys are highly recommended for all home buyers. Searches are a mandatory part of the conveyancing process.
Buying a home for the first time involves many steps! But having a reliable conveyancer together with getting a survey will give you invaluable insights before committing to such a significant purchase. As experienced mortgage brokers in Mansfield, Shaw Financial Services is always happy to answer any questions about conveyancing, surveys or arranging finance as a first-time buyer. Get in touch today!
