When it comes to buying or selling a property in the UK, there are several stages to navigate. One of the most important steps is the exchange of contracts, which is when the buyer and seller legally commit to the sale. But what happens after exchange of contracts, and how long does it take to complete the purchase?
First, let`s review what happens during the exchange of contracts. This is when the buyer and seller sign and exchange identical contracts that outline the details of the sale. The buyer will typically pay a deposit at this point, which is usually 10% of the purchase price (although this may vary). Once both parties have exchanged contracts, they are legally bound to complete the sale on the agreed completion date.
So, how long after exchange of contracts is completion in the UK? The answer is that it varies depending on a number of factors, including the complexity of the sale, the speed of the conveyancing process, and the availability of funds. In general, completion usually takes place between 7 and 28 days after exchange of contracts, but it can be longer or shorter than this, depending on the circumstances.
One of the main factors that can affect the timeline for completion is the conveyancing process. This is the legal process that transfers ownership of the property from the seller to the buyer. It involves a series of checks and searches to ensure that the property is legally owned by the seller and that there are no issues that might affect the sale. This process can take several weeks, depending on the complexity of the sale and the speed of the conveyancers involved.
Another factor that can affect the timeline for completion is the availability of funds. In most cases, the buyer will need to arrange a mortgage or other financing to pay for the property. This can take time to organise, and delays in securing funding can push back the completion date. Similarly, if the seller is buying another property and needs to use the proceeds from the sale to fund their purchase, this can also cause delays.
In some cases, the buyer and seller may agree to a longer or shorter timeframe for completion. For example, if the buyer needs to move in quickly, they may ask for a shorter completion period. Alternatively, if the seller needs more time to vacate the property, they may ask for a longer completion period.
In conclusion, how long after exchange of contracts is completion in the UK? The answer is that it varies depending on a range of factors. However, in general, completion usually takes place between 7 and 28 days after exchange of contracts. To ensure a smooth and timely completion, it`s important to work with experienced conveyancers and to communicate clearly with the other party throughout the process.
