Buying A House Or Flat
What do I do about buildings insurance?
Depends – if you are buying a house then you are usually responsible for insuring the property from exchange. Some lenders require proof of insurance before mortgage funds will be released – if the house falls down between exchange and completion you will still have to buy it.
For a flat, most will have insurance arranged through the freeholder or management company – your conveyancer will tell you, though ask if they don’t tell you – if insurance is arranged then you do not have to worry – you will join the existing block policy – if it is paid in advance then you will need to refund part of the premium to the buyers – again your conveyancer will tell you if this is the case
Other frequently asked questions
- My seller has asked for a non-refundable deposit. Should I pay? The short answer is no. You should not pay any deposit until contracts are actually ...
- How much should I be paying in legal fees? Depends on service you require. Up to a point, the more you pay the better ...
- My seller has asked for a non-refundable deposit. Should I pay? Depends – seller cannot tie you into the purchase until exchange BUT can keep your ...
- I have found a property that I like, but I am worried that the seller might keep looking for a better price. What can I do to make sure that the seller only sells to me? Ask seller to enter into lock-out agreement (explain what they are, why you want one ...
- What is a Local Search and why do I need one? Explain what it does - LLC1, CON29. Why do you need one? Can you choose ...
- What is a personal search? Explain difference between them – why should you use one over the other (speed, efficiency, ...
- What is a drainage search and do I need one? Gives details of water and drainage service provider – confirms that property has mains water ...
- What is an environmental search and do I need one? Searches historical and current records to provide an indication of whether your property might be ...
- What is a chancel repair search? Indicates whether your property has a chancel repair liability – this means that you can ...
- Are there any other searches I might need? Coal/tin mining, commons registration etc. Most depend on region ie Cornwall for Tin
- Do I need a survey? Caveat Emptor - most expensive thing you will ever buy – why save £400? If ...
- What is a HIP? See our HIP guide and DIY HIPs in our legal guide.
- My seller has received a better offer and is now asking me for more money. What can I do? This is called gazumping and is an inevitable bi-product of the great weakness of the ...
- There is a nice field next to the house I want to buy. How do I make sure that no one is planning on building on it? Your local search will only relate to the property you are buying and is unlikely ...
- My transaction is moving much too slowly. How can I speed it up? Remember conveyancing takes time – most ‘delays’ are nothing of the sort, it just takes ...
- I live in rented accommodation and my sellers have asked me to give notice. They say that completion will take place before the end of the notice period – should I trust them? The short answer is no. Unless you have actually exchanged contracts neither side is tied ...
- What is stamp duty? Stamp Duty Land Tax (SDLT) is a tax charged on the purchase of property. For ...
- Is there any way of reducing the stamp duty that I have to pay? The short answer is no. It used to be a possibility but these days HMRC ...
- What is an Inland Revenue Land Transaction Return Form? This is a twelve page form usually completed by the conveyancer. Most firms make a ...
- I have agreed to buy a house, but my financial position has changed and I don’t want to proceed. What can I do? Depends on stage of transaction – before exchange you can withdraw at no cost other ...
- I don’t have enough spare cash to pay a 10% deposit on my house purchase, but I still want to buy the house. What can I do? You can agree a smaller deposit – most sellers will accept a smaller deposit or ...
- I am in a long chain and am finding it impossible to agree a completion date. What can I do? Not much. You could ask agents to put pressure on everyone in the chain. You ...
- I have exchanged contracts on my purchase and fixed a completion date. My circumstances have changed and I want to complete on a different day. What can I do? You should immediately tell your conveyancers - they can ask the buyers to agree to ...
- What’s the difference between exchange and completion? “Exchange” means the exchange of contracts. Many years ago the solicitors for the seller and ...
- What do I need to do before completion? You will have a lot of things to do before completion takes place, though your ...
- What happens on completion? Your conveyancer will receive your mortgage funds and will send to seller’s conveyancer as soon ...
- I’ve just discovered that my seller is bankrupt. What do I do now? You should immediately advise your conveyancer and take specialist advice – this can cause enormous ...
- My conveyancer has told me that the house I am buying has some restrictive covenants imposed on it. Is this a problem? Depends on the covenant – depends on the type, how old it is, who has ...
- My conveyancers have discovered a problem with the house that I am buying. I am not bothered about it, but my conveyancers won’t exchange as they claim that the mortgage lender won’t let them. Why is this? When you buy a house with a mortgage your conveyancer will also act for the ...
- What is the Council of Mortgage Lenders? The Council of Mortgage Lenders (CML) is the industry association for mortgage lenders, and their ...
- What is the Council of Mortgage Lenders Handbook? The Council of Mortgage Lenders (CML) Handbook sets out lenders’ requirements for conveyancers acting on ...
- What is the difference between joint tenants and tenants in common? Joint tenants and tenants in common are two different ways for two people to hold ...
- What is a TR1 or Transfer Deed? Formal land registry document prepared by conveyancers – transfers property from seller to buyer – ...
- What is an AP1? Land registry application form drawn up by conveyancers – used when making an application to ...
- What is a DS1/END1? DS1 – form used by mortgage lenders to confirm that a mortgage has been repaid ...
- What is a Title Information Document? Copy of land register – used to be called Office Copy Entries – sent to ...
- What is a mortgage deed? Deed that formally charges (secures money against) the property. Drawn up by your mortgage lender ...
- Can a member of my family witness a signature for me? No, the witness needs to be independent, unrelated and over the age of 18 – ...
- I have just completed on my sale and my conveyancer has not yet sent me any deeds. Is this right? That is correct – common misconception that deeds are sent to buyer on completion – ...
- My purchase has been registered and my conveyancer has told me that all the deeds have been sent to me. However I have only had something called a “Title Information Document”. Is this right? Yes – for a freehold property most of the title deeds are obsolete and your ...
- I am completing on my purchase, but I am not sure how I get the keys. What do I do? These will usually be held by the estate agents – be aware that you will ...
- My conveyancer has told me that my seller needed a FENSA certificate for his windows but does not have one. Is this a problem and what can I do? My conveyancer has told me that my seller needed a FENSA certificate for his windows ...
- What is a drainage search and do I need one? Gives details of water and drainage service provider – confirms that property has mains water ...
- What is a chancel repair search? This indicates whether your property might have a chancel repair liability. This would mean that ...
- Are there any other searches I might need? Coal/tin mining, commons registration etc. Most depend on the region: e.g. in Cornwall you might ...
- My lender has carried out a valuation report. Do I still need a survey? The valuation is designed to assure the bank or building society that the property will, ...
- My survey has identified some issues. What do I do now? Find out how much it will cost to remedy. You may be able to negotiate ...
- My solicitor has asked me for ID. Do I have to give this? Owing to the Money Laundering Regulations your solicitor has an obligation to confirm positively your ...
- What is a disbursement? A disbursement is the name conveyancers use for costs that they have to pay on ...
- I am not happy with the way my landlord manages the buiding. What can I do? Under the Commonhold and Leasehold Reform Act 2002 you as a Lessee along with the ...
- I want to buy the freehold of my building. What do I do? You have the right compulsorily to buy out your Landlord’s freehold interest. This is known ...
- I want to extend my lease, what do I do? Under the Leasehold Reform Housing and Urban Development Act 1993 and the Commonhold and Leasehold ...
- I own the freehold to my building jointly with the other leaseholders. The arrangement is causing problems and we want to find a better way of running the block. What can we do? Under the Leasehold Reform Housing and Urban Development Act 1993 and the Commonhold and Leasehold ...
- The lease of my flat includes the garden to the property block, for my exclusive use, but my neighbours refuse to stop using it. What can I do? The key here is that you have ‘exclusive use’ of the garden this means that ...
- My lease says I can use the garden at my block of flats, but my neighbours will not let me and have put up a locked gate. What can I do? In these circumstances you should advise your landlord of the position and ask that he ...
- I can't afford to pay my maintance charge. What can I do? If you stop paying your maintenance charge you will be in breach of your Lease ...
- I want to knock down some internal walls in my flat. Can I do this? It is most likely that your Lease will contain a restriction not to make any ...
- I want to rent out my flat. Can I do this? You are recommended to check the terms of your Lease before you let your flat ...
