Buyers Guide
Choosing the right mortgage
Your first task before considering buying a property is to establish a price you can afford to pay. A home loan or mortgage can be arranged by a number of sources including building societies, banks and insurance companies. Lampons has independent financial advisers serving each branch.
Finding a home and making an offer
Once you have viewed a number of properties and decided upon your ideal home, Lampons will allow you access to the property's Home Information Pack (HIP). This will include a sale statement, title document, local authority searches and an Energy Performance Certificate. If you want to take things forward, we'll then deal with negotiations on your behalf. Only when an agreed offer has been submitted by Lampons and accepted by the owner can you proceed. However, always remember that your offer is 'Subject to Contract' and both you and the seller are not bound legally to the transaction until the formal 'Exchange of Contracts' has been completed by the solicitors.
Choosing a legal adviser
At this stage, you will need to instruct a solicitor or a conveyancer. Lampons can advise you of local law firms and is also able to introduce you to online conveyancers. Your chosen solicitor will deal with all aspects of your property purchase, acting in your best interests and on behalf of the mortgage lender, if required.
What does my solicitor do?
Your solicitor's first task is to request a 'Draft Contract' from the seller's solicitor. Basically, this is a legal document confirming the address and title of the property and includes a copy of the fixtures and fittings forms (along with lease and maintenance details if you are purchasing a flat).
It is the responsibility of the solicitor to satisfy him or herself and the mortgage company that all relevant information is accurate and that there are no onerous legal implications affecting the saleability and usage of the property. Various questions will be raised by your solicitor (including maintenance and leasehold information if you are purchasing a flat) to be subsequently answered and satisfied by the owner's solicitors. It is only when all these questions are answered that your solicitor will approve the Contract.
How does a survey affect my purchase?
Before agreeing to lend money, your building society, bank or lending source will arrange a survey on your proposed purchase. There are three types of survey: a Mortgage Valuation, the Home Buyers Report and the Full Structural Survey. Each survey requires different amounts of detail on the proposed property and is costed accordingly.
When the survey report is completed, a copy will be sent to you and to your lending source. Any unsuspected problems highlighted in the report will need to be addressed at this stage as your lender may hold money back, or consider not lending at all, if they believe the problems to be a threat to their lending criteria. The lender may also request individual reports on specific items the surveyor has picked up on - eg, damp, woodworm, cavity wall ties, structural defects, windows and the roof. Lampons will help and advise you on various specialists to use.
Once you are happy with the results and have satisfied your lending source regarding any defects (if, indeed, there are any) then a formal offer from your lender confirming the amount being lent will be issued. This is called a Mortgage Offer.
Exchange and completion
When your solicitor is satisfied with all of the documents, you may well be in a position to Exchange Contracts. Your solicitor will then arrange to see you to discuss the Contract. If you are satisfied, he or she will ask you to sign the Contract, pay the deposit (usually 5% to 10%) and agree a completion and moving date. The formal Exchange of Contracts is then usually dealt with by telephone. Once this has happened, you are then legally bound to the purchase and will be subject to legal ramifications and loss of the deposit if you do not complete.
Organising your move
You are now in the position to start organising removals and contact various utilities including gas, electricity and telephone to instruct them on your new address and a date of reconnection. Other important people to advise would be your bank, doctor, milkman, etc.
Tie up loose ends
Your solicitor will still have a few loose ends to tie up between Exchange of Contracts and the completion date. He or she will organise the Transfer of Title Deeds into your name and Land Registration (again, you will be charged a fee for this information), plus arrange for the remaining purchase money from your lending source to be distributed to him or her in time for completion.
Collecting the keys
On the day of completion, the monies will then be transferred to the seller's Solicitors, usually around midday. Once this has been actioned, either your solicitor or your Lampons' representative will ring to confirm formal completion and arrange for you to collect the keys. You are now the proud owner of your new home.
Further advice
If you have any further queries on buying or would like advice on selling, simply telephone or call in to your nearest Lampons branch.
