GUIDE TO SELLING
STEP 1: Preparation of the Home Information Pack
A Home Information Pack about the property that you are selling needs to be prepared before your property can go on the market if it has 4 or more bedrooms (HIPS for 3, 2 and 1 bedroom houses will become compulsory in Autumn 2007).
The pack will consist of:
- An index
- A sale statement summarising the terms of sale
- Evidence of title
- Standard searches<
- Energy performance certificate
STEP 2: Enquiry forms to be filled in
The property information form, fixtures, fittings and contents form
are filled out by the seller.
STEP 3: Obtain deeds
Since October 2003 legal title in England and Wales has been
dematerialised. It is now generally possible to obtain these by
downloading title documentation information from the Land Registry.
Once the title has been obtained, the contract can be prepared. The contract sets out the main terms, such as the seller’s name, the buyer’s name, a description of the property and the price. After this, the seller needs to wait until the buyer is ready to proceed.
STEP 5: Exchange contracts
Once the buyer and seller are ready, a completion date can be set
and contracts can be exchanged. After the contract has been
exchanged the contract is binding and neither party can withdraw
without severe penalty.
STEP 6: Completion day
On completion day your solicitor receives the balance of the sale
price, in return for which they hand over the title deeds. The money
is used to repay the mortgage the seller had on the property, and to
pay the cost of sale – the Estate Agent’s account and legal fees. If
there is money left over then the money is sent to you on the day of
completion, unless the money is being used for another purchase.