Next steps after an offer has been accepted

Once our offer was accepted on the new build property, the next few steps were to:

1. Complete the registration form
2. Pay the reservation fee
3. Instruct the solicitor
4. Provide solicitor & mortgage details to estate agent
5. Apply for a mortgage

We had already identified a solicitor we wanted to use and decided to apply directly to a lender for the mortgage so steps three and four went smoothly and quickly!

We used a broker on our previous attempt at buying a property and I’ve shared our thoughts on it here! I’ll write about applying directly in the next post.

You can find more information on what research we did when looking for a conveyancing firm in this post.

Once we completed the registration form, we waited for the memorandum of sale to be issued by the estate agent.  A copy was sent across to us, our solicitor and the developer.

We also received a letter with the memorandum of sale which:

·        Confirms in writing that our offer on the property (full address included) of £XXX has been accepted by the seller

·        Confirms the property has been withdrawn from the market

·        Informed us that the memorandum of sale is enclosed and that a copy has been provided to our Legal Representative

The memorandum of sale included the following details:

·      Date

·      Property Address

·      Seller’s name and address

·      Seller’s solicitor details (firm name, address and contact details)

·      Buyer’s name and address

·      Buyer’s solicitor details

·      Price Agreed Subject to Contract

·      Offer Special Conditions - Exchange within 28 days

·      Tenure (e.g. freehold, leasehold)

The memorandum of sale was important as we were informed the 28 day timeline starts upon receipt of this document. This was because typically the contract papers are also sent on the same day to our solicitors.

There was a delay in the legal papers being sent across so our timeline didn’t start until the papers were received. This was because our solicitor needs the contract papers to perform the conveyancing.

In the end, it actually took six months before we completed on the purchase because of slow responses from the developer’s solicitors and delays caused by COVID-19.

Some tips:

·        Remember to check the reservation form as ours had errors.

·        Read the purchase procedure and any terms and conditions on the reservation form carefully.

·        Check you have details of how to get the reservation fee back and if there are any administration costs to be deducted. Read our previous experience here.

·        Make sure you have confirmation in writing of the agreed price and that the property has been taken off the market.

·        You don’t have to use the solicitor recommended by the estate agent.

·        When we made our first offer on property one, the seller asked us to use the same solicitor which didn’t feel right and we felt there would be a conflict of interest so we refused.

·        Check you are clear on the timelines for exchange and that it has been communicated in writing.

·        Inform your solicitor of the timelines that they will need to work to when instructing them.

This is a useful website which has more information on the memorandum of sale.

Will talk about the conveyancing process in future posts!

All the best!

Jess