How is a completion date chosen?
Once the title of the property has been fully investigated, this includes all enquiries having been answered and searches having been returned, contracts and transfers have been signed and you are satisfied, dates will be suggested.
We are often asked if completion has to take place on a Friday? It does not. It can take place on any working day. Completion has to be on a working day as mortgage lenders will not send mortgage monies at the weekend and many solicitor’s offices are not open at weekend to facilitate the completion.
It is also worth remembering that many mortgage lenders need at least a week to send the mortgage funds to your solicitor.
So, completion can be any working day, that everyone else involved in the transaction is also in agreement with. Don’t worry though, your solicitor will usually do the phoning round to check that the rest of the chain can complete on the suggested date.
Things To Consider When Agreeing A Completion Date For A Property Transaction
At MG Legal, our team of property solicitors understand that Completion is the ultimate goal, for all conveyancing transactions, and is the day that we are all working towards throughout the process. There are, however, a number of considerations to be had, before proceeding with agreeing a date for Completion to take place.
Our Preston solicitors discuss just some of the items that you should be considering:
- Funds: Where you are purchasing a property, arrangements need to be made for Completion funds to be remitted to the client account of your conveyancing solicitor, in readiness of Completion taking place. Where you are purchasing cash, this would simply involve the transfer of funds, however, we would advise checking the daily limits of your bank when transferring funds, as well as ensuring that any transfers made will be cleared in time for Completion taking place. Our team would, therefore, always advise forwarding funds to us two days before the agreed date, to account for any delays with the banking system that may occur.
In addition, where the purchase is being aided by mortgage finance, there needs to be sufficient timing to allow the drawing down of funds from your lender. Lenders, usually, require five clear working days’ notice to forward the same, however, in some cases, your conveyancing solicitor can request that this be expedited. In the world of conveyancing, our team understand that your conveyancing transaction can change on a daily basis which may mean that sufficient notice simply cannot be provided. In such instances, a request for the same to be urgently dealt with would be requested, however, when agreeing dates for Completion, this should be considered.
Furthermore, where the purchase is being funded by other means, such as a Help to Buy ISA (see more on Help to Buy ISAs, here), a lifetime ISA or Help to Buy funding, as examples, there, again, needs to be sufficient timing to ensure the funds will be cleared in readiness of the agreed date. Our Preston solicitors will be able to advise you of the time scales such organisations work to, in order that the Completion date can be agreed in accordance with the same.
- Chain Reaction: As great as the voices of our Preston solicitors are, we do not mean the song. If your transaction is part of a chain, this can increase the difficulty in coming to an agreement in terms of Completion. This, mainly, is due to the fact that there a simply more parties to satisfy, who all have individual needs.
See our Preston solicitors’ blog in which we discuss the steps that can be taken, to avoid issues when in a conveyancing chain, here.
You should consider whether you can be, at all, flexible in the dates for Completion that are being suggested, should other parties in the chain require. Our team have your best interests at the forefront, at all times, and will do our utmost to ensure your preferred date is agreed upon, however, where there are several parties involved, a degree of flexibility may be required. This is something that you can discuss with your conveyancing solicitor, to ensure the best possible outcome for all involved.
- Removals: In packing up your belongings, in all likelihood, you will discover things you never even knew you had. So, firstly, we would advise against leaving removal arrangements until the day of Completion. You should, slowly, begin packing items up throughout the process, to avoid this being such a big job when the time comes. We would, however, stress that the transaction does not become legally binding until Exchange has taken place, therefore, removal bookings should not be finalised until this point, in order to avoid loss of any deposits paid, in the event of an issue.
Where you are reliant on removals assistance, you should ensure that you can secure a booking for that date, in order that you can vacate the property, as agreed. Should you not require a removal firm and have family members or friends on hand to assist you, you should also ensure that they are able to do so on that date.
- Are you happy to proceed? Amidst the excitement of being at a stage where dates for Completion can be suggested and agreed, it is important to ensure you are happy to proceed. You should discuss any queries you have with your conveyancing solicitor, be it in connection with funds, searches or enquiries, for example. Our team are on hand to ensure you are fully appraised and are happy to proceed.
Additionally, our Preston solicitors have comprised a trusty checklist that you can use to ensure that you are completely satisfied, and ready to proceed to Completion. You can view this, here.
- Time Scales: At MG Legal, our property solicitors will keep you updated, at all times, as to any progress on your conveyancing transaction. This, not only, ensures you are fully aware of the present position, but also helps assess how far away Completion may potentially be. See our Preston solicitors’ blog in which we discuss time scales during your transaction, and how matters can be expedited, but also what can cause delays, here.
You should also be considering any personal time scales that you have to work towards, for example:
(a) Family and/or work commitments that may restrict when Completion may take place.
(b) Any current accommodation that you may be residing at, and the required period for giving notice on that property.
(c) As opposed to focussing on dates to suggest, are there any specific dates that are to be avoided for Completion, for whatever reason? Eliminating such dates can aid an agreement being reached between the parties.
(d) Do you require time between Exchange and Completion and, if so, what are your requirements in this regard.
You should discuss your circumstances with your conveyancing solicitor, in order that, when looking to agree a Completion date, this can suit your individual needs.
So, whilst it can be easy to get carried away with picturing life post-Completion, there are a number of considerations that should be had before agreeing specific dates.
Our team understand that Completion is the ultimate goal and will, of course, do our utmost to ensure that any requirements you have in respect of Completion are met. Discuss your moving- day musts with our Preston solicitors today, by contacting email@example.com.
Alternatively, if you have any other conveyancing query, our team are always on hand to assist you. Get in touch with our local solicitors today, and submit an online enquiry, here, for friendly and honest advice. We promise not to burst any ear drums reciting ‘chain reaction’.