Exchange of Contracts
As mentioned previously, neither party to the transaction is under a legal obligation to buy or to sell until contracts are exchanged. Before we can advise you to exchange contracts we must be sure that: –
- The contract itself is drafted in an acceptable way.
- The seller has shown good title to the property.
- You have obtained a satisfactory mortgage offer.
- The survey does not reveal any problems with the structure of the property.
- The local authority search doesn’t reveal any adverse matters.
Usually it is only after all of the above matters have been satisfied that we will be able to send you the Contract for signature. At around this time the solicitor acting for the seller will be sending the contract to the seller to sign.
We must also ensure that we have received your deposit, usually 10% of the purchase price, in sufficient time before exchange of contracts to have cleared funds available to send to the seller on the day.
On exchange of contracts, the parties’ solicitors will agree a completion date, confirm that they hold contracts signed by their clients before swapping their part of the contract and paying (if required) any sums due to the other party on exchange.