New build property conveyancing Archives

First time buyer: What you need to know before purchasing a home

Posted on 18 September 202426 March 2025 by Sarah O'Sullivan

Buying your first home is an exciting milestone, but it can also feel overwhelming. Our Residential Conveyancing experts at Tees are here to provide you with practical advice and valuable insights to make your journey smoother.

Assess your financial position

Committing to a mortgage and home ownership is a significant step. Beyond your mortgage payments, consider additional costs like maintenance, insurance, council tax, and utilities. Use online mortgage calculators to estimate your expenses and create a sustainable long-term budget.

Understand your credit score

Your credit score plays a vital role in obtaining a mortgage offer at a competitive interest rate. You can check your credit score online for free. If your score needs improvement, consider steps like:

Paying bills on time
Reducing outstanding debt
Limiting the number of active credit cards

Save for a larger deposit

The bigger your deposit, the better your mortgage options will be. If you have a Help to Buy ISA or a Lifetime ISA, be mindful of their restrictions. Always check the terms and conditions before using these for your purchase.

Get a mortgage agreement in principle

Speak to a mortgage broker to understand how much you can borrow. They can advise on fixed-rate, tracker, or variable mortgages based on your financial circumstances. Factor in additional costs like:

Survey and mortgage application fees
Land Registry fees
Property searches
Stamp duty
Legal fees

At Tees, we can provide a transparent quote for legal services to help you budget accurately.

Choosing the right property type

Freehold

Full ownership of both the property and the land
Indefinite ownership period
Responsible for all maintenance and repairs

Leasehold

Ownership for a fixed term (typically 99 to 999 years)
After the lease expires, ownership returns to the landlord
Service charges and ground rent may apply
Properties with fewer than 80 years on the lease may be harder to mortgage

Shared ownership

Purchase a percentage of the property and pay rent on the remainder
Opportunity to buy more shares over time (staircasing)
Typically sold as leasehold

Finding the right property

Consider factors like proximity to schools, amenities, and transport links. Evaluate the property’s condition and budget for any necessary repairs or renovations.

Research local property prices: Use platforms like Rightmove and Zoopla to compare property prices.
Negotiate smartly: Make offers subject to survey results, and be prepared to renegotiate if issues arise.

Understanding the purchase process

Once you find a property, instruct a solicitor to ensure the legal title is clear and all necessary paperwork is in place. At Tees, our experienced solicitors conduct searches, investigate titles, and guide you through every step.

Your lender will conduct a valuation to confirm the property’s worth before issuing a formal mortgage offer. While not mandatory, we recommend a survey to uncover potential issues. Investing in a survey can save you money in the long run by identifying necessary repairs.

Why choose Tees?

At Tees, we specialise in helping first-time buyers navigate the complexities of purchasing a home. Our expert legal team provides clear, practical advice tailored to your needs, ensuring your experience is as smooth and stress-free as possible.

Ready to take the next step? Contact Tees today for personalised legal support on your home-buying journey.

Shared ownership home: What does ‘staircasing’ mean?

Posted on 20 December 202327 March 2025 by Sarah O'Sullivan

If you live in a shared ownership home, you might have considered buying additional shares in your property. This process is known as staircasing.

What is staircasing?

Staircasing is when you purchase more shares of your shared ownership property, gradually increasing your ownership percentage. As outlined in your lease, you have the option to buy further shares, which means:

Greater ownership: You own a larger portion of your home.
Lower rent: You pay less rent on the shares you don’t own.
Full ownership potential: Most shared ownership properties allow you to eventually staircase to 100%, becoming the sole owner.

To find out if your property allows full staircasing, check your lease or speak with your landlord.

Benefits of staircasing

When you staircase to 100% ownership, you’ll no longer pay rent. You will still need to cover your mortgage, but securing a standard mortgage rate may become easier, compared to a shared ownership mortgage.

How Does Staircasing Work?

Let’s say you initially bought a 30% share of your home. Later, you decide to buy an additional 20%. You would then own 50% of your property.

Interim staircasing: This refers to any partial share purchases (e.g., going from 30% to 50%).
Final staircasing: If you staircase to 100%, you become the sole owner.

Are there any restrictions?

Some properties have restrictions on staircasing due to planning permissions. This is often to ensure homes remain available for local people rather than becoming second homes. Check your lease or consult your landlord to understand any limitations.

Do you have to staircase?

No, staircasing is completely optional. It’s a great choice if your financial situation improves and you want to invest more in your home. However, it’s not a requirement.

Costs to consider

Staircasing does come with additional costs, including:

Property valuation: A surveyor will determine your home’s current market value.
Legal fees: You’ll need a solicitor to handle the legal process.
Stamp duty: Depending on how much you staircase, you may need to pay Stamp Duty.

Financing your staircasing

If you don’t have sufficient savings, you can consider remortgaging to release funds and extend your mortgage term. Many lenders offer options to help finance additional share purchases.

Final thoughts

Staircasing can be a great way to increase your property ownership and reduce rent payments. To explore your options further, review your lease, speak to your landlord, and seek professional financial and legal advice.

If you have any questions, contact our conveyancing team today.

Shared ownership homes: Repairs and home improvements

Posted on 2 December 202326 March 2025 by Sarah O'Sullivan

If you’re considering a shared ownership property, one of the most common questions is: Who is responsible for repairs and home improvements? Understanding your responsibilities can help you budget effectively and avoid any unexpected surprises.

What is shared ownership?

Shared ownership allows you to buy a percentage share of a property while paying rent on the remaining share, typically owned by a housing association or landlord. While this offers a more affordable route to homeownership, it also comes with specific responsibilities for repairs and improvements.

Who handles repairs and improvements?

Structural changes and home improvements

While you’re free to decorate and make minor cosmetic changes, any significant structural changes require approval from your landlord. This is because structural modifications can impact the property’s market value, which may affect the price if you decide to staircase (buy additional shares).

Keep in mind that a landlord is not responsible for upgrades like a new kitchen or bathroom if your motivation is purely aesthetic.

Initial repair period

Some shared ownership properties come with an initial repair period, typically lasting up to 10 years. This applies if you own less than 100% of the property.

During the initial repair period:

The landlord covers essential repairs but cannot use the reserve fund or service charges to pay for them.
You are still responsible for paying your service charges as usual.
You may be able to claim up to £500 per year from your landlord for certain repairs, including issues with water, gas, electricity, or heating systems.

You can check whether your property has an initial repair period by referring to the Key Information Document provided by your landlord before you reserve the home.

External and structural repairs

For new-build homes, external and structural repairs are usually covered by a building warranty for the first 10-12 years. If you purchase a shared ownership resale property, any remaining warranty period will transfer to you.

For flats, external repairs are typically the responsibility of the freeholder or building owner. The cost is then divided among all flat owners through your service charge.

What to Do if Repairs Are Needed

If an issue arises, contact your landlord as soon as possible. They will assess the problem and determine whether the repair is essential. Keeping clear records of all communications and repair requests can be helpful.

For further information, visit the government website for official guidelines.

By understanding your responsibilities, you can enjoy the benefits of shared ownership without unexpected repair costs.

Shared ownership: How to get on the housing ladder

Posted on 2 October 202326 March 2025 by Sarah O'Sullivan

Shared ownership can be a way of getting onto the housing ladder for many people. But, there are a few things you should consider first.

What is shared ownership?

Shared Ownership is a form of affordable housing. The term ‘shared ownership’ encompasses schemes where a registered social housing provider grants a lease of a percentage share of the property and rents the remaining percentage to the tenant. Shared ownership homes are offered by housing associations, local councils, and other organisations. They are called ‘providers’ or the landlords.

From a conveyancing perspective, the transaction is still dealt with by solicitors, and the usual conveyancing and mortgage costs are still payable when you opt for a shared ownership purchase.

Who is eligible?

You are only eligible to purchase a shared ownership property if you meet certain criteria. The government sets this criteria:-

You can buy a shared ownership if both of these apply:-

your household income is £80,000 a year or less (£90,000 a year or less in London)
you cannot afford all of the deposit and mortgage payments for a home that meets your needs

0ne of the following must also be true:

you’re a first-time buyer
you used to own a home but cannot afford to buy one now
you’re forming a new household – for example, after a relationship breakdown
you’re an existing shared owner, and you want to move
you own a home and want to move but cannot afford a new home that meets your needs

For some homes, you may have to show that you live in, work in, or have a connection to the area where you want to buy the home.

There are also some other specialist Shared Ownership schemes for people who:-

are members of the Armed Forces
are over 55 years old
a person with a long term disability

More can be found on the Shared ownership homes: buying, improving and selling: Who can apply – GOV.UK

Buying a shared ownership property

All shared ownership property, whether it is a house or a flat will be leasehold. The Provider will own the freehold interest in the property and will grant you a lease. A shared ownership lease will specify that you own a given percentage, which will be the share you agreed to purchase. The purchase price you pay will be a percentage of the market value which corresponds with the share you will receive. You can either have a brand new lease granted on a new build property or be assigned an existing lease on an older property.

The lease will usually contain a provision which will allow you to buy additional shares throughout the term as and when you are able until eventually you own 100%. This is known as “staircasing”. You should note however that not all leases allow you to staircase and those that do may not allow you to staircase to the full 100%.

Initial ownership can start at 10% ownership, but usually, a lease is offered with a share of 25%, 50% or 75% of the value of the property. This can be paid for with a mortgage or from savings. As with a usual transaction, a deposit will be required which is usually 10% of the purchase price of the share.

The remaining share is then rented from the Provider for an affordable rent. Your monthly outgoings may include a mortgage payment and rent but will be much lower than the mortgage costs if you were to buy outright. When you can afford to, you may be able to increase your ownership of the property by staircasing. This can also be from either savings or a further advance on a mortgage.

Example:-

If the market value is £150,000.00 and you agree to buy 25%, the price you pay will be £37,500.00. You will then pay rent, known as “specified rent”, on the remaining 75% share.

Staircasing

Once you have purchased the initial share of property you can choose to increase your share, if your lease allows.

The amount you can staircase by is dependent on what your lease says and its age.

If you are looking to buy more shares, you will still require a solicitor to do this. You will also require a valuation so that the additional share is calculated based on the current value of the property. Please get in touch with one of our property specialists as they can assist with interim staircasing and final staircasing.

Will I have to pay stamp duty land tax?

Yes, the tax will be payable, however, the amount is dependent on a couple of factors: –

If you are buying a new build property and you are the first owner, you have a choice to either pay Stamp Duty Land Tax on the share that you are buying or you can elect to pay the tax on the full market value of the property
If you are buying an existing shared ownership (an assignment) then you can only pay the tax on the amount that you are acquiring.

The provisions for stamp duty on shared ownership properties are complex and we suggest you contact us for specific advice on your particular transaction.

What is a maintenance charge?

In common with most leasehold properties, you will be obliged to pay a share of the landlord’s expenditure incurred in satisfying its obligations under the lease. The type of obligations varies depending on the type of property you are buying:-

For a flat this may include, cleaning and lighting communal areas, building insurance, external decoration and structural repairs all of which you will share with other leaseholders.
In the case of a house, this can include building insurance and sometimes the cost of maintaining any common areas of an estate.

These costs are usually collected with the rental portion of the payments that you make to the Provider.

Can I let the property?

It is not usually possible to let a shared ownership property though once you have staircased to 100% this may be an option. This will be specified in the Lease.

Selling a shared ownership property

If you have bought the house outright you are free to sell the property as you wish but your landlord is usually entitled to buy back the property so that it can be offered to other families who seek low-cost shared ownership. They are obliged to pay you the full market price for the property.

If you only own a share of the property your landlord may require that you sell that share to a household nominated by them or to the landlord themselves, again for the full market price.

You may find that a shared ownership property is more difficult to sell than a ‘normal’ property as the pool of buyers is smaller because not everyone will meet the required criteria. However, the provider may also have a waiting list of potential purchasers.

The lease with have instructions on what to do when you wish to sell the property. This usually entails:-

Telling the landlord you wish to sell
The landlord will try and find a buyer for you within what is called the nomination period. This can be from 4 to 12 weeks.
If the landlord doesn’t want to buy the property or can’t find a buyer for you in the nomination period, you are then allowed to sell on the open market. You can either offer this as the share you bought or sell the whole property.

What other things should I consider?

A shared ownership lease is seen to be a tenancy agreement rather than a long lease until it has been staircased to 100%. Terminating a tenancy is much simpler than forfeiting a lease since all the landlord has to do is prove that the rent is in 3 months’ arrears. It is therefore important to note that you are at serious risk if you do not keep up with your rental payments.

You will need to get a specialist shared ownership mortgage if you are using one to assist with your purchase.

There are some additional costs to consider when selling, these can include:-

Paying for the landlord’s valuation costs
Paying for the landlord’s legal fees
Paying a nomination fee, if the landlord finds a buyer for you in the nomination period.

If you want to purchase a shared ownership property, please do not hesitate to get in touch, for bespoke advice.

We are members of the Law Society Conveyancing Quality Scheme.

Guide to buying new build homes

Posted on 25 July 202326 March 2025 by Sarah O'Sullivan

Buying a property is an exciting time and buying a new build property can be even more exciting as you are buying a blank canvas, with all new fittings – which you may be able to customise. However, buying a new build property is more complex than buying an existing property, with a lot more that needs to be considered. Here our conveyancing expert Marie Rodgers, sets out what you need to know.

What is a new build home?

A ‘new build’ is defined most usually as a property that was built, converted or refurbished within the last two years. People most commonly think of new build as totally new houses – those which are being bought ‘off-plan’. An ‘off-plan’ property is one that is yet to be built; it may be part-way through construction or not yet begun. The sale details for an off-plan property will comprise floorplans, working drawings and computer-generated images instead of photos, to see what the finished product will look like. However, ‘new build’ also includes properties that have been occupied or rented before, but are still owned by the builder or developer.

Reservation fee for new builds

When you agree to purchase a new build, the developer will ‘reserve’ this plot for you in return for paying a ‘reservation fee’. The amount of this fee can vary depending upon the property and development but usually varies between £500-£2,000. This forms part of the agreed purchase price and is deducted from the balance which you pay for the property on completion. It’s important that you check your reservation agreement carefully in order to work out whether this reservation fee is refundable in the event you do not proceed with the purchase of your plot.

Exchange deadline

A key difference with new builds is that the developer will impose a deadline by which an exchange of contracts must take place. This is usually 28 days. This means that the process will move at a very fast pace and it’s therefore important that you instruct a conveyancer quickly. Also make sure you act quickly upon their instructions as to what they require to progress your purchase. In the event the exchange deadline is not met, the developer reserves the right to re-market the plot, so you could lose the property.

Extras might incur more Stamp Duty Land Tax (SDLT)

One of the benefits of buying a new build property is that you have the ability to customise the property by paying for ‘extras’. Examples of the types of extras you might be able to choose from are upgraded kitchen appliances such as cooker hob, integrated fridge freezer and dishwasher, better kitchen units, better quality floor tiles, bespoke fitted wardrobes and even things for the garden such as turfing and an outside tap.

However, these additional extras may incur SDLT in their own right so it’s best to check this point with an expert. At Tees, we can refer you to a stamp duty specialist who can accurately calculate the correct SDLT you should be paying for your property.

Know exactly what you’re buying in your new build home

The marketing people will show you lots of printed materials and maybe videos to encourage you to buy but these may not show exactly what you will be buying. Your plot could be in a different location on the development site, closer to roads, recreation grounds, with different lights etc. Another thing to be certain of is the precise spec for your new home. You need to know what fixtures and fittings there will be and what building materials will be used throughout the property. Make sure you know what has and hasn’t been included in the total cost so you don’t have a problem later on.

Complex documentation

New build conveyancing is much more complex than that for an existing property. Your conveyancer will be processing a vast amount of additional documentation which comes with purchasing a new build home. They will need to ensure that the necessary planning and building regulation approvals are in place for the development and appropriate provisions are in place for the construction of the roads and sewers on the estate. They will also need to ensure that you have the necessary rights to use these roads and sewers. It’s therefore important that you instruct a conveyancer with knowledge and experience in new build conveyancing who will be able to guide you through the process and identify any issues should they arise.

Mortgage offers on new build homes

Due to the short timescales in which you have to exchange contracts, it’s important that you obtain a mortgage offer as soon as possible. You will need to make sure you have a valid mortgage offer in place before an exchange of contracts. Your conveyancer will also need to ensure that any conditions contained within this offer have been complied with and that the lender is happy to proceed.

If your property is not yet built when you exchange contracts, it’s possible that your mortgage offer may expire before you get to move into your new home. In this instance, you should speak to your mortgage broker or lender directly, in order to ensure that your offer can be extended, or a new offer obtained, should it be required. You should bear in mind that if a mortgage extension or new mortgage offer is required prior to completion, any new product or interest rate attached to the mortgage, may not be as good as the original mortgage offer issued.

Dates for completion

When you exchange contracts on a new build property, if the build is not complete, then a ‘fixed’ date cannot be agreed for completion. Instead, the developer will provide you with an ‘estimated’ date for completion. This is the developer’s best estimate for when the property will be completed based upon their forecasts. Unfortunately, factors may delay the build which are outside of the developers’ control. At Tees, we will always ensure that there is a ‘termination’ (often referred to as a ‘longstop’) date in the contract. This is the final date by which the developer has to complete the build of your property, failing which, you can terminate the contract and have your deposit and reservation fee returned to you.

Annual maintenance charge

A new property often forms part of a larger development and will involve the use of shared common areas, such as green spaces or play areas, shared accesses, or private roads. The costs for any upkeep and maintenance for these areas will be payable by the individual property owners by way of an annual maintenance charge. The amount of this charge will vary depending on the development. You should discuss this directly with the site office at the development before reserving your plot so that you are fully aware of the ongoing maintenance charges for which you will be liable.

Structural warranty

Your property will be sold with the benefit of a 10-year structural warranty. Your conveyancer will ensure your warranty is in place upon completion and provide you with a copy of the necessary documentation which you will need in the event you ever need to make a claim in future or sell the property. They will also check with your lender in order to ensure that they are happy with the warranty which is being provided.

Do I need a snagging list for my new build home?

It’s common to find defects that require rectifying. They could be relatively small issues such as poor quality paintwork or a hinge that is broken or more major issues such as a leaking pipe. The developer should check everything, but nothing is foolproof so you need to create a list of what needs doing – a snagging list. Make time to walk through the whole house systematically to check for marks, scratches, and things which are broken. You can check floors and surfaces are level and whether everything works properly. Make sure there are no leaks from any taps.

You are not able to delay moving into your property for any snagging works which may be required. At Tees, we advise that you inspect your property before moving in, once it is completed, in order to check the finish and ensure that no major works remain outstanding.

However, it may not be possible to do it before you complete if the housebuilder won’t give you access. If you do it after you move in, don’t wait too long, in case the housebuilder tries to say you caused the damage yourself. However, you do have two years from your completion date to report any defects to your housebuilder which they have to rectify as part of your property’s warranty. At Tees, we will ensure you are aware of your rights to get snags fixed and ensure there is an obligation on the developer to carry out these works. If a dispute arises, we have expert property litigation solicitors at Tees.

At Tees, our conveyancing experts have a wealth of knowledge and experience in the world of new build conveyancing and so are best placed to guide you through every step of the way, from initial instruction to completion.

What is conveyancing?

Posted on 5 April 202326 March 2025 by Sarah O'Sullivan

Conveyancing is the word typically used to refer to the legal process of buying or selling a house.

Buying and selling a house can be an exciting process – but it can also be stressful! Our team of Conveyancing experts are on-hand to provide guidance at every stage, as we want to achieve the best result for you – without any stress or worry on your part.

While first-time buyers or sellers may benefit greatly from our guide, even seasoned house movers should stay informed about any changes. Here are the important points that you should be aware of to make the process smoother and more successful:

What documents do I need to sell a house?

To help, we’ve come up with a list of the Top 10 documents which will assist when selling your home:

Title deeds and plans
Planning permission for work completed in the last 20 years
Building Regulations approval and certificates
FENSA certificates from 1 April 2002
GASAFE certificates from 1 April 2005
Electrical certificate from 1 January 2005
Guarantees and warranties for works completed
Any reports such as a flood risk or radon gas
EPC Certificate
Any indemnity insurance documents

If you are unable to provide these, we can assist in obtaining copies for you or your agent may also be able to help.

How long will it take?

This depends upon whether the sale or purchase is a one off transaction or caught up in a chain of transactions. If for example the property is empty and the buyer does not need a mortgage and the paperwork is received promptly by the buyer’s lawyer, a sale and purchase can be completed very quickly.

However, more often than not, a mortgage will be needed and there will be a chain of transactions. If this is the case, it will usually take about four to six weeks to exchange contracts and another two weeks between the exchange of contracts and final completion, making a total of six to eight weeks from start to finish.

We will always work hard to minimise delays and to try to complete your transaction as soon as possible. It is not possible however to guarantee the time it will take when a chain of transactions is involved. This is because a transaction in a chain can only proceed as quickly as the slowest person in the chain. Examples where delays could arise include when someone is waiting to receive a mortgage, to have a survey carried out or a transaction has started off later than the others in the chain or has previously fallen through.

When selling your property, we recommend gathering together all of the documentation relevant to your property and providing this to your solicitor at the beginning of the process. This will make the transaction quicker and easier to deal with.

When do I need to pay any money?

If you are buying a property your solicitor will ask you for funds, typically £350 at the start of the transaction to cover search fees. Then a few days before contracts are due to be exchanged, your solicitor will ask you for the deposit which is payable on exchange of contracts. This is usually agreed at 10% of the asking price of the property but can vary. The balance of the purchase money and solicitor’s costs including Stamp Duty Land Tax and land registration fees are payable a few days before the completion date as we must have cleared funds on the date of completion.

Do I need a survey?

The legal position is ‘buyer beware’ and that you buy a property in its existing condition with no come back against the seller if there are any defects at all. This is why it is always advisable to have a survey carried out before contracts are exchanged and you are legally committed to buy the property. If you need a mortgage, the lender will insist on a valuation being carried out to check on the value of the property but this is not a survey. It depends on the type of property you are buying as to the type of survey that it is advisable to have carried out. We will be pleased to discuss this with you and have good relationships with various local surveyors and can put you in touch with them to get this advice.

What searches do you carry out?

If you are buying a property we will carry out all appropriate searches and pre contract enquiries for you against the property. The main searches are:

Local Authority Search
Drainage and Water search
Environmental Search
Chancel Search and Land Charges
Land Registry Searches

These searches are undertaken to check that there are no adverse matters registered against the property including for example breaches of planning, proposals for nearby new roads or traffic schemes, whether there are any risks from contaminated land or flooding and whether there is any potential liability to contribute towards the upkeep of the chancel of any medieval church in the vicinity. Our drainage and water search will show whether or not the surface and/or foul water drains run into a public or private sewer and the route that they take and whether the property is connected to the mains water supply. We also ask various questions of the Seller to identify a host of important things like who is responsible for the boundaries, when the central heating was last serviced, whether there are any guarantees for building work and whether they have had any problems with the neighbours.

When do I need to arrange building insurance?

Unless the insurance is being arranged by the lender or it is a leasehold property and the insurance is dealt with by the landlord, this must usually be arranged from exchange of contracts as the property will be at your risk from that time. You should make arrangements to have this in place immediately Contracts are exchanged.

What does exchange of Contracts mean?

Once all searches, pre contract enquiries and your survey has been carried out, any mortgage offer required has been received and you and the other parties in the chain are ready to proceed, Contracts can be ‘exchanged’. There are two parts to the Contract. One is signed by the seller and the other part by the buyer. Your solicitor will check with you and the other parties in the chain as to a suitable completion date and will then ‘exchange’ the Contract with his /her opposite number. This is usually dealt with on the telephone and it is only at that stage that you are a legally committed to the purchase or sale and that a completion date is agreed.

What is the ‘Completion Date’?

This is the date agreed on exchange of Contracts for you to complete your purchase or sale. It is the day that the buyer is entitled to collect the keys and move into the property.

What happens on the ‘Completion Date’?

This is when the buyer’s solicitor sends the balance of the purchase money through the banking system to the seller’s solicitors. Once received they will call the estate agents to authorise them to release the keys to the buyers. On completion the seller has to move out (give ‘vacant possession’) and remove all furniture and effects from the property. The seller’s solicitors will send the deeds of the property to the buyer’s solicitors and send to the seller the balance of the sale monies after payment of any outstanding mortgage, estate agents fee and legal costs.

What happens after Completion?

The buyer’s solicitors will pay any Stamp Duty Land Tax and arrange for the buyer and the lender to be registered as the new owner and lender at the Land Registry.

If you are looking to buy a property, please do not hesitate to get in touch. Our specialist lawyers are members of the Law Society’s Conveyancing Quality Scheme and are based in:

What happens on completion day?

Posted on 26 January 202326 March 2025 by Sarah O'Sullivan

The day of completion is the final step in the house buying and selling process. It is the pre-arranged date when the financial and legal formalities are concluded, and the ownership of the property is transferred from the seller to the buyer.

On the day of completion, the following steps typically take place:

The buyers’ solicitor will transfer the funds to the sellers’ solicitor.
Once the funds have been received, the seller’s solicitor will contact the buyer’s solicitor to confirm that the funds have been received and will confirm to the estate agents that the keys can be handed to the buyers.
The seller’s solicitor will then send the deeds of the property to the buyer’s solicitor.
The buyer’s solicitor will check the deeds to ensure they are in order and that the property has been legally transferred to the buyer. They will then apply for the title to be amended at the land registry.

The buyer is responsible for arranging the connection of utilities, registering with the local council and other services required at the new property. All of this should be completed from the date of completion. The buyer will normally be responsible for the building’s insurance from the date of exchange rather than completion. Your solicitor will make you aware of this at the appropriate time in the process.

The completion date is the date the buyer takes possession of the property and will have been agreed on by both parties in the sale contract. However, on occasion, the completion process may be subject to delays or complications, and it’s always advisable to work with a reputable solicitor and estate agent to ensure a smooth and efficient process.

Answers to common questions about the day of completion day:

What do conveyancing solicitors check on completion day?

Your conveyancing solicitor will handle the legality of transferring the funds, confirming the transaction has been completed, dealing with all the paperwork and deeds, and (if you’re the seller) redeeming or discharging any mortgage secured against the property.

Prior to completion, the buyer’s conveyancing solicitor will check all mortgage conditions have been met and request the money from the lender.
The seller’s solicitors will request a redemption statement (calculated to the day of completion) if there’s a mortgage on the seller’s property.
For the buyer to become the new registered owner of the property, the transfer deed must be signed by the seller (and also sometimes the buyer). This is usually prepared in advance prior to the completion day.
Conveyancing solicitors on each side create completion statements of all payments made and received and set out any invoices to be paid on completion.
On completion day both solicitors make final checks, and then the buyer’s solicitor will transfer the purchase money via the CHAPS banking system to the seller. For more information on CHAPS, visit the Bank of England website.
Once the signed transfer deed and any other deeds are received, the buyer’s solicitor will complete and submit a transfer form to the Land Registry. This enables the transfer of ownership from the seller to the buyer.
Once the seller’s solicitor has received the funds, they’ll confirm completion with the buyer and release the keys from the estate agent. They also ensure specific charges are paid, including the seller’s estate agent fees.
The buyer will be notified of the completion they can then move into the property.

What can go wrong on completion day?

On completion day, there are several potential issues that may arise, which could delay or disrupt the process of transferring ownership of a property. One potential issue is a delay in the transfer of funds from the lender to the solicitor and between solicitors in the chain of the sale. These delays may occur due to fraud checks, technical difficulties or a lack of sufficient funds. It’s essential to ensure that all outstanding bills and fees, including stamp duty land tax, if applicable, are settled before completion day to avoid any issues.

There may also be delays with the seller vacating the property on time. It’s important to confirm with your removal company the time of their arrival and be prepared for how long it will take to move your belongings. To minimize disruptions, it’s recommended to do as much packing as possible before completion day.

What time do you normally get the keys on completion day?

The time that keys are handed over on completion day can vary depending on the specific circumstances of the sale. Typically, keys are handed over to the buyer once the funds have been transferred and the legal paperwork has been completed. The exact time of key handover will be agreed upon by the buyer and the seller, and it’s usually coordinated through their solicitors or estate agents.

Usually, the keys are handed over in the afternoon, between 12:00 pm and 4:00 pm, but it can vary. The buyer and the seller can agree on a specific time and date to hand over the keys, based on their availability and the time they need to move out of and into the property.

If the completion process is subject to any delays or complications the keys may be handed over later than expected. Therefore, it’s always advisable to have a plan B. Open communication with the seller and your solicitor can help avoid these delays.

Should I call my solicitor on completion day?

Your solicitor will call you when completion has happened. However, it’s a good idea to contact your solicitor on completion day to confirm that the process is proceeding as planned and that all necessary paperwork has been completed. They can also advise you on any final steps that may need to be taken and answer any questions you may have about the property transfer.

In summary, on completion day, you need to make sure the funds are transferred, legal paperwork is completed, arrange for utilities to be connected, register with the local council and other service providers, collect keys, and move into your new property.

Considering a Buy to Let? Here’s what you need to know

Posted on 12 June 202027 March 2025 by Sarah O'Sullivan

There’s a lot to consider when deciding on whether to invest in a buy to let property. Eleanor Burroughs, Partner in the residential property team at Tees, outlines here some of the risks and benefits along with some key legal considerations.

What is a Buy to Let property?

Generally, Buy to Let refers to property which has been bought solely as an investment for letting to tenants whether that is single families or a group of students, but that is not always the case.

Sometimes a buyer may become a landlord by default, for example, they want to purchase the property for themselves to live in at a future date but must let it out in the meantime.

What are the benefits of a Buy to Let?

Landlords generally look for two things, capital growth and rental yield. In some areas of the country one of these may outperform the other so it is important you decide what you are looking for in terms of either a regular income or long-term gain and chose a property accordingly.

For some, being a professional landlord is their job and all their income derives from what they make on their rental properties, others may have just one property which they may have purchased as a pension for the future. Whatever your situation it is important you do your homework thoroughly before taking the plunge.

What are the risks in buying to

What are the risks in buying to let?

As with any investment, buying property does not come without risk and is not something you should engage in on a short-term basis as property prices go down as well as up.

You need to ensure you have enough capital behind you to pay for repairs to the property as and when they are needed
Ensure you can meet your obligations in void periods -when a property is empty
As well as loss of rent, keep in mind that you will still have to pay any mortgage costs
You must also pay council tax and utility charges in the absence of tennants

This is not always easy if the property is empty for some time. There are also the risks of tenants not paying the rent or causing damage and legal action being needed to gain possession.

You also need to be available to carry out repairs to the property. If that isn’t possible for you then you need to factor in the cost of employing someone to manage the property and for professionals to carry out repairs. These costs can quickly erode profit if your margins are tight.

What property should I buy?

The important thing is to take your time in deciding what is right for you and what is right for your potential tenants. Being a landlord is a business decision and you need to approach it that way.

You need to think about the type of tenant that would be attracted to the location and how adaptable the property is to the needs of the tenant group you are looking to attract.

There is no point buying a student let miles from a university or aiming to attract families with a one bedroom flat on the top floor of a tower block.

If you want something lower maintenance, a new build property or a flat in a professionally maintained block may be the answer.

Are there restrictions on the type of property I can let?

In order that you can let a property it must meet certain energy performance ratings. There are certain exceptions, but they are few and far between. For most properties, you can only let where the energy rating is E or higher.

If you are thinking of buying a leasehold property it is important that the terms of the lease are checked carefully to ensure there is no restrictions on lettings. Even if the lease does allow lettings to take place the landlord may have restrictions on the length of the term and is likely to require notice of this which may involve you paying a fee each time a new tenancy is agreed.

It is vital that you tell your solicitor of your intentions so as they can make sure everything is in order.

What are my legal obligations as a landlord?

There are many and they change regularly which is why a lot of buy to let landlords choose to use the services of a professional letting agent to manage the property for them and keep them updated of any changes.

If you don’t, then you need to ensure that you not only know the legal implications of letting when you first let the property but that you continue to stay abreast of changes throughout the entire letting period.

Amongst other things, you must ensure that the gas and electric are safe to use and that the property is well maintained. Additionally, you must ensure that your tenant has a right to rent and that any deposit provided by the tenant is properly protected and held in a government-approved scheme

Letting to students or letting a house in multiple occupation (HMO) requires licencing and there are more stringent controls on letting. Some local authorities now require you to have a licence even if letting to a single household.

What if I fail to comply with my obligations as a landlord?

This will depend on the type of breach, but failing to comply with your obligations can result in financial penalties and in the worst case a prison sentence so it’s important to seek the right advice and get it right!

Do I need a different type of mortgage for a Buy to Let?

The answer to this is yes. The fees and interest rates on buy to let mortgages tend to be higher than for a standard mortgage. You will need to advise the lender if you intend to let to students or on an HMO basis.

You can obtain interest only loans on buy to let as lenders will accept that the capital can be repaid on the sale of the property. Do remember if prices fall and the sale price does not cover the loan, you will have to make up the difference.

You will also generally need a higher deposit and your lender will want to ensure that the rental income you are likely to obtain will cover at least 125% of the mortgage costs. If the property is being bought by a company the legal costs for dealing with the mortgage are also likely to be higher. Buy to Let mortgages require properties to be let on an Assured Shorthold Tenancy basis.

Are the costs of buying to let higher than for buying my main home?

When you are buying a property for the purposes of letting it out there are tax implications you need to be aware of. Firstly, you will generally have to pay a stamp duty land tax surcharge of an extra 3% on the entire purchase price. Stamp Duty Land Tax is a complicated area but we can guide you to the right advice. Your rental income must also be declared in your annual tax return and there are capital gains tax implications when you come to sell if you have made a profit.

If you have chosen to set up a company to own the rental property, there are different tax considerations to consider. The rules around reporting and paying capital gains tax have recently changed and the timeframe is now limited to 30 days from completion of the sale.

How to protect your property from fraud

Posted on 9 June 202027 March 2025 by Sarah O'Sullivan

Property fraud is on the increase and fraud methods change all the time. You should look out for anything that seems unusual or suspicious, as usually there will be more than one sign that fraud is being committed.

What are the types of property fraud?

Identity theft and impersonation

Criminals may impersonate anyone involved in a property transaction, including owners, buyers, borrowers, lenders or conveyancers.

One of the ways that property fraud can occur is where a fraudster has used forged documents to claim they are the owner of a property. They then apply for mortgages against that property and the mortgage is registered against the title to the property at the Land Registry. The fraudster then pockets the proceeds of the mortgage and disappears leaving the owner of the property with a debt they know nothing about until the lender claims they have defaulted on the mortgage.

If a property already has a mortgage secured against it, then the consent of the original lender is required before additional borrowing can be completed which makes any fraud harder to undertake.

If you do not have a mortgage or do not live at the property and therefore do not receive any notices or letters that are sent there, you can protect yourself in several ways.

We would recommend that you make sure that you notify the Land Registry of any change of address you may have so that they have up to date records of where to write to you. You can have up to three addresses listed including an email address, so if you travel frequently you will be able to choose the most appropriate addresses for you.

It is possible to register a restriction on your legal title. This requires the consent of a third party before a mortgage can be completed and registered against the title to your property. You can apply for a restriction if you live in the property but you have to pay a fee. If you don’t live in the property but own it privately, it is free.

Buyers

Criminals may use false ID to pretend to be a buyer and make an offer, then withdraw before exchanging. They can then use the information they’ve learned during the process to commit title fraud on the owner of the property. They may also continue with the transaction and steal any money raised from the lender.

Sellers

Criminals may attempt to sell or mortgage a property by impersonating an owner using false or stolen ID.

Criminals often target:

sole owners, especially of unmortgaged properties
owners who have died
owners living overseas
absent owners, especially landlords
owners who are in a hospital or care home
owners who have built up equity in their property

Conveyancers

A criminal may pretend to be a conveyancer or to act for an authorised firm of conveyancers. You should check the details of the conveyancer acting for the other party to make sure they’re correctly registered.

Lenders

Criminals may submit forged discharges – a formal recognition that a mortgage has been paid off.

Be wary if the source of the discharge is not a lender regulated by the Financial Conduct Authority, or where the lender itself does not give you the discharge.

Am I at risk of property fraud?

Anyone who owns or is in the process of buying a home could potentially be targeted by scams, but some homeowners are more at risk than others.

If your property is empty or rented out, it is more vulnerable to fraud. Properties that aren’t mortgaged are seen as more high risk, as are those that are not registered with the Land Registry.

Properties most likely to be unregistered are those that haven’t been mortgaged or sold since 1990.

What can I do if I think I’m at risk?

The first thing you should do is to sign up to the Land Registry Property Alert service.

Alerts are sent to you via email when official searches and applications are received against the property you want monitored.

If someone tries to make changes to a property you have registered – such as applying to change the registered owner of your property – a notification is sent to you via email.

It won’t automatically block any changes to the register but it will tell you what is happening so you can take appropriate action if necessary.

It’s a good service for landlords too, as you can monitor up to ten properties at one time free of charge.

More than one person can monitor a property at the same time, which is useful if you and your siblings are looking after a property for parents in care.

Ensuring your protection during a property transaction

As professional property conveyancing solicitors, we actively engage with our clients to ensure that your data and monies are well protected. We insist that your bank details are only sent by post and will alert you to potential scams such as ignoring emails or phone calls that claim last minute changes of bank account details.

We would also advise:

Do not send your bank details by email to anyone, either phone them through or take them into their office – if this is possible
Choose your conveyancing solicitor carefully. Tees (incorporated under the name Stanley Tee LLP) is registered with the Law Society and the Council for Licensed Conveyancers
Read anything sent to you by your conveyancing solicitor very carefully. We provide our clients with our bank details at the outset, by post and we stress that those details will not change
If you are being pushed to proceed very quickly, be careful. Fraudsters often use this tactic so that emails are used and corners are cut

As simple and stress free as possible

Whether you’re buying your first house or expanding your buy-to-let portfolio, we keep in touch regularly and try to keep the process as simple and stress-free as possible.

Our property solicitors are members of the Law Society’s Conveyancing quality scheme. When you’re ready to make your move, call us to get a conveyancing quote.

Can I occupy my new house before the completion date?

Posted on 14 March 201727 March 2025 by Sarah O'Sullivan

In most residential conveyancing transactions, the buyer will not expect to take up occupation of the property they are is buying until the legal completion date. There are however instances when the buyer and seller may agree to the buyer occupying the property before the completion date. This might occur where a buyer has already exchanged contracts on his existing property and is then unable to synchronise the sale and purchase completion dates. Alternatively, where a buyer is living in rented accommodation and his tenancy is due to expire before he is able to complete the purchase.

Licence to occupy

If the buyer and seller agree to the buyer entering into occupation of the property before the completion date, usually the parties will agree basic terms and then look to their respective solicitors to implement these terms. The advice given by a solicitor will invariably differ depending on whether the solicitor is advising a buyer or seller, however, the starting point will almost certainly be the Law Society’s Standard Conditions of Sale (5th Edition). Most residential conveyancing transactions proceed in accordance with the latest standard Conditions of Sale. Standard Condition 5.2 provides that where the seller agrees to the buyer entering into occupation of the property before the completion date, the buyer is considered to be a Licensee and not a Tenant. The main terms of the Licence are set out in the Standard Conditions.

What are the risks of early occupation before completion date?

There are a number of risks which both parties should be aware of:

the buyer’s occupation may invalidate the seller’s buildings insurance policy and therefore compromise the seller’s ability to make a claim under the policy in the event of any damage caused to the property during the buyer’s occupation, whether or not the damage was actually caused by the buyer.
the buyer’s occupation is likely to breach the seller’s mortgage conditions unless the lender’s prior consent is obtained. This is unlikely to affect a seller who has an existing buy to let mortgage product.
if the buyer fails to vacate the property or generally to abide by the terms of the agreed Licence, the seller will still need to obtain a Court Order in order to recover possession of the property. This could be expensive and significantly delay the actual completion date causing serious legal and financial implications, particularly if there is a long chain.
as far as a buyer is concerned, early occupation of the property may be treated by HMRC as “substantial completion” for stamp duty land tax purposes and therefore stamp duty land tax may be payable from the point of occupation as opposed to the actual completion date.
furthermore, the buyer’s occupation is not guaranteed until the completion date. The Standard Conditions provide that the buyer’s Licence may be terminated upon the seller giving five working days notice to the buyer. Where the parties have agreed a long completion date and the seller decides to terminate the Licence before completion, this may force the buyer into finding alternative temporary accommodation and incurring additional storage and other costs pending the completion date.

Licence to occupy before completion

In view of these potential risks, it is advisable that both parties avoid early occupation. Individual circumstances do not of course always permit this, particularly where there is pressure in a chain to exchange contracts or a requirement to complete within a specific time frame or on a particular date. If early occupation is required, it should be under the terms of a Licence with the parties considering any necessary variations to the Licence terms under the Standard Conditions in order to meet their respective requirements.

Buying your first home is an exciting milestone, but it can also feel overwhelming. Our Residential Conveyancing experts at Tees are here to provide you with practical advice and valuable insights to make your journey smoother.

Assess your financial position

Choosing the right property type

Finding the right property

Understanding the purchase process

Why choose Tees?

If you live in a shared ownership home, you might have considered buying additional shares in your property. This process is known as staircasing.

What is staircasing?

Benefits of staircasing

How Does Staircasing Work?

Are there any restrictions?

Do you have to staircase?

Costs to consider

Financing your staircasing

Final thoughts

If you’re considering a shared ownership property, one of the most common questions is: Who is responsible for repairs and home improvements? Understanding your responsibilities can help you budget effectively and avoid any unexpected surprises.

What is shared ownership?

Who handles repairs and improvements?

Structural changes and home improvements

Initial repair period

External and structural repairs

What to Do if Repairs Are Needed

Shared ownership can be a way of getting onto the housing ladder for many people. But, there are a few things you should consider first.

What is shared ownership?

Who is eligible?

Buying a shared ownership property

Example:-

Will I have to pay stamp duty land tax?

What is a maintenance charge?

Can I let the property?

Selling a shared ownership property

What other things should I consider?

What is a new build home?

Reservation fee for new builds

Exchange deadline

Extras might incur more Stamp Duty Land Tax (SDLT)

Know exactly what you’re buying in your new build home

Complex documentation

Mortgage offers on new build homes

Dates for completion

Annual maintenance charge

Structural warranty

Do I need a snagging list for my new build home?

Conveyancing is the word typically used to refer to the legal process of buying or selling a house.

What documents do I need to sell a house?

How long will it take?

When do I need to pay any money?

Do I need a survey?

What searches do you carry out?

When do I need to arrange building insurance?

What does exchange of Contracts mean?

What is the ‘Completion Date’?

What happens on the ‘Completion Date’?

What happens after Completion?

The day of completion is the final step in the house buying and selling process. It is the pre-arranged date when the financial and legal formalities are concluded, and the ownership of the property is transferred from the seller to the buyer.

On the day of completion, the following steps typically take place:

Answers to common questions about the day of completion day:

What do conveyancing solicitors check on completion day?

What can go wrong on completion day?

What time do you normally get the keys on completion day?

Should I call my solicitor on completion day?

There’s a lot to consider when deciding on whether to invest in a buy to let property. Eleanor Burroughs, Partner in the residential property team at Tees, outlines here some of the risks and benefits along with some key legal considerations.

What is a Buy to Let property?

What are the benefits of a Buy to Let?

What are the risks in buying to let?

What property should I buy?

Are there restrictions on the type of property I can let?

What are my legal obligations as a landlord?

What if I fail to comply with my obligations as a landlord?

Do I need a different type of mortgage for a Buy to Let?

Are the costs of buying to let higher than for buying my main home?

We’re here to help

Property fraud is on the increase and fraud methods change all the time. You should look out for anything that seems unusual or suspicious, as usually there will be more than one sign that fraud is being committed.

What are the types of property fraud?

Identity theft and impersonation

Buyers

Sellers

Conveyancers

Lenders

Am I at risk of property fraud?