What is Conveyancing?
When one person transfers his/her legal title of properties to another person, the process is called conveyancing. Many people think that the process of conveyancing is not that complicated and is just like a buy-and-sell process. However, if we are to dig deeper into the process, we will find out that there are a lot of transactions, negotiations and promises between the two parties involved. This is the reason why it is important to have a conveyancing lawyer to help you during the process. There have been a lot of people ending up paying a lot to amend the mistakes during conveyancing because they haven’t solicited advice from a conveyance lawyer.
The process of transferring properties are usually handled by lawyers who specializes in conveyancing. Such lawyers are called conveyancers or conveyancing lawyers. Their role is to enforce promises, commonly known as undertakings, given by both parties during the transaction. They must ensure that each concern of both parties must be met and agreed upon before the transaction is completed. They also provide advice and details about sailing and buying properties. This may not be realized by the two parties, but it is utmost important that these things should be understood by both of them before entering into an agreement. These lawyers are usually found in Commonwealth countries such as United Kingdom, Canada, and Australia.
The Process of Conveyancing and the Roles of the Conveyancing Lawyers
During the process of conveyance, both the buyer and the seller must have their own conveyancer. The conveyancing lawyers will then give a Letter of Engagement or Confirmation of Terms of Business to the buyer and the seller. This must be signed by the buyer and the seller in order for their conveyancers to start work. They will also request funds to cover up for the necessary searches that they will conduct during the conveyancing process.
The first stage of the process involves the buyer’s conveyancer to draft a contract setting out the charge and deposits required. Then he will write a letter to the seller’s conveyancer confirming that they are instructed already to have a copy of the drafted contract and other documents necessary.
After this, both conveyancers will examine the contact and other documents and raise inquiries if necessary. He will also conduct legal property searches for the reason that some things may not be visible just by viewing it with state agents or through a survey. This is very necessary, especially for real estate properties. Then the buyer must ensure that his mortgage is in place. This will ensure the seller that the buyer has the finances available for a mortgage deposit. Then the seller will require the buyer to have an insurance. This is necessary, especially for buildings.
The exchange of contracts will the happen. Before the contracts are signed, the conveyancers will have to ensure that all enquiries have been answered and cleared, the fixtures and fittings in the purchase are what is expected, a completion date has been agreed by both parties (usually 4 to 12 weeks after the exchange of contracts), there is already an arrangement to transfer the deposit from the buyer’s account to the solicitors account, and that both the buyer and seller’s contracts are identical and the same.
Before completion, the buyer’s conveyancer will draw up the transfer of deed so that the property will be registered in the name of the buyer. The completion process is usually done during midday. Once the seller’s conveyancer confirms that they have received all the money that has been agreed upon, the seller will drop the keys if it is a real estate to the estate agent which will be ready for pick up by the buyer. When one party is not able to be at the specified date, it can be considered as a breach of a fundamental term. If such happens, the other party can terminate and forfeit the contract as well as keep the deposit and sue for damages. When all of these have been met and there are no problems, the conveyance process will be ended and the transfer of property will now be done.