Delays in a Property Transaction

Buying or Selling a property, may sound straightforward but it can sometimes become prolonged and complicated. Not all transactions are the same due to several reasons but here at Johnson Astills, we are here to make the journey as smooth as possible. There are many different reasons why a transaction may become delayed.

Here are a few:

The Chain

A number of linked transactions occur when people usually sell their property and purchase a property simultaneously. Exchange of contracts must take place simultaneously on all the transactions in the same chain which may cause delays as everyone in the chain needs to be ready to exchange and all agree the same completion date.

Searches and Surveys

We strongly recommend that searches and a survey are carried out to the property you are purchasing. This is because the searches will flag up anything that affects the property and if any issues arise, we can raise enquiries with the buyer’s solicitors, and ensure that any legal issues are resolved prior to exchange of contracts.   The severity of the issues in the search reports may also impact the time the transaction may take. 

A full structural survey may reveal issues with the property that you would not have been aware of otherwise and you may wish to look into these issues further which could also delay the transaction – such as gas safe reports, electrical reports, damp reports etc.

Mortgage

A decision in principle is confirmation from your lender that they are prepared to lend on your proposed purchase. However, keeping the state of the economy and the fluctuating interest rates in mind, you may wish to shop around for the best deal which may also take some time.

Is the property Leasehold?

If you are looking to purchase a house, it will most likely be freehold whereas flats are usually leasehold. Leasehold transactions are generally more complex, therefore there are more checks to be carried out by your conveyancers and more enquiries to deal with.

If the property you are buying or selling is leasehold it is more likely that the transaction may take longer than a freehold property sale due to the involvement of third parties like landlords, management companies and freeholder.

Is the property a new build?

It is important to be aware that building works may not have been completed in your new home upon exchange of contracts. Therefore, you must keep in mind the duration of your mortgage offer and the fact that you will be legally bound to a property that you may not have seen physically before.  Sometimes there can also be delays in the completion of works, which will affect your move in date.

Please get in touch with Johnson Astills today and we would be more than happy to discuss your requirements further. Please call us at our office in Leicester on 0116 255 4855 or our office in Loughborough on 01509 610 312 and ask to speak to a member of the Property Team. Alternatively, you may prefer to email us at legal@johnsonastills.com or fill in our enquiry form.