What is Conveyancing?
Conveyancing refers to both the transfer of real property ownership from one owner to another, plus the granting of an encumbrance on property, such as a mortgage or a lien. This process can be somewhat complicated, and varies by jurisdiction. Every conveyance transaction uses the same method; obtaining a written agreement between the two parties, an escrow period when certain conditions are met, and finally a closing whereby legal ownership of the property is transferred.
All countries have their own conveyance system and rules, and different regulations. Each system is designed to ensure that the buyer can obtain both a legal title to the land and all the rights that go with the land. If there are any restrictions or exceptions to those rights, the buyer should be made aware of them.
First and Next
The first procedure of a conveyance transaction is the submission of both a written contract and a down payment from the interested buyer. Offers are usually processed by a real estate agent on behalf of the buyer. After the buyer and seller come to an agreement on the price and terms of the sale, the real estate contract can be ratified and the down payment money is deposited into an account. Reliable conveyancing solicitors in London have all the expertise to smoothen all legal matters out perfectly.
Next step is to allow the buyer and seller to meet certain conditions set forth in the contract. These conditions apply to both buyer and seller, and usually include an appraisal of the property, a title search, an inspection of the property and financing. If all the conditions are not met, the buyer can legally withdraw his offer without any kind of penalty, and nullify the contract. The title search is perhaps the most important condition in this period, as this will determine whether or not the seller has all the legal rights to the property.
At the end of this period, after all of the conditions have been met, the last procedure of conveyancing can transpire. This step is sometimes called the closing or settlement, and it finalises the transference of ownership to the buyer. It is during this period, that, monies and papers change hands and the buyer becomes the legal and lawful owner of the property. Standard paperwork at a conveyance include the deed, certified checks, mortgage, property tax documents, title insurance, home insurance, and a promissory note.
After the conveyancing transaction, the new deed is then recorded. This record of the transfer of ownership from the seller to the buyer will then become part of the public record. The deed will then show up afterwards in subsequent title searches regarding the property.
Better to Check with the Experts
The entire conveyancing process can be performed by the buyer and seller themselves. But in most cases, It is more common to employ professionals to handle the conveyancing, due to the very complex process. Professionals that might be involved include lawyers, solicitors, real estate agents, mortgage brokers, and conveyancing experts.
Conveyancing – as simple as it comes!