What are searches and why do I need them?

A search is a formal enquiry of a body that may hold information about a property. For example, the Local Authority holds information about the permitted use of your property, whether the roads and drains are adopted (otherwise you may find that you are called upon to pay for their maintenance). In areas affected by tin or coal mining it is obviously important to ascertain whether a property is close to or likely to be affected by mining works. If you are taking a mortgage to assist in connection with your purchase your lender will insist that certain searches are undertaken. We will advise you if we think that further and more details enquiries should be carried out.

Why does it take so long?

In theory there is no reason why any transaction should take a long time. We have bought and sold property in a matter of days. There are usually about 8 to 10 weeks between the acceptance of an offer and the completion of a deal. However, the property chain can often create delays over which nobody really has much control. At such times, legal representation plays a vital part in keeping you aware of the changes and of the parts other people, for example solicitors, surveyors, your lender and estate agents are playing. Even when deals progress smoothly, we will remain instrumental at each legal stage from pre-contract research and valuations to post-completion and transfer of deeds. Whilst Beers has the most up to date IT systems available to enable us to progress your property transaction as quickly and efficiently as possible.

Why does it cost so much?

When you instruct us to act on your behalf we will provide you with a detailed estimate of the total cost of the transaction. You will see that the costs charged by Beers are a fraction of the overall cost, the balance being taken up with the cost of Searches, Taxes and Land Registry Charges over which we have no control.

What happened to my deeds?

There aren't any. The days of parchment and seals have gone. Title information in respect of most property is now held at the Land Registry in electronic form. As each new Property transaction takes place the deeds are "dematerialised".

Do I need a Survey?

If you are taking a mortgage in connection with your purchase the lender will require a valuation report. This is not a survey and will not highlight any structural or other defects in the property. Its purpose is simply so that the lender can be satisfied that the property is worth the amount being borrowed. If you have any concerns about structural or other problems associated with a property you may wish to have a full structural survey carried out.

About Home Information Packs (HIPS)

From 1st June 2007 it is anticipated that sellers will need to provide a Home Information Pack, or a HIP, before selling.

Research carried out by Which? Magazine recently revealed that approximately £350m per annum is spent on house sale transactions that fall through because e.g. a survey reveals flaws that render buyers unable to secure a mortgage.

The government therefore proposed that the HIP would contain all of the important information about a property which is generarally only revealed once someone has made an offer and incurred the expense of instructing surveyors and solicitors.

It was hoped that the provision of the property infromation at the outstet would speed up the selling process and reduce the number of abortive transactions although the costs to the seller would have increased because of the need to include a Home Condition Report in the HIP. It was intended that the seller should provide a Home Condition Report (a survey commissioned by the seller) as part of the HIP.

In face of much resistance and lobbying by Mortgage Lenders the requirement to include a Home Condition Report has now been abandoned.

It would seem therefore that the anticipated revolution in buying and selling property is now some way off.

As the HIP programme evolves, we will be able to advise more thoroughly on the implications for both buyers and sellers. For more information call us on 01548 857000 or on 01752 246000 or email: info@beers-law.co.uk

 

 

Disclaimer: The information on this website is of necessity generic in nature. It does not constitute legal advice and should not be regarded as such. Beers cannot accept liability for actions taken by individuals in reliance upon the information published on this website.