Help for 1st Time Buyer

queenpiggy

Hi everyone

Just thinking maybe you lovely people can help us out as we are 1st time buyers, were due to exchange on Friday and the solicitor has asked for a bankers draft for the deposit. Does anyone know how these work? can we just pop into the bank in the morning and get one on the way to the solicitor?

Also, once exchanged is there no way the seller can pull out or is that completion (I get confused by it all)

Thanks in advance everyone!

JennyW_2

It is similar to a cheque, however the money has been debited to your bank account and it means the person receiving this will know it is safe money. You will normally need to give a bank in the UK 24 hours notice. You will normally be charged an administration fee.

Once you've exchanged you're pretty safe and it's a done deal. The buyer can still pull out if they want to but you will be in a position to sue them. People normally start to live their lives again and sleep once they've exchanged :rotfl:

queenpiggy

Thanks Jennyw thats really helpful, you have shead some light for us.

I can't wait until Friday now! Yay! Its been a long struggle :T

JennyW_2

no worries - good luck for Friday. We've only just begun our journey so a few months of stress to come yet but I'm sure we'll get there......

queenpiggy

Thanks! It is the most stressful thing I have ever had to do! So glad its almost over! I wish you all the best and a smooth move!

Tassotti

You should be able to pay the deposit by any means. It doesn't have to be a bankers draft. I have paid deposits by cash, regular cheque and even a credit card. They may be being over cautious as a bankers draught does supply security.

As mentioned above, after exchange, if the seller pulls out, you can sue them, but this is unlikely. A completion date will be set when you exchange and then all good. It is a stressful experience. Give a thought for us who do this several times a year

Be lucky

Tass

Jorgan_2

A solicitor will wait for a personal cheque to clear before using the funds to exchange, this will delay the exchange in your case, queenpiggy. Most solicitors will deem a bankers draft as cleared funds so will usually exchange without waiting for it to clear. Best of luck for Friday.

queenpiggy

Thanks everyone, I just can't wait until its all over with, don't know how you do it so often Tassotti! I don't fancy doing this again for quite some time

Tassotti

It is different when its your own home. When its an investment, there are different worries. I still love the feeling of getting the keys for the first time though. Maybe I'm just strange. :rotfl:

Heth_2

When we exchanged last week we payed the deposit via internet banking. We had to do it a few days before exchange so the money could clear, ie the solicitor wouldn't exchange until he had the money. It would have taken longer for a personal chq to clear. It was easiest for us to do it like this, and didn't cost a thing.

Tassotti

Think it depends on the solicitors. I once supplied a credit card cheque for the deposit, and was worried about the clearance time issue. Turns out, no problem.

Tass