Pros & Cons please for exchanging & completing on the same day

flora48

My very recent experience, last week, would suggest that exhange and completion are best done on separate days. On our exchange day the process was not completed till 4.45pm and even on completion day it took till 4.25pm. Why so long I do not know. I decided to take a chance and give my buyer the keys at noon otherwise they would have been sitting outside till dark and tryin to move stuff in the dark and snow would not be good. However to hand over keys before completion is never recommended. I think your decision is very wise.
Goood luck with your move.

Starrystarrynight

I, as a seller, exchanged and completed on the same day. It was a very straightforward transaction, though. The buyer was a first timer and I was moving back to my parents' house until I could find somewhere else nearer my job, so it worked very well for me. Didn't hand anything over till I had the ok from my solicitor. The whole thing was very quick, from advert in the paper to completion. It took me 2 weeks to get all my stuff moved, but I guess I was lucky in having somewhere to put it all. Guess it can work for some, but not all.

loveabargin

flora48 wrote: »

My very recent experience, last week, would suggest that exhange and completion are best done on separate days. On our exchange day the process was not completed till 4.45pm and even on completion day it took till 4.25pm. Why so long I do not know. I decided to take a chance and give my buyer the keys at noon otherwise they would have been sitting outside till dark and tryin to move stuff in the dark and snow would not be good. However to hand over keys before completion is never recommended. I think your decision is very wise.
Goood luck with your move.

So glad things went ok for you as it was nice of you to hand over yours keys. I have to amit that I dont think I would as, knowing my luck something may go wrong (this is my third choice of house due to having to pull out of the other two "solicitors advise") thankfully I have very patient buyers.

Flat_Eric

loveabargin wrote: »

Hi All

I'm at the solicitors this monday to sign the contracts and would like to hear your views regarding exchanging and completing on the same day. The reason for this is because my buyers mortgage offer runs out on the 8th Jan and my solicitors close on wednesday unto 4th Jan also we are not sure that the searches on the house we are buying will be back before everyone closes for xmas. So my thoughts are to exchange and complete on 6th Jan to give us a little more time for the searches to come back.

Exchanging and completing on the same day only really serves the purpose of delaying the exchange date which in your transaction, would seem to be a good thing as your searches are not back yet. An important consideration for you though is do you require mortgage finance ? because if you do then typically mortgage companies require (at least) 5 working days to process the certificate/report on title - a form your solicitor completes and sends to the mortgage company (usually on exchange) to confirm that they (the solicitor) has investigated the title to the property you are buying and that everything is in order with it - i.e. that the property is good title - worthy of the money that the mortgage company is lending. Are your buyers going to be ready on the 6th also ? If this is the date you want to work towards then let your solicitor know you are looking at a simultaneous exchange and completion on the 6th because they will probably need to request your mortgage money this week given the Christmas break/closure. If you don't need a mortgage then just make sure your solicitor has any balance due the working day prior to completion so that the money is in your solicitor's client account ready to be sent as soon as the banking system opens on exchange/completion day.

Also the house we are buying is empty and with this cold weather I'm worried about burst pipes, if I exchange before xmas and then complete in Jan who would be liable for the burst pipes?

not sure who would be liable but suggest you indicate to your solicitor that before the transaction completes, you give the property a final once over to check that all is in order.

Just one other thought will I still pay the new vat increase whether I exchange in dec or jan?
thanks

not sure on this also but I would think you would be looking at 20% payable given that your transaction will be completing in January.

I have answered your questions as best I can above. Regards. Flat Eric.

loveabargin

thank you flat eric for your post. I'm off to the solicitors today so hopefully he'll tell me that my searches are back then exchange this week and complete in Jan.