Solicitor asking for 10% of deposit

heytoki

Hello all,

i have received the contract from my solicitor and he asked me to sign it and return to him. Also, he is asking me to transfer the 10% deposit. However, i haven't received the management pack and they are waiting for the search results and confirmation on major works and accounts.

Shall i wait for these results before signing anything?

Thanks

G_M

I would sign and return the contract so he has it ready. Remember to read/check it carefully first.

Exchange may still be some weeks away though.

Make sure he has the 10% deposit in good time for Exchange (a couple of days before), but it need not be sent now. It is worth thinking through how you will send it and how long that will take though, so you are ready (eg CHAPS, internet bank transfer - check limits, cheque - consider clearance time)

heytoki

So basically, it is just to have everything ready? What happens then if the searches come back and there is a major work planned in the building that hasnt been paid for? Do i still have the option of re-negotiate the sale price despite signing the contract?

Surrey_EA

heytoki wrote: »

So basically, it is just to have everything ready? What happens then if the searches come back and there is a major work planned in the building that hasnt been paid for? Do i still have the option of re-negotiate the sale price despite signing the contract?

In short, yes.

Your solicitor won't exchange, or commit you to anything, until you are completely ready to go ahead, and instruct them to do so.

G_M

Signing does not commit you. You could sign it and keep it at home. Your conveyancer will keep it, just as you could, until you are ready to Exchange with the seller. Only then are you legally commited.

Annie1960

I tried a test payment of £1 via my online bank account to my solicitor, so I had more confidence in the system when I had to transfer larger amounts.

Also, check if there are daily limits your bank will allow you to transfer. HSBC allows me to transfer £10,000 per day. Any more than this I have to split over different days, or make an appointment in the branch for them to send it.