8 weeks between exchange and completion?

gtat

Hello,

We are in the process of buying a one bedroom leasehold flat in London. The sellers would like 7-8 weeks between exchange and completion. Is this a problem? The completion date is fine for us in theory, but many things I have read suggest 7 days to 4 weeks between the two is the norm!

Many thanks.

G_M

'the norm' does not mean it always has to be.

You can exchange/Comlete on the same day. Or 8 (or more) weeks apart. Whatever you agree.

Just make sure if you are getting a mortgage that your offer does not expire.

Dan-Dan

A lot can happen in 8 weeks......

G_M

Dan-Dan wrote: »

A lot can happen in 8 weeks......

No idea what this means. Once you've Exchanged there's a binding contract.

I suppose Dan-Dan means you'd have time to

* arrange removal van
* arrange time off work
* order new curtains/carpets etc
* get mother-in-law to start knitting bedcovers
etc

Kynthia

You may have more difficulty with getting buildings insurance but ss you are buying leasehold that's unlikely to affect you.

Dan-Dan

G_M wrote: »

No idea what this means. Once you've Exchanged there's a binding contract.

I suppose Dan-Dan means you'd have time to

* arrange removal van
* arrange time off work
* order new curtains/carpets etc
* get mother-in-law to start knitting bedcovers
etc

I meant it as that , like you say , lots of time to get things organised , but i know from experience , that once a home becomes a house , i.e once vendor has exchanged but not moved out , the house can quickly descend into an absolute pit , and in that respect , 8 weeks is a long time!

eddddy

If you're happy with 8 weeks that's fine. Or you can propose a shorter timescale.

To satisfy your curiosity, you could ask the EA (or vendor) why the vendors want a relatively long period.

It could be work commitments, up-coming life events, holiday booked, complex move (e.g. abroad).... etc

pinkteapot

We had two months between exchange and completion, because the chain was ready to exchange but various parties couldn't complete on certain dates.

While shorter timescales are more average, there's no real problem with a longer gap. We also had a long gap on our last purchase.

It's actually quite nice - you've got ages to sort out removal, order new furniture that you need, etc. I think we had five different companies deliver on the day after completion because I'd had ample time to get them all organised!

[EDIT: Just noticed you're buying leasehold so the paragraph below isn't relevant to you, but will leave it in for the benefit of future readers considering long exchange/completion]

The one tricky thing you'll find is insurance. As buyer, you have to get buildings insurance from exchange. You tell the insurer that you won't be living there yet as its insurance from exchange. They're used to that. However, some standard insurers I spoke to for quotes had computer systems that couldn't handle exchange to completion being more than two weeks, so they refused to quote. We had to go with quite a high-end insurer to find one who would cover us for that long, so our insurance for that first year was expensive. We switched at renewal.

As others say though, the choice of completion date is a negotiation between all parties in a chain. It's certainly worth asking why they want such a long gap, and seeing if you can negotiate a completion date that's sooner.

Brown_Eyed_Girl

Mine will be a month between the two so that the tenants in the property can be given notice, they are already looking for somewhere new, and so that I can be confident I wont give notice and then be homeless.

All depends on the situation

Dan-Dan

Brown_Eyed_Girl wrote: »

Mine will be a month between the two so that the tenants in the property can be given notice, they are already looking for somewhere new, and so that I can be confident I wont give notice and then be homeless.

All depends on the situation

Your solicitor wont (or shouldnt) exchange without promise of vacant possesion

What happens if these tenants cant find a home they want and or like and decide to stay on?

Kynthia

Brown_Eyed_Girl wrote: »

Mine will be a month between the two so that the tenants in the property can be given notice, they are already looking for somewhere new, and so that I can be confident I wont give notice and then be homeless.

All depends on the situation

Please do not under any circumstances exchange until the tenants have left. What if they don't move out for any reason? You'll be forced to complete or be in breach of your contract. So then you'll be a landlord and possibly in breach of your mortgage terms (which is probably a residential mortgage and requires vacant posession) so they may withdraw your mortgage offer. It could create a whole legal mess for you.