What will happen to our money?

Fay

We have decided (wisely or not) to move out next week and let our buyers move in, even though the house we want to buy still isn't sorted. We figured that in this market we didn't want to loose our buyers.

So what will happen to the 40k we are making on our property...will it be transfered from the solicitor to us or will they keep it? If they keep it, it could be 2 months before our house is ready (I have no idea how much interest that amount would get in 2 months) but what would happen to the interest?

We are seeing our solicitor tomorrow and I want to go armed with any facts that I can! So any help in this matter would be very gratefully received!

Debt_Free_Chick

Normally your solicitor will keep it in a special client account. You should get interest, but it will be taxed. Your solicitor should give you a finalisation statement, showing the interest added & a tax deduction certificate.

You can have the interest paid to you separately or ask your solicitor to offset it against their fee.

HTH

lisyloo

I don't see any reason why you can't ask your solicitor for the money back.
After all it's your money and you might be able to get a better rate elsewhere.

Fay

Cool, thanks for that Debt_Free_Chick its good to go in there knowing exactly what I am asking them to do. I am pretty sure after the service we have received from them that they wouldn't have offered us this information.

lisyloo-I dunno if it would be worth the money to get it transfered to us and then back to them for the sale?

Debt_Free_Chick

Fair point about having it back. But I'm not sure it's worth it. It'll take x days to get it to you; then you need to transfer it to your savings account; then you need to allow a week (at least?) to transfer it back to your solicitor to complete on your purchase

Check the rate of interest your solicitor will give you.

JanCee

Another point to remember is that solicitors usually use Chaps for transfers relating to house sales/purchases and these are charged at approx £25 per transfer.

Fay

Yeah I don't really think it will be worth getting the money back. We are hoping and praying and keeping everything crossed that our house will only take max a month after we move out.