Completion date

Gam2015

I’m currently in the process of selling my home and buying another. I’ve already had an offer accepted on mine and on the one I’m purchasing. I’m wondering can you pick your own completion day? Ideally i would like to complete on the purchase house say on the Friday and complete my sale on Monday would this be ok? As i could then move in over that weekend etc. thanks. 

GoogleMeNow

You can choose the completion date, but it does have to be agreed by all other parties in the chain and, when the solicitors have done all the conveyancing work.

Do you need the monies from your sale in order to purchase the new property?  If so, then you will need the sale and purchase to be completed on the same day.

Kat78MFW

How would you fund your purchase on the Friday if you don't get the money from your sale until the Monday? 

Gam2015

Kat78MFW said:

How would you fund your purchase on the Friday if you don't get the money from your sale until the Monday? 

I’m buying the new house with a separate deposit my current home doesn’t have a mortgage on it. 

Gam2015

GoogleMeNow said:

You can choose the completion date, but it does have to be agreed by all other parties in the chain and, when the solicitors have done all the conveyancing work.

Do you need the monies from your sale in order to purchase the new property?  If so, then you will need the sale and purchase to be completed on the same day.

I’ve got a separate deposit for the new purchase and mortgage. Would it still be best to complete them both on the same day? I think it will probably be then end of January time. 

Drawingaline

A separate deposit, or you have the whole amount to fund the new house on the bank right now? If you need any funds that are tied up in your current house you will need to complete on sale and purchase on the same day. 

If you have the full 400k (say your new house costs this amount) Inthe bank now then yes you could leave a gap.

Gam2015

Drawingaline said:

A separate deposit, or you have the whole amount to fund the new house on the bank right now? If you need any funds that are tied up in your current house you will need to complete on sale and purchase on the same day. 

If you have the full 400k (say your new house costs this amount) Inthe bank now then yes you could leave a gap.

Yes I don’t need any money out of current house it is owned outright so i have deposit and mortgage arranged for new house in place. 

canaldumidi

If you can buy the new place entirely from a new mortgage and your savings, then of course you can buy it separately to your sale. Whether you sell the next Monday, a week later, a month, or even a year later does not affect your purchase except in terms of SDLT.

By owning 2 properties, you may have to pay the additional 3% 2nd property SDLT.

However I believe if you delay paying the SDLT (you have 30 days), then provided you've sold by the time you pay HMRC for the SDLT, you don't have to pay the extra 3%.

Check and discuss with your purchasing conveyancer, as they will presumaby be completing the SDLT form for you so need to know the details....

Gam2015

canaldumidi said:

If you can buy the new place entirely from a new mortgage and your savings, then of course you can buy it separately to your sale. Whether you sell the next Monday, a week later, a month, or even a year later does not affect your purchase except in terms of SDLT.

By owning 2 properties, you may have to pay the additional 3% 2nd property SDLT.

However I believe if you delay paying the SDLT (you have 30 days), then provided you've sold by the time you pay HMRC for the SDLT, you don't have to pay the extra 3%.

Check and discuss with your purchasing conveyancer, as they will presumaby be completing the SDLT form for you so need to know the details....

Ok thanks for that i did wonder about the SDLT but i had factored it in on my costs just incase. 

canaldumidi

Even if you have topay the extra 3%, if you sell the other house within 3 years you can reclaim it.

theoretica

Your buyers and sellers will presumably have their own preferred completion days too - and any chains they are in.  So you alone do not get to pick the days - but you can request and negotiate.

One thing to look out for is if your buyer wants to exchange and complete on the same day there is the possibility the sale will fall through at the very last minute after your purchase.  If this would be a crisis for you you might want to try to negotiate for the exchange of contracts for both purchase and sale to be on the same day, even though the completion is different.