Typical Timeframe between exchange and completion

coffeetime1526

Looking for some advice please. Currently selling our property and one potential buyer, currently renting has advised they’d need 2 months between exchange and completion as that’s their notice period.

Agent thinks this is standard now but this seems a high risk for everyone else involved? 2 months is a long time.

Can anyone who has recently bought or sold in this situation confirm if this kind of timeframe between the two is actually common now please?

When I moved from rented to buying I had to pay rent and mortgage overlap for a month but that was a long time ago now.

Ayr_Rage

The timeline is never fixed, if they need at least 2 months so be it.

gwynlas

It is up to individuals how long they agree the gap to be eg on new buillds people commit to purchase with a long end/none known completion date.

Once contracts exchanged buyer committed to losing deposit and any further costs if they should fail to complete.

It was fairly common for there to be a four week gap between exchange and completion so that removals could be booked etc but covid changed that. In some cases same day exchange completion became normalised or anything in between as solicitors need to call on lenders for release of funds..

Albermarle

Two months is not normal. I would insist on maximum a month, and they will just have to keep paying rent for another month. In any case it is often useful for buyers not to have to move in straightaway, as it gives a good opportunity for redecoration etc when you are not living there.

If they refuse to budge, you will have to decide what to do then.

ritz55

Norm would be 2 to 4 weeks, but tbh it doesn't really matter as all are in agreement. 2 Months gives everyone enough time to plan and book removals etc and knowing that should they not complete then they loose there 10% deposit so safer than not exchanging TBH.

subjecttocontract

I was under the impression that once exchange has happened the buyer becomes responsible for buildings insurance and there may be other quasi legal issues. Obviously that applies to everyone in the chain, some of whom may not be happy with 2 months, I wouldn't be.

Albermarle

https://forums.moneysavingexpert.com/discussion/comment/82128201#Comment_82128201

I think in general if something negative happens to the property between exchange and completion, it can cause a lot of disputes, whoever has insured it.

RelievedSheff

I certainly wouldn't be agreeing to 2 months.

When we moved in March this year we had a week between exchange and completion and that felt long enough!!

whaleroad

https://forums.moneysavingexpert.com/discussion/6682412/typical-timeframe-between-exchange-and-completion

This seems like something to negotiate with your buyer and the outcome will depend on whoever is in the strongest negotiating position. I'd expect to pay for up to a month of overlap but not two months.

The buyer will also be liable for double Council Tax on their "second home" in this overlap period in many local authorities. I think some areas will even charge treble. That's another cost that probably wasn't a factor when you did the same move.

Also remember it's not just two months from the day you give your notice, as your tenancy needs to end on the day your rent is due (or the day before). So depending where the exchange date and rent due date, that two months of overlap could be more like 11 weeks, so they are probably already factoring in some overlap. I'm a first-time buyer currently renting and if my vendor insisted on two weeks I'd walk away.

But if your buyer is ready to move, they may be able to negotiate a shorter notice period with their landlord - rented properties are in high demand and move quickly in many areas so you never know, they might have one of the reasonable ones.

sheramber

https://forums.moneysavingexpert.com/discussion/comment/82128411#Comment_82128411

At exchange of contracts the buyer is committed to buying at the completion date but is not the owner until then .

There name is not on the deeds.

They are not second home owners nor are they registered for council tax at that address, so no double or triple council tax.

In the app ‘s case it is the buyer who wants the two months between exchange and compensation, not the vendor.

whaleroad

https://forums.moneysavingexpert.com/discussion/comment/82128197#Comment_82128197

https://forums.moneysavingexpert.com/discussion/comment/82128596#Comment_82128596

https://forums.moneysavingexpert.com/discussion/comment/82128596#Comment_82128596

I'm well aware it's the buyer who wants the delay, nothing in my post says otherwise. That's the point. They don't want to complete while they're still serving the notice on their rented property, hence the request for delay.