Exchange and Completion on the same day

Johnhowell

Many thanks,
John

Johnhowell

chappers wrote: »

I wouldn't worry about this at all in fact providing your buyer has all the funds in place there really is no reason to have a gap between exchange and completion

Chappers,

Just received a text from the purchaser, stating that he is short by £500 for the exchange/completion this Friday! He is trying the rustle up the money. I remember the EA describing them as a cash buyer! Lo and behold, a mortgage is required and he is still short!

Is this a ploy to reduce the price? I remember work colleagues having this happen to them, but they had the exchange of contract to cover them.

What would happen on Friday? He sells his place to the Housing Association (he has already moved out to his partners rented accommodation), but stalls the purchase of mine? I think he mentioned the other weekend that they have the rented property until the 10 February - so he only has the weekend.

John.

chappers

Tell him to borrow the money from somewhere else or possibly split the exchange and completion, you could exchange on friday and set a completion date for a week or so, to give him time to get the cash together.
At exchange he only has to find the deposit, but is still legally bound to buy, as are you to sell.At this point set a completion date and if he can't meet this get your solicitor to issue a notice to complete this then gives him 10 days to complete and if he fails to do that you can walk away and he loses his deposit, and you can sue for any extra costs.
a bit drastic but splitting the exchange and completion will see what he is upto.

Johnhowell

Chappers,

Thank you for your reply. I have informed my solicitor, he has heard nothing from the purchasers solicitor regarding the short fall.

Is it not the purchasers solicitors job to confirm monies are in place for the completion?

John

Johnhowell

All completed 13:00 today - hoorah!

John

HugoSP

Nice one.

We have exchanged and completed in the same day 3 times now.

Our current solicitor doesn't like doing this though with one house we bought we had to strike quickly because of legal issues and a probelatic ex husband of the vendor.

space_rider

Well done John. The person that purchased mine did that trick but her shortfall was £5000! Thankfully like you she found the money and completed a week later.

chappers

well done with all that wedge in the bank drinks are on you!!
I'm sure it can be very tense exchanging and completing on the same day as your purchaser or vendor can pull out at any time. Mind you exchanging and only handing over a deposit puts you in a legally binding position and if anything goes wrong inbetween that can be equally stessful