Completion day marks the final step in the home-buying process, signifying the transfer of property ownership from the seller to the buyer.
It’s certainly a day to celebrate. After all, there are few things in life more exciting than receiving the keys to your new home!
To guide you through what to expect on completion day, read our guide below:
What happens on completion day?
Completion day isn’t just a busy day for the buyer and seller, but also for their solicitors. This day is spent reviewing paperwork and preparing completion statements. Key steps include:
Mortgage Check – Your solicitor makes sure that mortgage conditions are met. They will also request funds from your lender.
Redemption Certificate – The redemption certificate applies to the property being sold and shows how much of a mortgage has been paid off. The seller’s solicitor will ask for this document.
Completion Statements – The completion statement shows all payments made and received. These statements will be prepared on completion day.
Payment Settlement – If there are any outstanding payments, these will need to be sorted out before completion can occur.
Funds Transfer – Funds are transferred to the seller’s solicitor. Before this can happen though, both solicitors must first give their approval. Please note that if the funds have not been approved before 4pm, completion will be postponed to the next day.
Confirmation and Key Release – Once the funds have been transferred and this transaction is confirmed, completion is announced. You should then be allowed to collect the keys to your new property from your estate agent.
Vacant Property – At the very latest, the previous owner of your new home should have vacated by the morning of completion day. You can now move in!
What Time Does Contract Exchange Occur?
The exchange of contracts typically occurs between seven and 28 days before completion. This exchange is not bound to a specific time but often takes place around midday on a weekday. This step consolidates the legal binding of the sale, with set completion dates and penalties if either party backs out after the exchange.
What Time Can You Receive Keys on Completion Day?
Money transfer normally occurs between midday and 2pm on completion day. Things can go wrong however, so bear in mind that this is not guaranteed. However, once both solicitors confirm the funds’ transfer, you can collect the keys from your estate agent and move into your new place.
Property Chains and Key Collection Timing
In a property chain, key collection timing is influenced by your position within the chain. If you are a first-time buyer, starting the chain, you can expect to receive keys earlier, while those selling without buying come last. If you are selling and buying simultaneously, you will be in the middle of the property. However, be warned that delays in any part of the chain can affect everyone downstream.
Tips for a Smooth Completion Day
Given the intricacies involved, thorough planning must be done if completion day is to go smoothly. Stay in touch with your solicitor, double-check your funds, and make sure you don’t lose your essential documents. Also, make sure that you are prepared for last-minute changes right up until the completion has taken place.
If you are contemplating a move, book a free valuation with us today. We would be delighted to give you an up-to-date and accurate estimate of your home’s current value.
Sourced from zoopla
