Agreement –
Another word for Contract (see below)
Auction –
This is where a property is bought at an
auction house. Once the gavel goes down
contracts are exchanged (see Exchange of
Contracts below).
Bankruptcy Search –
A search made by the conveyancer to check
whether a buyer or a borrower has been, is
or is about to be declared bankrupt.
Borrower –
The person taking out a loan or mortgage on
a property that they own, sometimes also
known as the Mortgagor
Boundaries –
The boundaries define the extent of the
property and are usually marked out on the
ground by fencing or hedging. Boundaries
are also often although not always shown on
the deeds plans.
Bridging Loan –
This is a loan taken out to “bridge” the gap
whilst waiting for the sale of a property or
the receipt of a mortgage.
Building Insurance –
Insurance taken out by the owner of the
property to insure the property against
risks such as fire, landslip etc. The
responsibility to insure the property often
passes to the buyer on exchange of
contracts. See our links page for Buildings
Insurance
Buyer –
This is the person that is buying the
Property, sometimes also known as the
Purchaser
Buy To Let –
This is where a buyer buys a property with
the intention of letting it out on a
commercial basis. There are usually
mortgages specific to this type of purchase
known as Buy to Let Mortgages
Caveat Emptor –
Literally means let the buyer beware. The
buyer is responsible for finding out the
condition of the property by survey and any
matters affecting the legal title to the
property by using a conveyancer to check the
title and carry out searches.
Chain –
These are the property buyers and sellers
that link together to make the
chain
for your particular sale or purchase. The
chain may consist of only two people i.e.
you as buyer and the person you are buying
from as seller or it may consist of several
buyers and sellers. The beginning of the
chain usually starts with a first time buyer
or a buyer with nothing to sell and the end
of the chain usually ends with a seller who
is buying a brand new home or who is not
buying another property. Your sale or
purchase can only proceed at the same pace
as every one in the chain. It is a bit like
being in a traffic jam.
Client –
The person who has asked the conveyancer to
act for them in legal matters.
Client Care Letter –
The conveyancer must send the client this
letter at the beginning of the transaction.
The letter must give clear details of what
work will be carried out, who will be doing
it, at what cost and the complaints
procedure of the firm. The client is
usually asked to sign and return one copy.
The conveyancer is not allowed to start work
for a client until the client confirms in
writing that they wish the conveyancer to do
so.
Coal Mining Search –
If the property is in an area designated as
a Coal Mining Area the conveyancer will
search to see whether there are any issues
which currently affect the property.
Completion Date
– This is the date when the purchase becomes
final and the Purchase Price is paid by the
buyer’s conveyancer and received by the
seller’s conveyancer. The seller must move
out of the property on this date. The keys
are released to the buyer and they may move
into the property.
