Introductory Chapter- Introduction To Freehold Property Transactions Flashcards

1
Q

What matters must a buyer’s solicitor consider?

A
  • Seller’s right to sell the property
  • Whether the property benefits from any rights
  • Whether the property is subject to any third party rights
  • Will the buyer be able to use the property for the intended purpose
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What are the aims of a seller?

A
  • Realise funds from the sale and repay any mortgage
  • Effect a legal transfer
  • Prepare a contract which accurately reflects the terms
  • Ensure that business requirements are met
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What are the aims of the buyer?

A
  • Ensure that the seller has the correct title
  • Ensure that the contract is accurate
  • Ensure that the physical condition is sufficient
  • Rights which the property benefits from
  • Identify third party rights
  • Ensure there are sufficient funds
  • Ensure the property meets business requirements
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

When do the parties become bound?

A

When they exchange contracts

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What happens at the exchange of contracts?

A

Parties become legally bound
Deposit paid
Date for completion is fixed

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Jobs for the sellers solicitor

A
  • Takes instructions
  • Obtain details of title
  • Draft contract for sale
  • Deals with pre-contract enquiries
  • Supplies Energy Performance Certificate
  • Receives the deposit and exchanges contracts
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Jobs for the buyers solicitor

A
  • Takes instructions
  • Carries out pre-contract searches and raises with pre-contract enquiries
  • Checks sellers title
  • Ensures buyer has adequate funds
  • Approves draft contract
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Jobs for the seller between exchange of contract and completion

A
  • Obtain confirmation about amount left on mortgage
  • Approves transfer and arranges execution
  • Replies to the Completion Information and Undertakings form
  • Receives purchase monies
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Jobs for the buyer between exchange of contract and completion

A
  • Draft the transfer
  • Send the Completion Information and Undertakings Form
  • Requests mortgage funds
  • Requests balance of purchase price plus costs of transaction
  • Carries out pre-completion searches
  • Arranges execution of the Transfer
  • Sends balance to seller
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Jobs for the seller following completion

A
  • Reports completion to seller
  • Sends the signed, dated transfer w/ deeds
  • Pays off any lender -Sends form of discharge
  • Passes on purchase monies
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Jobs for the buyer following completion

A
  • Reports completion
  • Receives transfer
  • Sends Stamp Duty Land Tax to HMRC
  • Registers discharge of mortgage and new mortgage
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What is an issue for a buyer?

A
  • Something comes to light which restricts the right of the buyer to deal with the property as they wish
  • Buyer retains liability for the seller’s actions
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Under s52 LPA 1925 what does a transfer of an interest in land need?

A

A deed

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What do sales of unregistered land need?

A

Deed of conveyance

  • Name seller
  • Name buyer
  • Set out tenure of the property
  • Price of property
  • Describe land being sold
How well did you know this?
1
Not at all
2
3
4
5
Perfectly