Buying a new property is a very exciting time whether you are a first-time buyer or a seasoned house purchaser.
One of the most important principles that buyers should bear in mind, particularly when viewing the property, is the principle of “buyer beware”. You are purchasing a house at your own risk and therefore you should satisfy yourself as to the suitability of what you are buying by examining the property. It is important for you as a buyer to find out everything you can about the property before legally committing yourself to buying it. To help satisfy this point it is recommended that you arrange for a survey to be carried out as well as instruct a legal professional to review the legal title and corresponding documents.
Property searches also play an important part. If you are buying with the aid of a mortgage then, it is usually the case, the lender requires that property searches are carried out. What are “Property searches”? These are completed by your solicitor who liaise with the local authority and other organisations to provide further information on the property. The mortgage compliant “bundle” of searches consists of, simplistically:
- Local search. This is provided by the local authority and is split into two parts. The local land charges register shows whether the property is a listed building or is otherwise subject to such restrictions such as a tree preservation order or being in a conservation area. The second part shows any planning or building regulation applications, if any enforcement action has been taken and if the property abuts a public highway.
- Water and Drainage search. This reveals if the property is connected to mains supply and drainage and if any pipes run through the property.
- Environmental Search. This reveals if the property is in an area with a history of flooding, contaminated land or ground subsidence amongst other things.
Other additional searches can also be carried out based on where the property is located and in accordance with your wishes.
If you are a cash buyer then there is no such requirement however it is still strongly recommended that buyers carry out such searches in order to obtain as much information about the property as possible. The Local Search, in particular, compliments any survey by giving a history of works and, as the case may be, highlighting through the survey what works have been carried out which may not have the correct sign off as there is no corresponding entry in the Local Search.
If upon inspection, you or the surveyor find any issues that need remedying then it is important that this is negotiated with the sellers before the exchange of contracts, whether this is an agreement for the seller to carry out remedial works or a negotiation in the purchase price of the property. This is because once contracts are exchanged, a completion date (moving day) is fixed and you are legally bound to complete on that date. In addition, on exchange, you are bound to buy the property in its then condition including any defects unless you have negotiated remedial works with the seller beforehand.
Upon moving into the property, if you then discover a fault, which would have been found by conducting a reasonable inspection or investigation of the property beforehand, which includes carrying out searches and a survey, you have no legal remedy against the seller.
Even carrying out checks such as making sure all the taps and sockets work and the toilets flush, when you initially view the property, will help potentially avoid aggravation later on!
This article was prepared by Katrina Skeels, a Solicitor at WBW Solicitors in Seaton. Should you have a Property matter that you wish to discuss with Katrina, please contact her by telephone on 01297 626957 or email at katrinaskeels@wbw.co.uk.
WBW Solicitors has offices in Axminster, Bovey Tracey, Brixham, Chard, Exeter, Exmouth, Honiton, Launceston, Newton Abbot, Paignton, Seaton, Sidmouth, and Torquay.
This article is for general information only and does not constitute legal or professional advice. Please note that the law may have changed since this article was published.
