UK Housing Market
Beat the Budget - How to sell property before 30 October –
advice from UK’s top property lawyer
The Labour Prime Minister Keir Starmer has warned that the 30 October Budget is “going to be painful” and “difficult to hear”. Changes to Capital Gains Tax and Inheritance Tax are expected and it is, says the law firm BDB Pitmans, impacting client behaviour; those with second homes or investment property looking to sell.
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Here, BDB Pitmans Partner Lorna du Sautoy, one of the UK’s leading residential property lawyers, explains how you can sell property to beat the Budget.
“Agents. Choose the right agents for the sale, ideally with a good reputation, local knowledge, and recent success in the area. They should also have an ‘off market’ network to help you find a buyer, and deal with a lot of the day-to-day communication to keep the transaction progressing.
“Pricing. Ensure the property is competitively priced to attract attention. Ask agents to interrogate whether or not prospective buyers are likely to be able to perform.
“Quality legal advice. “While it is tempting to seek discounted legal services bear in mind that using a firm of solicitors that offers technical expertise and a bespoke service will often garner better communication and faster results than a conveyancing platform at a lower price where you are one of many customers.
“Legal paperwork. Get your paperwork in order – instruct your solicitors to prepare an up-to-date sales pack containing all the relevant title documents, replies to preliminary enquiries and supporting documents as well as the draft contract.
“If you have carried out works to your property it will assist to have a full suite of the planning and building control approvals, construction warranties and guarantees and certificates. If you are selling a flat, order the management pack (containing the service charge and building management information) as soon as possible after putting the property on the market.
“Searches. Consider ordering the property searches in advance so that you can provide the results as part of this pack. Search results are typically valid from the buyer’s perspective for up to three months. You can also seek to recover the cost of these from your buyer on completion of the sale.
“Survey. If your buyer is obtaining a survey of the property ensure that the surveyor is given access as quickly as possible and that the turnaround for their report is within the agreed timeframe for exchange. Most surveyors are willing to provide a verbal “red flag” report within 24 hours with a full written report to follow within three to five days.
“Buyer motivation. When you receive an offer ensure that you know whether your buyer has instructed solicitors and cleared the compliance requirements to enable them to proceed and whether they are chain-free or have solid proof of available mortgage finance. This will ensure that you choose a buyer with no financing impediments.
“In addition, consider the motivation of prospective buyers and the reasons why they may be interested in your property. A buyer who believes that they have found their ‘forever home’ is much more focused than a developer who is simply looking for a new project.
“Chain. Consider moving to a rental property so that you are chain-free and able to vacate the property to complete the sale within a short timeframe.
“Fixed timing. Ensuring that all the parties are working towards an agreed timescale for exchange of contracts and completion from the outset will keep the momentum going. If you are fortunate enough to find yourself receiving multiple competing offers, ensure that your buyers are aware of this to keep them to timing.”
Lorna du Sautoy
