Step 4 - Requisitions, discharge of mortgage and transfer
The purchaser's conveyancer will submit a set of requisitions ie questions about the property and the title to the property, and these will be answered by us on your behalf.
We will arrange for you to sign a discharge of mortgage authority which your bank will need before they will commence preparation of a discharge of mortgage. We will send this discharge of mortgage to your bank on your behalf and provide them with confirmation of the settlement date.The purchaser's conveyancer prepares the transfer and we arrange for this to be signed by you and properly witnessed.
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Step 5 - Settlement figures: cheque directions and settlement booking
The usual time for settlement is four to six weeks.The purchaser's conveyancer prepares the transfer document which we then arrange to be signed by you and properly witnessed. The transfer is then held by us until settlement takes place.
Prior to settlement we will receive from the purchaser's conveyancer a settlement adjustment sheet. We will check the settlement figures which will include any adjustments for outgoings eg council rates, water rates. We will then prepare a direction as to payment of the settlement moneys.
Please be sure to advise us if you pay any outgoings prior to settlement eg a rates notice. If any outgoings are in arrears, cheques will be drawn from the settlement moneys to pay the outstanding charges. If any outgoings are paid in advance by you, then you will be reimbursed in the settlement adjustments.
The direction of cheques to be paid will be prepared on your instructions however they will include payment of your mortgage, payment of any outstanding outgoings such as council and water, and payment of our tax invoice.
The agent's commission for selling your property must also be paid at settlement and this is usually paid out of the deposit that the agent is holding in their trust account.
A booking for settlement is made with the purchaser's conveyancer and your bank. This booking means that a time and venue are set for settlement.Prior to settlement you should:
• make arrangements for a removalist to be available so that vacant possession of the property is available for settlement (unless the property is tenanted. On the date of settlement you receive payment for the property and you must have vacant possession available for the purchaser's
• notify your electricity provider of the settlement date so that the meter can be read
• maintain insurance of the property until settlement has taken place. The risk of damage to the property is the seller's risk until settlement has taken place – unless the purchaser has moved into the property prior to settlement
• notify Key2 Conveyancing of your post-settlement address and contact details
• arrange a redirection of your mail
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Step 6 - Settlement
Key2 Conveyancing will attend settlement on the date and time appointed.
If there is a mortgage on the property, your bank will attend settlement, In return for a cheque for the amount of the payout figure, your bank will release to - us the property title documents – usually a title deed and discharge of mortgage - which we will hand it to the purchaser's conveyancer together with the signed and witnessed transfer document.
In return for the title documents, we receive settlement cheques – in the form of bank cheques. Any surplus settlement moneys are banked in accordance with your instructions and cheque for outgoings are remitted to the appropriate authorities.
We also receive from the purchaser's conveyancer, an order on the agent, which is an authority addressed to the selling agent, authorising them to release the deposit to you and to account for their commission on sale. When the selling agent receives this order, they are also authorised to release keys for the property to the purchaser – where applicable.This completes the settlement process. We will then account to you in our settlement correspondence.
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