1.8 Freehold Estates - Completion

Question 1

What is completion?

Answer 1

S > Vacant possession, deeds, keys > B

B > Balance of purchase price > S

Registered land
- B registers at Land Registry => Legal estate transfers to B

Unregistered land
- Conveyance/Assignment => Legal estate transfers to B

Question 2

What is required for completion?

Answer 2

Final date stipulated in agreement

• 2pm on day of completion
• Otherwise overdue > Daily interest payments required

England & Wales (S’s solicitor’s office)

Bank transfer > Payment

If chain of transactions > Must be synchronised (completion on same day)

In person/By agent/By post

Properly execute deed

• Completion date included
• W signatories
• Company execution (Sealed/Unsealed + signed/2 authorised signatories)

Question 3

What is required for deeds towards unregistered lands?

Answer 3

Part sale

• S retains deeds
• B/Agent inspects deeds, title abstract/epitome, mark up copy deeds to confirm inspection

Leaseholds
- Inspect last receipt for rent

Question 4

What is required for postal completion?

Answer 4

Recommended
- UNLESS conflict + overrides party rights and obligations

Expressly stated > Non-protocol cases

S’s solicitor > Completion deeds + docs > B’s solicitor

S’s solicitor

• Reply to requisitions (at least 5 working days before completion)
• Confirm appointment and authorisation to receive mortgage monies for redemption

B’s solicitor
- Instruct S’s solicitor as unpaid agent for completion

Question 5

What is required for discharge of Seller’s mortgage?

Answer 5

Parties agree to discharge S’s mortgages

Sale proceeds > Redemption
- Lender instructs S to handle redemption

Lender NOT yet paid

• Enforcement by undertaking
• Ensure actual redemption at same time as completion
• Ensure S’s solicitor as agent of S’s lender

Electronic discharge
- E-DS1 replaces DS1 (UNLESS discharging part of land)

Question 6

What happens at completion?

Answer 6

S receives;

• Full monies + apportionments
• NOT cash

Buyer must NOT commit money laundering (if NOT using bank transfer)