What are the steps involved in a property purchase transaction?
Pre-Market, Pre-Exchange, Exchange, Pre-Completion, Completion, Post-Completion.
How would you summarise the Pre-Market stage?
Appoint an estate agent, Get an EPC, Find a buyer.
What is included in the Pre-Exchange Stage? Can you remember the acronym?
ISIS COVID: Instructions from Clients (Buyer + Seller), Searches and Enquiries (B+S), Investigate Title (B), Survey (B), Contract Draft (S), Offer for mortgage (B), Valuation (B), Inspection (B), Deduce Title (S).
What is included in the Exchange Stage? What’s the acronym?
BRIBED: Beneficial Ownership passes (B), Risk passes (B), Insurance taken out (B), Binding Contact (B+S), Exchange Method?(B+S), Deposit is paid (B).
What follows the Exchange Stage?
Pre-Completion Stage.
What is included in the Pre-Completion Stage? What’s the acronym?
FORD CIRCUS: Financial Statement (S), Obtain Funds for Completion (B), Redemption Statement from existing lender (S), Deeds Signed - T, Completion Statement for Buyer (S), Inspection Pre-Completion, Requisition (B), Certificate of Title to Lender, Undertaking to discharge existing Mortgage (S), Searches (B).
What is in the completion Stage? What is the acronym?
DDD PPP: Date + Method of Completion, Date the Deeds (B+S), Documents send to B (S), Pay remaining price (B), Pay Estate Agent Commission (S), Possession Handover (B+S).
What are the post-completion tasks? What is the acronym?
PRET:
Proceeds Received by Seller
Registration Application
Existing Mortgage Discharged
TAX
What is the visual pneumonic reminder?
During the chaos of COVID, ISIS BRIBED Mr FORD at the CIRCUS who was caught in 3D (DDD) on a triple P (PPP) TAPE.
Which stage do each of these acronyms apply to? DDD PPP?
Completion.
Which stage do each of these acronyms apply to? PRET?
Post-Completion.
Which stage do each of these acronyms apply to? FORD CIRCUS?
Pre-Completion.
Which stage do each of these acronyms apply to? BRIBED?
Exchange.
Which stage do each of these acronyms apply to? ISIS COVID?
Pre-Exchange.
How would you explain the Law Society Conveyancing Protocol to a client?
It’s an established procedure for the transfer of residential property. It sets out step-by-step procedure that is to be used in leasehold and freehold transactions, and is applied in most cases. It includes: Standard Conditions of Sale, Law Society Forms (Fittings and Content), Formulae for Exchange, Code for Postal Completion. Helps speed up process, Gives Transparency and Efficiency - which is generally good for a buyer, but not always ideal for a seller.
