If you are considering purchasing a commercial property there are a number of key steps your solicitor will need to undertake as the transaction progresses:
- Instructing a solicitor when agreeing Heads of Terms.
If the transaction is complex, please contact us at an early stage to advise on the Heads of Terms before agreeing these with an agent.
Once we receive a copy of the Heads of Terms, we will confirm instructions with you and arrange for a file to be opened. We usually require two forms of ID from each party, or relevant company information. For existing clients, our file opening procedures require ID to be updated annually.
- Obtaining a valuation from a surveyor/valuer to confirm the market value of the property.
We will review the valuation along with the registered title and raise any additional enquiries as necessary. We will also raise commercial property standard enquiries with the seller and enquiries on any searches which have been undertaken.
- Whether you will be buying with cash or obtaining a mortgage.
If you are using a mortgage to purchase the property, we will receive paperwork from the bank. If the bank uses third party solicitors, we will deal with their enquiries and requirements. If we are also instructed by the bank, we will prepare our report to them.
- Whether you have an estimated timescale for completion.
Timescales for completion also depend on how much the documents need negotiating – this can take many weeks! We will draft and agree the transfer deed and agree the sale contract which is prepared by the seller’s solicitor.
During negotiation of the documents, we will be preparing our property report to you. This involves reviewing all the paperwork and search results, summarising each document, providing instructions on how to sign the documents, preparing the Stamp Duty Land Tax Return and drafting a completion statement to show how much money is needed from you to complete the purchase.
We will keep you updated throughout the transaction on timescales.
- Whether you want to exchange and complete on the same day.
Many purchases exchange and complete simultaneously, but exchange of contracts is when the transaction becomes legally binding, and a completion date is agreed. If completion does not occur on the date specified in the exchanged contract, you could lose your deposit and may be liable to pay compensation to the seller.
If you are considering purchasing a commercial property, please contact our Commercial Property department by emailing firstname.lastname@example.org or calling 0116 289 7000.
Categorised in: Commercial Property, NewsTags: Commercial Property