In simple terms, conveyance refers to the process of transferring a property’s legal title from a person to another. It may also refer to the process of granting an encumbrance. As such, it is a very useful tool in exchanging and completing contracts. Conveyancing involves the passage of both the equitable title and the legal title. In the UK, it takes place in three stages: before a contract is entered, before a contract is completed and after the contract has been completed. It is very risk in the modern era to purchase a property without a conveyor. Real property buyers are always encouraged to ensure that they obtain a marketable title. In so doing, they have to ensure that the person selling the property is the real owner. They also have to ensure that the seller has the discretion to sell the property.
Role of Conveyancing
Conveyancing plays a crucial role in the modern world. It is only through it that a buyer can be sure to secure the land’s title and the rights that run with it. If there are restrictions to that property, buyers are notified in advance. The land registration system encourages people to rely on the public records and through it, purchasers can be sure that they are getting a good title to the property in question.
In the United Kingdom, home buyers and sellers are encouraged to seek for a solicitor to handle the conveyancing for them. In the absence of a solicitor, then a licensed conveyancer can play that role of overseeing the contract. The solicitor and the licensed conveyancer have the discretion to employ an unqualified conveyance to oversee the process. Domestically, the conveyancing market is very competitive in terms of price. This is because of the availability of top conveyancing companies and solicitors offering the services. Important to note is the fact that one may decide to carry out conveyancing for themselves.
Generally, agreements do not legally bind parties until they exchange contracts. In UK, the buyer usually negotiates the price with the seller, after which they look for a solicitor or a licensed surveyor to oversee the transaction. Home buyers are greatly advised to seek the services of solicitors for a number of reasons. In knowing the legality of the title and its ownership, searches are carried out. This is something that only a solicitor can carry out.
After the search, the solicitor will then prepare a draft of the contractor. If both parties are comfortable with the solicitor in question, then they can go on and sign the contract. The parties also have the option of availing their own solicitors to oversee the process. If both parties agree with the contract, they complete the contract and the property is effectively transferred to the buyer from the seller.
Why home buyers and sellers need a conveyancer
It is important for a party to a contract have a solicitor. The unbinding nature of agreements when the contracts are not exchanged may present a lot of challenges for both parties. The parties may also not know of their contractual rights, hence putting them in problems. With a solicitor, they will get a chance to understand their rights from a legal perspective.