Legal kerb appeal – how sellers can prepare their property for conveyancing
You may be familiar with the concept of “kerb appeal” – making the most of a property’s visual appearance so that it makes a good first impression on prospective buyers – but have you heard of “legal kerb appeal”?
This may just be the best place for sellers to focus their attention in order to get the property sold swiftly and smoothly.
What is legal kerb appeal?
No doubt every property seller will go to great lengths to make their home look attractive to potential buyers who are coming to view. Once an offer has been accepted and a solicitor instructed, the conveyancing process starts in earnest. This is when the legal transfer of home ownership from the seller to the buyer takes place, leading up to contracts being exchanged and, ultimately, the sale being completed and the keys handed over.
Conveyancing is a lengthy and time-consuming administrative process that can take many weeks. Delays are often the result of missing paperwork or legal queries that need to be put right before the transaction can proceed. Legal kerb appeal refers to the presentation of the property in such a way as to make the conveyancing go as smoothly as possible. So why does this matter?
Providing information early
In a competitive market, a buyer who is choosing between two properties may prefer to go with the one where a solicitor has already been instructed and the paperwork is pre-prepared.
For the seller, the advantage of instructing a solicitor early is that the property’s strengths and weaknesses can be identified at an early stage, and advice can be given on how best to present the property. Any legal issues can be resolved in good time, while enquiries about known building defects, such as a history of subsidence, can be anticipated and an optimum response drafted.
Reassuring the buyer
Most home buyers have no legal training and rely on their solicitor to deal with the ins and outs of the property transaction. However, misconceptions often arise and you wouldn’t want to run the risk of putting off a buyer because of an unfounded fear on their part or an easily addressed legal problem.
Providing information upfront means that potential issues won’t be a surprise down the line. When it comes to buying property, surprises are usually not a good thing. For instance, if the property is sold with less than 90 years remaining on the lease, it is sensible to let the buyer know early on. “Buyers are often wary of shorter leases, and a number of banks will not lend against leases under 85 years,” advises an expert in lease extensions.
The fewer worries a buyer has about a property, the more confident he will be about proceeding with the purchase – which is, after all, what we all want.
Avoiding unwanted delays
Property buyers and sellers are generally equally motivated to keep the conveyancing process on track, especially if there is a chain involved. Add to that the ongoing effects of Covid-19 on the disruption of the property market and you can see how everyone will be keen to just get on with it.
On the other hand, the longer the conveyancing takes, the more likely it is that the sale might fall through. The buyer may lose interest and have a change of heart, or find somewhere else to buy, or fancy his chances at renegotiating the price.
Dealing with issues early on makes it less likely that they will delay the process or prevent completion. For instance, if certificates for electrical work that was carried out in the home are missing, the sooner the contractor can be chased up or another electrician appointed to produce a condition report, the less time need be wasted later on.
How to improve the saleability of a property
Improving the legal kerb appeal of a property requires a bit of forethought and a pragmatic approach; it doesn’t have to be difficult.
Here are some top tips that every seller should bear in mind:
- Communicate, communicate, communicate
It is in the seller’s interest to keep the channels of communication open between all parties – the buyer, the estate agent and the solicitor. Proactive communication is key to make sure that both the agent and the solicitor are aware of any property issues, and both have the opportunity to suggest insights and solutions. That way, everyone can pull together as a team towards a successful outcome.
- Complete property information forms asap
The Seller’s Property Information Form (SPIF) can take hours to complete, but there’s no reason to wait to until a buyer is found. Fill in the forms TA6 and TA10 (fixtures and fittings) at the earliest opportunity and avoid unnecessary delays later and to help the solicitor to provide some context for identifying issues.
- Get the management pack now
Leaseholders need to provide the management information pack, which is available from the freeholder or managing agent on request. Sourcing the pack can take time, particularly when there is a high volume of property transactions, and it is a major reason for causing delays to leasehold transactions. This summer, many managing agents are experiencing backlogs due to the rush of activity at the end of the lockdown.
- Have important documents ready
Finally, now is the time to think forensically about any paperwork or evidence a buyer might need to see – from an annual boiler service certificate to planning permission and building control approval documents and more. Missing paperwork can often be addressed by offering to take out an indemnity insurance policy. However, sellers should note that contacting the local authority about an issue will render it impossible to obtain a policy.
Kindly shared by Annie Button
