Providing the same details
Added to this is the fact that you have to give the same information time after time. Why can’t they all just talk to each other?
Trust us, they’re not trying to annoy you at a stressful time. They are separately regulated and the law makes them each independently liable if something goes wrong. So they must take responsibility for their own checks, without relying on someone else’s. The legal guidance on this is very clear.
Fraud
In 2014 a company, Dreamvar, thought they were buying a property from a seller. Unknown to them, the seller was a fraudster who had got the driving and TV licence of the true owner and had them certified by a solicitor. It was only after the buyers had transferred the money for the property that they found they had been conned and the money was gone.
Sadly, this case is not unique.
ID Documents
A bit of planning goes a long way when buying property. Being prepared increases your chances of a smooth, quick transaction. It’s worth being aware of these checks in advance and getting the documents that you need at the start.
You will need:
Proof of ID, such as a passport or driving licence. A full list of official ID documents is available from the UK government.
Proof of your current address, such as a driving licence, bank statement, or utility bill (not more than three months’ old). A full list of proof of address documents is available on the GOV.UK website.
- I've heard before that conveyancing, or the process anyway, of buying or selling a house is one of the most stressful life events that you'll experience.
- I think one thing to remember about all of this process is
that it involves people. And people are different, which is a good thing. And everybody will have a different set of expectations and different requirements.
Try and speak to your conveyancer or solicitor from the outset. The conveyancer or solicitor should set expectations. Anybody acting in a transaction, and this is the joy of using a solicitor or a conveyancer, there should be a set proceed timeframe agreed, if you like, to deal with things, et cetera.
Communication is key, and getting the trust between the solicitor, conveyancer, and the client because they can guide you through the process, and they can make your life a lot easier.
Every client is different, but the majority want it to go through as quickly as possible. When we act on a transaction, we not only act for the client, but we also act for the lender as well.
And the lender, every single lender that we have, and there's hundreds of them, and they all have different requirements, so it's very difficult to juggle what the client wants to happen and what the lender wants as well.
Checklist
A bit of planning goes a long way when buying property. Being prepared increases your chances of a smooth, quick transaction. It’s worth being aware of these checks in advance and getting the documents that you need at the start.
You will need:
- Proof of ID, such as a passport or driving licence. A full list of official ID documents is available from the UK government.
- Proof of your current address, such as a driving licence, bank statement, or utility bill (not more than three months’ old). A full list of proof of address documents is available on the GOV.UK website.
- Proof of where your funding has come from. This could be your last three months’ payslips, a P60 from your employer, or a tax return and other documents if you are self-employed.
You can get more details about the documents you will need from the Money Helper site. If some or all of your funding is coming from inheritance, you will need proof from the executors of the estate. If you have money coming from your family, you will need them to confirm that the money is a gift and that they have no rights over the property.
Remember, checking this information is a legal requirement to help keep you and your money safe. Failing to provide it will only slow down the transaction, so best to be prepared.
Prove where your deposit comes from
As well as being able to prove you are who you say you are, you also have to show where the funds for your purchase came from. This could be your last three months’ payslips, a P60 from your employer, or a tax return and other documents if you are self-employed
Your funds could also come from the sale of another property, savings, an inheritance or a gift from family or friends. Whatever the source, you have to prove where it came from.
For example, if part of your deposit is a gift, the person giving you the money will have to show how they got it. So, where the ‘Bank of Mum and Dad’ is often a big contributor in house purchases, parents will need to confirm the amount of the gift and how they got the money.
You can get more details about the documents you will need from the Money Helper site. If some or all of your funding is coming from inheritance, you will need proof from the executors of the estate. If you have money coming from your family, you will need them to confirm that the money is a gift and that they have no rights over the property.
Remember, checking this information is a legal requirement to help keep you and your money safe. Failing to provide it will only slow down the transaction, so best to be prepared.