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| 1. |
The vendor puts his property on the market and the purchaser inspects the property. |
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| 2. |
If the purchaser considers the property to be satisfactory, the vendor and the purchaser reach agreement on the basic terms for the sale and purchase of the property (for example, the price and completion date). |
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| 3. |
The vendor and the purchaser sign a provisional agreement for sale and purchase. The purchaser pays the vendor an initial deposit (which is usually 3%-5% of the price). |
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| 4. |
Both parties appoint their respective solicitors. The vendor's solicitors prepare a draft formal agreement for sale and purchase, and send the same to the purchaser's solicitors for their approval. |
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| 5. |
Solicitors for the respective parties agree to the terms of the formal agreement. The purchaser signs the formal agreement, and at the same time pays the further deposit (which together with the initial deposit usually amounts to 10% of the price) |
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| 6. |
The vendor's solicitors arrange for the vendor to sign the formal agreement and release the further deposit to the vendor or hold such deposit as stakeholders in accordance with the terms and conditions of the formal agreement. |
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| 7. |
.If the purchaser's solicitors are satisfied with the vendor's title to the property, the purchaser's solicitors will arrange for the purchaser to execute the assignment, mortgage deed and other relevant documents one or two days prior to the completion date. The purchaser will have to pay the balance of the price. |
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| 8. |
The vendor's solicitors will arrange for the vendor to execute the assignment on the completion date and release the net balance of the price to the vendor. |
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| 9. |
The vendor's solicitors will release to the purchaser's solicitors the keys to the property. |
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| 10. |
After receipt of the assignment, the purchaser's solicitors will arrange for stamping of the assignment. Thereafter, the purchaser's solicitors will register the release or discharge and the assignment at the Land Registry
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| 11. |
End of procedure |
