Guide to Buying
Buying your home will probably be the single most important financial decision you will make. The Complex processes leading to that purchase can seem daunting. We aim to make the purchase of a property as simple as possible.
How much can I afford?
Your first step on the road to buying your home must be to identify how much you can afford. Arrange a meeting with you bank manager or a reputable mortgage lender. You will need to explain your income and financial commitments so ensure that you have details to hand for that meeting. Remember that over and above the price of the house you will need to pay the bank’s fees, legal fees, stamp duty and other costs such as surveyor’s fees. Make enquiry as to those costs.
Choosing the right property
Clearly there are some basic requirements such as the number of bedrooms, a garage and perhaps a garden which will determine whether you wish to purchase a property. There are many other reasons which may make a particular property the right one for you. Inspect each property carefully, ask to have second or third visits if necessary. Visit at different times of the day to see how different sunlight or levels of traffic affect the property. Careful consideration will avoid disappointment and expense later.
A property never has a fixed price. Take your time when considering the offer you wish to put in. Add weight to your offer by confirming, where appropriate, that you have already engaged a lawyer and that your mortgage is approved in principle. If you are a cash purchaser with no chain of transactions attached to your offer this will be attractive to a person selling. Remember that your offer must be made ’subject to contract and survey’.
You will always need a survey of the property. The bank will require a valuation survey but if you obtain a full surveyor’s report this will give you peace of mind that there are no hidden horrors. Speak to a surveyor recommended by the bank or your lawyer and discuss with them the type of report you require. There are different ’levels’ of survey and consequently different costs.
Conveyencing is the legal work is the legal work involved in the transfer of the property from the vendor’s ownership to you. This is the principal park of the work that your lawyer will undertake for you. Buying a house can be stressful so it is important that you find an advocate, solicitor or conveyancer that you can trust and communicate with in language that you understand. Prices for conveyancing can vary, but as with everything in lift the cheapest is not necessarily the best.
The lawyers will receive from the vendor’s lawyer a draft contract of sale. They will check the terms of that contract and make a search at the Public Registry to verify title to the property. In the case of Share Transfer purchase they will also check the good standing of the company which holds the property. They will carry out a site visit to identify the boundaries at the property and make searches of the utility companies, the Parish and States Departments to ensure that all is in order. Once all the enquiries are complete they will meet with you to go through the terms of the purchase contract and complete the registration requirements for your mortgage. When all has been agreed you will be ready to complete your purchase.
The Jersey conveyancing process for a Freehold property ends with a contract being passed before the Royal Court. You are welcome to attend or one of the conveyancers can attend on your behalf. Many clients enjoy the tradition and colour of going to court to see the completion of their transaction.
Insurance & Wills
At the time of purchase your new home will need to be insured. Shop around for the best quote amongst the many providers. As a property owner it would be prudent to make a will. Discuss your proposals with your lawyer who will provide an affordable Will tailored to your specific wishes.