House selling question

[spikeyhead]

The sale of my place is proceding steadily. The purchasor has asked if they can start work on the place after paying the deposit but before completion.

Are there any issues with this?

[tobster]

What happens if the chain collapses and they can't complete on the sale ?

[Simpo Two]

If the work is going to make it better, like a leaking roof, I don't see a problem. But if he wants to paint the lounge lime green, I'd have to say 'Oi, Buyer, No!!

[tobster]

Have you asked your estate agent what they suggest ? I would guess they would advise you not to allow any work to be undertaken before completion.

[spikeyhead]

tobster said:

Have you asked your estate agent what they suggest ? I would guess they would advise you not to allow any work to be undertaken before completion.

It was through the estate agent that the question was asked

[Flip Martian]

Its not all done and dusted until completion takes place. Definite no. Anything could happen.

[thesyn]

Think about it for a minute
I'd keep it as it is now until he actually moves in

[JezHill]

You need your buyer to sign a declaration drawn up by your solicitor to cover time of day work is done, keys, insurance to cover damage, leaving tools on site etc etc. Much better for you to go for completion very soon after exchange instead.

[Manks]

spikeyhead said:

The sale of my place is proceding steadily. The purchasor has asked if they can start work on the place after paying the deposit but before completion.

Are there any issues with this?

Not uncommon. Your solicitor will get them to sign a "key undertaking" setting out the terms. They will be responsible for insurance, council tax, energy etc etc. Can be worthwhile to you as the seller and it might close the deal in a tricky market at a decent price. Bear in mind that they are saving mortgage costs during this period, so might be worth tapping them up for a bit extra in consideration of your cooperation.

[Nollub]

I would be very careful. I have just moved house and even though we had all exchanged contracts up and down the whole chain the person at the bottom of the chain had his mortgage offer withdrawn 24 hours before completion; but I was only told about it at midday on the day of completion.

All my possessions were on the furniture pantechnicon by then and following advice from my solicitor we had to leave them loaded and put them in storage the next day in case the chain was able to complete as I would need to give vacant possession. As it happens the chain breaker did get his mortgage five or six days later so I had to spend 6 nights in a hotel, pay the removers unloading, storage, reloading and redelivery plus hotel and other costs all of which are being claimed from the person who was unable to finance his new home.

This one did work out in the end but if he had not been able to raise funds the chain would have broken so if you let work proceed and the worst does happen you would need to be able to sort out the ensuing mess.

[Wings]

spikeyhead said:

It was through the estate agent that the question was asked

Then your answer must be "NO", since the same hopefully will help to speed the sale along.

[Steffan]

Flip Martian said:

Its not all done and dusted until completion takes place. Definite no. Anything could happen.

That is the correct legal position.

I have known non completion after exchange but very rarely indeed.

But it does happen. Caution should be the best approach.