Completion 

Completion is the day on which the balance of the purchase price is transferred to the seller’s conveyancer and ownership of the property passes to the buyer.

What happens on completion day?

Before completion, the buyer’s conveyancer will have received any mortgage advance and the balance required from the buyer.

On the day itself, the buyer’s conveyancer sends the completion money electronically to the seller’s conveyancer. In a property chain, the money usually moves from one transaction to the next, so completion times can vary. Delays are more common in longer chains.

Once the seller’s conveyancer has received the money, they confirm that completion has taken place and authorise the estate agent to release the keys to the buyer.

Keys are often available around lunchtime, but there is no guaranteed time unless the contract provides otherwise. Buyers should wait for confirmation from the estate agent or their conveyancer before travelling to collect them.

The seller must have left the property by the contractual completion time and should leave it in the condition required by the contract. Fixtures and fittings agreed as part of the sale should remain at the property.

Payments made by the seller’s conveyancer

After receiving the purchase money, the seller’s conveyancer will normally:

• repay the seller’s mortgage and any other secured loans;
• settle the estate agent’s account where authorised;
• deal with any service-charge or ground-rent adjustments;
• deduct the conveyancing fees and agreed expenses; and
• send the remaining sale proceeds to the seller.

The seller’s existing mortgage lender will arrange for its charge over the property to be removed from the Land Registry title.

After completion

The buyer’s conveyancer will deal with the post-completion formalities. These normally include:

• submitting the Stamp Duty Land Tax return and paying any tax due;
• applying to HM Land Registry to register the buyer as the new owner; and
• registering the buyer’s mortgage, where applicable.

The Stamp Duty Land Tax return and payment are usually required within 14 days of completion. The buyer’s conveyancer will normally collect the tax in advance and deal with the return and payment on the buyer’s behalf.

Registration at HM Land Registry may take place some time after the moving date. For most registered properties, ownership is recorded electronically in the title register. Original paper deeds are not normally handed to the buyer or retained by HM Land Registry.

Moving in

The buyer should take meter readings as soon as possible, preferably with date-stamped photographs, and contact the utility suppliers and local authority.

The seller should also retain final meter readings and provide a forwarding address where necessary. Buyers may wish to change the locks after moving in, as it is not always possible to know who has previously been given a set of keys.