Buying a house without an estate agent

NoNameNoNumber

NoNameNoNumber

NoNameNoNumber

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We are buying a house from my inlaws.
They have already moved on, bought their new house outright and therefore the house we are buying is vacant.

We currently own our house with no mortgage.
We need to mortgage ~50% LTV on the new property move into it, and then sell ours to give the inlaws the other half of their money. We are buying it for the full amount it was valued at by several estate agents. Ergo, no gift of equity.

We have the mortgage decision in principle for more than required (to cover a few modifications to the house and redecorate etc)

Do we instruct a solicitor? Or do they? Perhaps we both need a separate solicitor to negate a conflict of interest? Idk.

Basically. What is our next step?

We are aware we will be hit with 2nd home stamp duty, but will be able to claim it back on the completion of the sale of our house.

Also, assumed we will be having a survey carried out to satisfy the bank.

Cheers guys.
 
You need to instruct a solicitor to handle the purchase and they need to instruct a solicitor to handle the sale - basically each party needs an independent legal representative.

You need to make your formal mortgage application now - the bank will instruct a mortgage valuation survey as part of the application. Given the LTV there is a chance this will be via a desktop/remote method although there is every chance it will be a physical inspection also.

should you wish for a more in depth survey then you can instruct a level 2 or 3 survey - a homebuyers or a full building survey. One is more detailed than the other and it really depends on the state of the place etc as to which you choose.
Should you choose a homebuyers level 2 survey then usually the same surveyor that carries out the valuation report will be able to do that at the same time. Just ask your bank.

should you wish to instruct a full building survey then this is often done via an independent local
Company OR a surveyor from the same company that carries out the mortgage valuation.

All banks subcontract their survey work to companies such as Esurv, countrywide, shepherds etc - unless it’s HSBC who use their own in house surveyors.
The end result is the same.
 
Hi Fastwunz.
Thank you for the reply, that's cleared that up then.

When looking for a solicitor, are any better than others? Does it matter?
No idea what to look for and Google has plenty of options for conveyancing solicitors.
 
Its bread and butter work for a Solicitor. I'd suggest you just use a local one to the area you are buying the property as they will know the local issues to check for - and those that are completely irrelevant.
 
fastwunz said:
You need to instruct a solicitor to handle the purchase and they need to instruct a solicitor to handle the sale - basically each party needs an independent legal representative.

You need to make your formal mortgage application now - the bank will instruct a mortgage valuation survey as part of the application. Given the LTV there is a chance this will be via a desktop/remote method although there is every chance it will be a physical inspection also.

should you wish for a more in depth survey then you can instruct a level 2 or 3 survey - a homebuyers or a full building survey. One is more detailed than the other and it really depends on the state of the place etc as to which you choose.
Should you choose a homebuyers level 2 survey then usually the same surveyor that carries out the valuation report will be able to do that at the same time. Just ask your bank.

should you wish to instruct a full building survey then this is often done via an independent local
Company OR a surveyor from the same company that carries out the mortgage valuation.

All banks subcontract their survey work to companies such as Esurv, countrywide, shepherds etc - unless it’s HSBC who use their own in house surveyors.
The end result is the same.
Click to expand...

This right here. Am going through the same thing right now with no EA.
 
fastwunz said:
You need to instruct a solicitor to handle the purchase and they need to instruct a solicitor to handle the sale - basically each party needs an independent legal representative.
Click to expand...

I'd be curious, in situations like this, is it not possible to do it yourself?

I would imagine a lot of the costs would be around searches etc, but i assume the OP knows the property history etc and therefore those things wouldn't be required.
 
montymint said:
iirc it's not that simple when you need to involve the banks re: mortages.
Click to expand...


Technically, for the transfer of ownership, we don't.
The in laws have discussed gifting the property. Then we pay them the cash raised from the sale of our current house, and we remortgage our new property to around 40-50%LTV to give them the rest.
They're seeking professional advice though to see what tax, inheritance, stamp duty implications that may incur.
 
NoNameNoNumber said:
Technically, for the transfer of ownership, we don't.
The in laws have discussed gifting the property. Then we pay them the cash raised from the sale of our current house, and we remortgage our new property to around 40-50%LTV to give them the rest.
They're seeking professional advice though to see what tax, inheritance, stamp duty implications that may incur.
Click to expand...
If you pay the tax for them, it might be less than how much you'd pay in interest (although don't know if that's strictly legal, although I don't see the issue if the taxman gets his cut).

Just reading that story, how long do you have to be out the house for it to get sold without you noticing an estate agent wandering round :confused:, surely they must have done that to get pictures.
 
NoNameNoNumber said:
Exactly the kind of discussion my wife and I have had.
Click to expand...

try getting the other sides solicitor to accept that!!! Never in a million years would I be happy to go through the legal process of buying/selling without the knowledge of a completely independent and fully accountable legal representative for the other side. On your bike. Don’t cheap out on the process.
 
fastwunz said:
try getting the other sides solicitor to accept that!!! Never in a million years would I be happy to go through the legal process of buying/selling without the knowledge of a completely independent and fully accountable legal representative for the other side. On your bike. Don’t cheap out on the process.
Click to expand...

Yeah, but his family are the other side, so they can just complete the forms together.
 
theone8181 said:
If you pay the tax for them, it might be less than how much you'd pay in interest (although don't know if that's strictly legal, although I don't see the issue if the taxman gets his cut).

Just reading that story, how long do you have to be out the house for it to get sold without you noticing an estate agent wandering round :confused:, surely they must have done that to get pictures.
Click to expand...
possibly someone was selling a similar house maybe on the same street and they just copied the details photos etc...hell of a shock
 
UPDATE; we have been advised by 2 different conveyancing solicitors that the best way is for the in-laws to gift us the house, we get the deeds and move in. We remortgage once we have the deeds, (I've spoken with Santander who we have a Decision in Principle with and they're cool)
The only real rush is to get the mortgage taken out ASAP with rates looking to rise. This way we would avoid paying stamp duty and the in laws will still be able to claim their rebate.
All this can be dealt with in house at just one solicitors thus saving on legal fees too!
 
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