Moving home can be one of life's most stressful events but, for those re-locating from England or Wales to Scotland, the separate jurisdictions can create a further challenge making it feel almost impossible to sell and buy in two countries simultaneously. Our team is here to help you do just that.
Below sets out some of the earliest differences and considerations in the transaction and answers some of the frequently asked questions we receive.
What to do when I find a property I want to make an offer on?
Buyers in England and Wales will be experienced in instructing a solicitor after their offer has been accepted on a property and therefore negotiating their offer directly with an estate agent. However, in Scotland, buyers should instruct their solicitor firm from the outset because a solicitor firm will make all offers and formal notes of interest.
In Scotland, as soon as you find a property you like, you should let us know so we can make the necessary enquiries (included but not limited to finding out the level of interest in the property and how long it has been on the market) and obtain a copy of the Home Report (see below). Once you are satisfied you want to proceed your solicitor will make an offer on your behalf.
Whilst you are considering making an offer you may wish to “note your interest”. A note of interest does not oblige you to offer on the property but simply indicates your interest in the property and the possibility that you might make an offer. If there are two or more parties formally interested in the property a “closing date” for offers may be set. Should that be the case, we’ll be able to talk you through that process and how that may impact any offer you’d like to make for the property.
Home Report versus Home Buyer Survey.
The Home Report in Scotland is a document telling you more about the house by way of a (1) single survey and valuation; (2) property questionnaire completed by the seller; and (3) an energy report (EPC). It is prepared and paid for by the seller and valid for three months. Similarly to the home buyer survey, the single survey and valuation is prepared by a chartered surveyor and provides information about the house and its condition allowing you to assess from the outset whether the potential work is feasible, requires further investigation or, if the property is right for you.
We will discuss the terms of the Home Report with you before submitting your offer so you can consider whether you want to make your offer conditional on any additional surveys such as a roofing report or a timber damp report. Buyers can therefore make an offer without being subject to a survey or having to pay the costs for one.
What information does my buyer need to know about me?
As is the case in England and Wales, when submitting your offer we will need to confirm your position by letting the seller know whether you’re subject to finance and/or sale with the latter creating logistical questions and potential stress for would-be buyers.
One of the distinct differences between the two systems is the timescales involved. In England and Wales it can take a minimum of 14-16 weeks to complete the purchase from the date your offer has been accepted whereas, in Scotland, it can be as little as 6 weeks.
Given the procedural differences in jurisdictions and the added complexity of differing timescales, some sellers in Scotland may be reluctant to sell their property to someone subject to sale in England and Wales. The preference may be for their purchasers to have “concluded missives” or “exchanged contracts” (i.e., have a contractually binding contract in place to sell the property) but if not, to be under offer at least. Buyers in both jurisdictions should therefore be mindful of and consider the possibility of marketing their property before finding somewhere else to buy to ensure their offer is as attractive as possible.
Our team’s experience indicates that sellers in Scotland are reassured and more inclined to consider an offer from someone selling in England and Wales when we are instructed in both the sale in England or Wales and the purchase in Scotland. Our team can explain to the various parties involved what stage we are at in the equivalent jurisdiction and provide indicative timescales for progression ensuring the chain remain confident in the full chain.
Am I contractually bound to buy the property when I offer?
One of the greatest misconceptions about the buying process in Scotland is that once your offer is accepted in principle, you are contractually bound to buy the property, which is not the case.
If/when your offer is accepted a number of days thereafter, the seller’s solicitor will usually issue a qualified (written) acceptance. The acceptance sets out the conditions for accepting the offer and will sometimes provide more information about the property too. In almost all cases you will not be contractually bound to purchase the property when the qualified acceptance is issued and will only be bound once missives conclude.
Those relocating from England and Wales can therefore be rest assured knowing they will not be contractually bound to buy in Scotland before being contractually bound to selling in England and Wales.
If you would like to discuss relocating from England or Wales to Scotland or vice versa, please contact us on 03330 430150 or email Alex adawson@thorntons-law.co.uk or Steven sdrake@thorntons-law.co.uk.
