How the right conveyancing solution can aid buy-to-let transactions

Published 9th September 2020

With the recently-announced stamp duty holiday in effect until March of next year, inquiries for UK residential properties up to £500,000 have skyrocketed almost overnight. Many United Kingdom residents have realised that opportunities to save on property purchases, as offered by favourable Land Tax Stamp Duty adjustments, only come around once in a while. It might be open season on residential properties in the UK at the moment, but we’re still in the age of COVID-19, which complicates things a bit. Here’s what you need to know about the conveyancing side of buy-to-let property transactions in 2020:

Buy-to-let conveyancing

There are many reasons
individuals enter into property purchases or sales: from wanting that perfect
family home they’ve always been dreaming of, to procuring investment properties
that can generate income through rentals. Buy-to-let conveyancing involves the legal transfer of property
ownership to someone who’s purpose behind buying the property is to let it to
tenants, and differs slightly from your run-of-the-mill transaction.

The role of the conveyancer

Buying an investment
property can be easy, painless, and done in a reasonable timeframe (if you have
the right conveyancing solicitor). If there’s no mortgage involved, property
buyers can arrange the legal requirements themselves – but it’s rather
difficult and time-consuming (not to mention frustrating if the council drags
their feet). Here’s how conveyancing solicitors can take the reins and help
ensure success:

• Once your
  offer is accepted, your instructed conveyancer will contact the property
  seller’s solicitor and request the contract pack,

• Your
  conveyancing solicitor then raising any concerns regarding the contract, and carries
  out all necessary inspections,

• A
  conveyancer should also make sure there are no restrictions on renting out the
  property, and they should advise you regarding any tax and environmental
  planning implications,

• If you’re
  buying with a mortgage, your solicitor will ensure that you are applied for a
  buy-to-let mortgage (not a regular residential mortgage),

• A
  completion date is agreed upon between the solicitors once contracts are
  exchanged, and your conveyancer will prepare a transfer deed,

• Your conveyancer
  then draws up a completion statement, carrying out any pre-completion searches
  and checks,

• On the day
  of transaction completion, your solicitor will transfer the funds to the
  seller’s solicitor, and send any stamp duty tax to HMRC,

• Finally,
  your conveyancing solicitor registers your new property in your name with the
  Land Registry, and that concludes the buy-to-let property transaction.

Choosing a buy-to-let conveyancer

Buy-to-let property
transactions are complicated at the best of times, but become even more
challenging when there is great uncertainty in the market (like during the
COVID-19 crisis). There hasn’t been a better time to buy a residential property
in the UK since the last stamp duty revisions in 2008, and with a confident
conveyancing solicitor at your side – you’re guaranteed a seamless, successful
property purchase.

Get a free purchase
conveyancing quote
from our expert team of experienced conveyancers at Home Legal Direct, and feel
free to call on us to handle your next buy-to-let property transaction!