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What happens after completion of Conveyance

Conveyancing work of solicitors extends way after completion of conveyance. What happens after completion of conveyance is as important and cumbersome as the conveyance itself. The buyer never feels the pressure. What the buyer has to do after property purchase is organising how he will start dwelling in his new homes. Meanwhile, the solicitor will be finishing off the house buying process by filing various forms and generally having his client comfortably settled in the new house. The specific details of what solicitors do after conveyance are different and are dependent to a large extent on the nature of ownership of the property that has been purchased.

Solicitors do a lot more in commonhold and leasehold properties than in freehold properties. This process is true both before and after conveyance. Leasehold and Commonhold properties require a lot of research and documentation. All research end at the termination of conveyance. Documentation continues long after conveyance.

One of the documents that have to be in order is the land tax return. The government imposes a tax on any property purchase. The amount of tax charged depends on whether the property is residential or non-residential and also on the value of the property. Tax charged on non-residential properties is higher than that for residential properties. A land tax return is charged on the sale of freehold properties, leasehold properties, shared ownership properties and even properties whose ownership has been transferred from one person to the other without the new owner making payments. It is the solicitor's job to organise payment of land tax return. The tax must be paid for within and no later than thirty days after completion of conveyance. It is paid to the Revenues and Customs office. The buyer is not obliged to pay land tax return if the property value is less than a stipulated threshold. He must, however, file stamp duty and land tax return to the H M Revenue & Customs. Those who buy more than one property at the same time may also pay fewer taxes by claiming relief.

The landlord of a leaseholder may want the new owner to be served a notice of assignment. A solicitor notifies the freeholder that you are the new owner of the lease. The landlord may charge for the notice of assignment. The amount charged is usually indicated in the lease. This exchange occurs after completion of conveyance. Mortgage lenders have made the notice of assignment an absolute requirement. Because the notice of assignment is one of the items in a lease, it has to be obtained. Registration of property cannot be affected until all the elements in the lease are complied with.

The most important thing that a solicitor will do after completion of conveyancing is having the property registered in the name of the new owner. Registration is done at the Land Registry. Property transaction is null and void until the property is duly registered. The new buyer cannot sell an unregistered property. If anyone else sells the property, the new owner will have little grounds for claiming liability. Property registration assures mortgage lenders security of their loans.

Immediately after conveyance, the balance of house sale is sent to the seller’s solicitor. The seller’s solicitor organizes how this money can be transferred to his client.

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