It is common that buyers have to sell their current home before they buy a new property. This may leave you wondering:
Can I sign a contract to buy before I enter into a contract to sell and vice-versa?
It is necessary for either contract to be made subject to your sale or purchase, but you can enter into one contract before the other.
What if my sale does not go through, will I be locked in to buy?
Provided your purchase contract is subject to the successful completion of your sale, then “No”.
My bank wants both my sale and my purchase to settle on the same day, is that possible?
To ensure a stress-free transaction, we suggest you:
Advise the sales agent or agents (if there is more than one involved) that you are both selling and buying and that each transaction will be dependent on the completion of the other; and
Before signing any contract, have your solicitor review the contracts on your behalf and ensure the necessary special conditions are included.
The agent or agents will ensure all parties to the sale and purchase are informed of how the contracts will be reliant on each other and your solicitor will ensure the timeframes under both contracts and the special conditions leave you protected throughout each stage of your conveyance.