MOVING HOUSE - FREQUENTLY ASKED QUESTIONS

House prices are falling and it’s still as tough as ever to get a mortgage, and with increasing uncertainty in the market if you’re buying or selling your house, the need to make sure you’ve got every legal base covered has never been more important. Get it wrong, and you could end up losing thousands of pounds and ruining your dream move.

Here, Carole Fox, head of residential property at Rothera Dowson, answers the five most common questions that she gets asked by clients.

Is the boundary on the right mine?

This is not a black and white issue, and the only way to be totally sure is to undertake a detailed inspection of the deeds. They will either say which boundary is yours, usually by reference to a plan, or they won’t say anything. If they say nothing, then the assumption is that the responsibility for that boundary will be split between you and your neighbour. Contrary to popular belief, there is no rule that the boundary on the right is yours - it depends entirely on the deeds.

Do I really need a survey if the lender is doing one?

It’s unusual for the lender to carry out a survey. They generally just perform a valuation to make sure the house is worth enough to cover their mortgage. They are doing it for themselves - not for you. In some cases, the valuer may pick up obvious problems but he is there to value the property, not to act as a surveyor. A survey is far more in-depth, and will reveal any problems with the house. It’s far better to have a survey undertaken than to try and save money, only to find when you move into the house that it has problems that will cost you thousands of pounds to repair.

What is a party wall? What do I need to do if I want to do any work on or near a party wall?

A party wall is a commonly shared wall between two properties. If you have a party wall then you have to comply with the law when you want to do work, which could impact on your next door neighbour. In order to comply with the law, you need to check whether or not it falls within the regulations as to whether you have to notify your neighbour of any work you are planning. If you don’t so this, and your neighbour complains, then you could find yourself in hot water.

What is the difference between exchange of contracts and completion?

Whether you are buying or selling a house, the point at which you exchange contracts is the moment you are committed to the deal. At this point you have to honour the deal or lose any money you have paid as a deposit. Completion is the day when money changes hands and all the keys are handed over.

What is the difference between freehold and leasehold?

In general, houses are normally freehold, whilst flats or apartments are leasehold. If you own the freehold then you own the whole of the property and are completely responsible for its upkeep. If you own a leasehold you are likely to be in a shared property where the roof and main structure are maintained by the person that owns the freehold. They usually charge to do this and they will arrange the buildings insurance. The lease will normally be for a limited term, sometimes 125 years - sometimes 999 years, but at the end of that term, the property goes back to the person who owns the freehold.

For more information take a look at our conveyancing factsheets or call Carole Fox on 0800 124 4012.