The search reveals matters such as whether there are any planning proposals, notices, or local financial charges affecting the property. Sometimes the parties are ready to exchange contracts before the local authority has replied. In these circumstances you will be advised to take out local search indemnity insurance. Other searches may be needed, depending on the location of the property. After signature, and subject to getting a mortgage offer from your bank or building society, contracts will be exchanged with the seller s solicitors.
Exchange of contracts commits the parties to the sale at an agreed price, on a specified date.
A date is negotiated that hopefully suits both sides. You will be charged a penalty if you are not ready to complete on that date. If you are taking out a mortgage your bank or building society may require improvements to the property before completion takes place. Arrangements must be agreed with the sellers solicitor before exchange of contracts. Buildings insurance should be obtained, commencing from the exchange of contracts.