By producing a set of heads of terms, it helps to identify the needs of all parties to a property transaction. They highlights any issues that will determine how to structure the transaction before legal costs are incurred. If all the deal-making decisions have already been decided, they can often help to speed up the drafting process of legal documentation. Heads of terms are usually stated to be ‘subject to contract’. They are not legally binding and are only used as a way to set out the fundamental conditions of the transaction.