What Does Exchange of Contracts Mean and What Happens After?

What does carrying out an exchange of contracts mean?

The exchange of contracts – often referred to as the “exchange” - involves you and the developer signing documents to state that you’re both committed to finalising your purchase.

You should always consult with an Independent Financial Advisor (IFA) to help you to secure your mortgage. Once you’ve decided to buy, get in touch with your solicitor.

The exchange will be carried out by your solicitor (acting on your behalf) and the developer. Your solicitor will give you a lot of notice before the date of the exchange, so you have enough time to get your funds in order.

It’s worth noting that many banks have a limit on how much they will let you transfer in one day so don’t risk waiting till the last minute to make the transfer.

Once the exchange is complete, your house deposit will be due.

Is the new build completion process straightforward?

In many ways, the completion process for a new build is much easier than that of a second-hand property.
• Being able to reserve a property – means that you can remove it from the market by simply paying a fee, without having to make a formal offer to purchase or worrying about higher offers coming in.
• There’s no buyer chain – meaning you don’t need to wait for a seller to move out of their home before you can move in.
• You’re protected by a property warranty – meaning you can rely on any issues being taken care of for you rather than worrying about your surveyor missing an expensive fix, as would be the case with an older home.

Are you ready to make your decision? Come and visit our Bloor show homes and chat to our team to learn more about our process. If you’ve seen a home you like, why not make an appointment to discuss it? Make your move today, and step into a Bloor Home with confidence.