Stage 3 - Completion

Completion (also known as closing) is the final stage of buying a property when the vendor is paid the balance of the property price and the title deeds are handed over, transferring ownership to you. It’s a good idea to try to arrange the completion for early in the week in case there are any problems, which can usually be sorted out the next day; anyone arranging to complete on a Friday may need to wait until the following Monday.

Finance

The balance of the price must be transferred to your solicitor's bank account before completion day or paid by banker's draft on the day of completion. When the final payment has been made, the deeds to the property will be handed over to your solicitor, including the conveyance or transfer of ownership. Your solicitor will also receive the keys.

Final Checks

Property is sold subject to the condition that it's in at the time of completion, so you should make sure that you're aware of anything that may have happened between the date of the exchange of contracts and completion, such as flood or storm damage. If you're buying through an estate agent they should accompany you to the property at this point to make the final checks.

You should also do a final inventory immediately before completion to make sure that the vendor has left in place everything they were supposed to, such as carpets, curtains, period features, light fittings or kitchen appliances, and that (if applicable) they're in good working order.

If you do find that anything is damaged or missing, you should make a note and insist on immediate compensation such as a suitable reduction in the amount to be paid. As this will be difficult (or even impossible) to resolve later, you should refuse to go through with the completion until the matter is settled.

What Happens Next

Your ownership must be registered at the Land Registry (the government body that records the ownership of land) and you must pay Stamp Duty Land Tax - your conveyancer will arrange both of these. Stamp Duty is a government tax levied as a percentage of the purchase price on all purchases of property valued at more than £120,000. Currently this varies between 1% for houses worth over £120,000 - up to 4% for houses valued over £500,000.

Your solicitor will also send the title deeds to your mortgage lender who holds them as security until the loan is paid off or the property is sold. They will then send you a completion statement listing all the transactions that have taken place, along with their final bill.