Deposit and Contract Questions

tea4one

Registered User
Messages
21
Hi Folks,
I have a few questions about the mortgage process which someone may be able to help me with.

- When paying the deposit to your solicitor, who do you make the bank draft or cheque out to? Is it your solicitor (so he can lodge it and make an electronic transfer to the sellers solicitor) or the sellers solicitor or even the sellers themselves?

- I believe that when you "sign contracts" the sale is then legally binding. However as far as I can see, it is initially only legally binding for the purchaser as the purchasers signs two copies of the contract and these copies are then forwarded to the seller for signing. If this forwarding process takes a week, then I presume the seller could theoretically back out of the sale within that week with no implications but if the purchaser backs out then they can obviously lose their deposit. Is this interpretation correct?

Thanks.
 
I presume by deposit here you mean the 10% payable on the contract signing.
Its payable to your solicitors client account.
You are correct on part two.
In the current market there is a lot os messing, a client of mine was messed about for 10 weeks before the seller conceded that they had a better offer: they had actually sold it before telling my client.
The problem here was that my client's deposit was locked up.
 
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