Buying property - closing date.

[BK2]

Hi,

I wonder if anyone would have an opinion on this. We have just bought a house and I sold my apartment. my apartment was due to close last money but there was trouble drawing down the funds so should close tommorrow/thursday. Meanwhile I exchanged contracts on the new house. I was put under huge pressure from the vendors from the start about signing. I signing 10 days after receiving contract and received back the contracts on the 7th of March (three weeks after I signed) with a closing date of 20th March - I said that I wanted closing date to change to 7th of April on Contract so I would not be liable for interest should the matter not close on the 20th. I have been told by the Auctioneer that his clients need the exact date of close and want me to move in on 20th March, we are trying to close everything for that date also but can't totally commit, he then said his clients needed 6 days notice from when I was in funds to complete before I could move in. I think this is very unreasonable as I will have funds and paying interest and paying their solicitor but can't move in for another week after that. Is this usual?

 

[mf1]

The closing date presumably was in the contract when you signed it?

If you now change it, it should be by way of agreement with your vendor. If you can't agree on a new closing date, then there will be a big bunfight, with everyone getting themselves all upset and creating loads of bad feeling. I find that either party in a transaction can be totally unreasonable - in these circumstances, it is often easier , for the sake of peace and to end a potential World War 3 episode to just give in.

March 20th is very tight particularly because of the Bank Holiday.

"he then said his clients needed 6 days notice from when I was in funds to complete before I could move in. I think this is very unreasonable as I will have funds and paying interest and paying their solicitor but can't move in for another week after that. Is this usual?"

I think he meant that rather than aiming blindly at a closing date, that the closing date should be 6 days after you are in funds. The closing date is the date that the purchaser pays the balance of funds due and the vendor hands over vacant possession of the property in exchange for the funds.

mf

 

[BK2]

The closing date on the contract is the 7th of April. They originally put 20th of March on the contract but it was changed.

They want to close out before that. I thought that the Auctioneer meant that rather than trying for an unreasonable closing date we would look at six days from drawdown but no he was very clear on the matter. His clients have two small children and will need 6 days from when all monies are paid to Solicitor before we can get out keys because they need to move there stuff. So is this reasonable? I am not confused on the matter as it was made very clear. Has anyone experienced this. As far as I am aware once the Solicitor receives funds that keys are released.

 

[mf1]

"His clients have two small children and will need 6 days from when all monies are paid to Solicitor before we can get out keys because they need to move there stuff. So is this reasonable?"

No. Unless it was specifically negotiated and there is a special condition in the Contract, they are not entitled to the closing funds unless they can give possession.

As advised, the closing date is the date that the purchaser pays the balance of funds due and the vendor hands over vacant possession of the property in exchange for the funds. Anything else is unusual.

mf