When buying or selling a house, there is plenty to keep track of. Whether it’s the processes to work through, paperwork to complete or terms like ‘no onward chain’ to learn. For first time or inexperienced buyers, the moving process can become overwhelming. My Conveyancing Specialist are here to make your life simple throughout the entire process.
So what does ‘No Onward Chain’ actually mean? A property that is described with no onward chain, means the seller is advertising their property as being sold without a chain. It is an alternative phrase that means that a seller is looking to sell the property but not immediately purchase another within the same transaction.
Whilst this may satisfy the query for some buyers, you may still have questions surrounding the topic of properties with no onward chain. In this article, you’ll discover everything you need to know about no chain properties. You’ll be equipped with all the knowledge to get on the property market with confidence.
What is a property sold with no onward chain?
If you are looking for a new home, you’ve likely seen property listings that advertise their property with no onward chain. As previously mentioned, this term is an alternative phrase for a property with no chain. However, what does this actually mean if you were to purchase this property?
Properties advertised with no chain are being sold by owners who have no intention to purchase a property within the same transaction. A property chain typically start with a first-time buyer or a party who is not selling a property within their transaction. There may then be a series of buyers who are also selling their property with the intention of moving house. The chain will end with a property that is being advertised as no onward chain. The homeowners are selling their property, but not buying another at the same time.
The simplest chain would involve a first time or purchase only buyer and property with no onward chain. This involves one property, a single buyer and a single seller. Many transactions aren’t this simple, however. Being involved in a chain means you have to rely on others to complete their sale and purchase process. This means when you discover a property with no onward chain, there are plenty of benefits to look into its purchase.
Why Buy A Home With No Onward Chain?
Many buyers favour purchasing properties with no onward chain. Whilst at first, the term may sound confusing, it is very simple to understand the benefits.
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Lower Risk
For buyers involved in a chain, there are several components of the transaction that are entirely out of your control. The buyers purchasing your property must sell their existing property. The sellers of the property you are interested in must find and complete the purchase of another property. At any point in the transaction, delays and errors can seriously hinder the security of your exchange. In a worst-case scenario, if a party drops out of the transaction, the entire chain could fall apart.
Purchasing a property with no onward chain gives you a sense of control and lowers the risk of your transaction falling through. The main concern when purchasing a property with no chain is that the seller changes their mind and pulls out of the transaction. Otherwise, the main risk would likely occur from the buyers purchasing your property.
Relieving this pressure creates a far more relaxing purchase process. As a buyer, you can build your excitement towards the new property.
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Faster Transaction
Whilst the same processes must occur throughout your purchase, properties with no onward chain offer the convenience of a far more efficient transaction. During a property transaction, there are several legal processes that allow for the official exchange of property. This stage is known as conveyancing. The checks and disbursements made during this period must be completed by a licensed conveyancing solicitor.
Throughout the conveyancing process, your solicitor will complete several checks of the property, its owners and your financial position. This information will take a number of weeks or months to gather. Delays in the process can occur for several reasons and add varying amounts of time before completion can occur.
For properties within a chain, each individual property that is purchased faces this same conveyancing process with its own allocated solicitor. This means that checks and assessments are being made simultaneously, working towards the same end goal of completion. Delays during conveyancing can occur at several places in the chain. These can build up and create huge gaps in time. You could be waiting for documents to be transferred or results to be received.
The benefit of purchasing a property with no onward chain is that these delays are far less likely on the purchase side of your chain. Whilst your solicitor must complete the conveyancing process, the seller is not purchasing another property. This means when your conveyancing is complete, the entire transaction can agree on the completion date.
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Less stress
Along with each of the reasons previously mentioned, purchasing a property with no onward chain can be far less stressful than large chain transactions. Whilst you won’t be able to control the other parties in your chain, less pressure and fear associated with delays and breakdowns creates a far more relaxed experience.
Buying a property is likely one of the largest financial transactions you will ever conduct. We would recommend that, regardless of whether there is an onward chain or not, you seek professional guidance from an experienced and licensed conveyancing solicitor. No matter how difficult your exchange is, a good conveyancer can hold the process together. This will accelerate your transaction and reassure you along the way.
How to find a professional conveyancer to handle your no onward chain purchase?
For the most efficient property transaction, purchasing a house with no onward chain can be an incredible opportunity for low risk, fast and efficient exchange. However, to fully benefit from the experience, working with a proficient solicitor can make a huge difference. Working alongside a professional who can complete a transaction to a high standard will ensure you have a simple exchange.
My Conveyancing Specialist is an online provider of expert conveyancers. Experience an affordable, efficient and simple approach to conveyancing. Complete our free online quote form to experience hassle-free conveyancing for your no onward chain purchase.