Legal Jargon

An EPC should be produced by the Seller or Landlord whenever a property is built and prior to a property being sold or rented.

The questions asked by the buyer’s lawyer to the seller’s lawyer to clarify aspects of the legal title and search results.

A search to check for any indication that the property may be affected by contamination, flooding, ground stability or other environmental factors.

The difference between the value of a residential property and the amount owed on any mortgage(s) (also known as a Legal Charge). If the owners have a mortgage of £100k on a property valued at £300k, they have £200k equity.

The formal exchange of the two identical copies of the contract when the seller and buyer in a property transaction become legally bound to complete the transaction on an agreed date for an agreed price, and the deposit is paid.

The person or persons appointed in a will to deal with the administration of a deceased person’s estate. This could involve dealing with the deceased’s bank account, selling properties and distributing money to the beneficiaries named in the will.

Documents that establish ownership and confirm the owner’s title to the property.

A legally binding agreement that allows you to defer or delay paying some of the costs of your care until a later date. Usually in the form of a legal charge against your property.

An initial payment made by a person or entity entering into contract to purchase as asset or property. The deposit is usually required to secure the contract to supply / sell. In the context of a residential property sale, the deposit, usually 10% of the purchase price, is the amount to be paid by the buyer to the seller on exchange of contracts as security to ensure the transaction goes ahead. If the buyer subsequently withdraws from the contract, the deposit may be forfeit. It is possible to negotiate the payment of a lower sum, but the 10% will become due should the transaction not complete.

Any expenditure or costs that your solicitor incurs on your behalf and are payable to a third party (for example the Court, Tribunal, Land Registry or independent expert).