Completion day - buyer not transferred funds.

[emmabrown123]

So we have finally got to completion day (it's been a looong saga!)

We are meant to be moving to our new house today and our buyer is expecting us to be out of the house for 2pm (I'm led to believe this is pretty standard practice?)

We have our van hired and friends sitting here waiting to go.

Have spoken to our solicitor this morning who is now saying the buyer hasn't released the funds yet (he's a cash buyer) and there is nothing we can do until he does. Seeing as he is pressuring us to be out for 2pm it seems a bit weird that he hasn't done this in advance.

Has anyone got any experience of this, or any idea how long this all might take. We only have friends around till afternoon time so need to get going ASAP!!

[JT05]

Sorry you are experiencing this problem at the final hurdle.
This has not happened to me, but completion date is usually part of the agreement at exchange. I think if there is a significant delay you can get some compensation for your extra expenses.

I'm sure someone with experience of this will be along to advise soon. Hope it sorts itself out soon.

[Needmoresleep]

Do NOT give him the keys or allow access till your solicitor confirms he has the funds. Warn the estate agent.

Others will know more by my understanding is that if he fails to complete he forfeits his deposit. Standard deposits are 10%, but in high value areas it is accepted that 5% is more practical. Sometimes there is an agreement to exchange and complete on the same day which means there is no deposits, but solicitors normally advise vendors not to allow this as then their clients have no protection.

[emmabrown123]

We exchanged a couple of weeks ago, I just feel like he's trying to make this as stressful a situation as possible. However I'm 37 weeks pregnant and have raging hormones!!!!

[cathyandclaire]

We didn't get the transfer through 'til well after 3. It was a long stressful day, had to buy the movers fish chips and beer to keep them going!

[BaronessEllaSaturday]

You are jumping the gun slightly. I would expect the transfer to occur much closer to the actual time he stated rather than first thing. Why not get your solicitor to contact his and ask what time they expect the funds to be transferred. There really is no reason to worry yet.

[Ireallydontseewhy]

I may be wrong but i think same day bank transfers of large amounts quite often don't come through until ?10am? ?12pm? - it wouldn't be done the day before because - not sure why actually! So hope you get the go ahead soon! If not, your sol will advise! Good luck with the move,

[MyKingdomForBrie]

I wouldn't expect monies to hit the client account by 10am, it's possible but not standard. As soon as they are recieved by you they will then (presumably) need to be sent to your seller so even though you will be leaving the old house you can't get into the new one yet! All happened by 2pm for us last move when nothing had happened by 12, so don't worry.

[DelphiniumBlue]

What does he mean by " buyer hasn't released funds yet?" Does he mean the buyers solicitor has received the funds from the buyer but hasn't sent them to your solicitor yet, ( for a reason??) Or does he mean that the buyer's solicitor hasn't got the money yet, which could potentially be more of a worry?
Ask the agents to speak to buyer direct to find out what's going on.

[emmabrown123]

We were told this morning the buyers solicitor doesn't have the money - that's what's a bit worrying! (It was our solicitor who told us this)

I thought expecting us to be out by 2pm was a bit unrealistic!! But the buyer stressed to us (via the EA) this is what needs to happen and what normally happens on completion day. He's an investment buyer with lots of properties so we just assumed this was correct.

Will try not to panic and at least get the van loaded!!

[Needmoresleep]

Agree with Delphinium. Its really not unusual for funds to arrive late. Or to be sitting round at 1.00pm feeling stressed waiting for some solicitor somewhere to get back from lunch before authorisation is given to transfer funds. It can be worse in a chain.

Dont worry. Its normal. But worth asking your solicitor or the agent to check that funds are available and ready to go. If the purchaser's solicitor is not sure when he will be getting them he will be wanting reassurancve every bit as much as you.

If they arrive late, the van simply puts stuff into storage and comes back when its all done. The removal men will have experience of this, and should be able to reassure you that even then things normally resolve themselves properly. .

[CotswoldStrife]

I've never received the money for the property I'm selling before lunchtime at the earliest, 2.00pm sounds a reasonable time to expect the formal handover to take place - subject to the funds being transferred. That bit sounds entirely normal.

I'd load up the van and be ready to go - apart from his solicitor not having the funds (which is strange, I'm sure we had to have ours in the day before to ensure a smooth handover) then I hope it all goes OK later on today. No money, no keys though!

[Needmoresleep]

Sorry cross post.

That sounds more worrying. Keep the EA in the picture. Dont release keys or allow access, and then look to your solicitor and the vendors solicitor to sort this out.

Were the funds needed to purchase something else. If so you should speak to that EA and suggest they speak directly to your solicitor to get an update. You wont get access to the next property till the monies come through.

[specialsubject]

Argh! As noted, it isn't his house until he pays, and no one should release keys until thgen. Doesn't stop you packing,although I appreciate that it possible it could be a waste of effort.

Buyers solicitor should have got the money from him by yesterday,very poor practice.

What to do?

• keep chasing
  
• organise storage and hotels as backup
  

Remember he owes you a lot of cash if he doesn't complete.

[Finola1step]

Keep packing, loading up the van, ready to go.

Keep your phone charged. Make sure you've got internet access. Keep in regular contact with your solicitor and EA.

All will be fine, fingers crossed.

[Finola1step]

Oh and under no circumstances hand over any keys until money has cleared.

[HoneyDragon]

Keep packing. Keep the keys. Keep the EA informed. Your buyers solicited will not be best pleased hopefully they'll do their jobs.

Happened to our neighbours, the buyers soliciter insisted their buyer compensate them for the six hour delay.

[toofarfromcivilisation]

Non-completion is something that only usually happens to a solicitor or Estate Agent once in their career, so be optimistic! On the other hand when I was an EA it happened three times! All but one were resolved within 48 without too much fallout. One was when the stupid lender to the first time buyer at the bottom of the chain didn't carry out bankruptcy checks at exchange & then found out prior to Completion that their client had been made bankrupt a couple of days before. That one didn't go through but everyone was very good & the house was re-sold to a cash underbidder within days who was able to use the FTB's conveyencing.

When my ex-inlaws moved my FIL died the day before completion. We illegally didn't say a word & it went through. There was no come back.

[toofarfromcivilisation]

I did let one set of our vendors stay at our house in one of the other cases! Just one night & we just all sat there with fish & chips! Money went through first thing but we knew it had been transferred & was just held up due to a massive bank computer error that affected the whole country.
Their solicitor sent me wine & flowers for that one!

[emmabrown123]

Thanks everyone. Feeling much calmer now. Getting the van packed (well DH and his mates are) and I'm following them round cleaning and hoovering after them.

Fingers crossed!!!

[Ifailed]

Hi OP, having sold recently, I understand the worry. However, be aware the 14:00 deadline is usually driven because CHAPS (inter-bank transfer system) guarantees same-day payment so long as the instructions are received by 2pm on a working day. Sometimes it goes through earlier, hence the confusion.

[takingthep]

I think its good practice to aim to be "out" by 12pm (this always slips as you are packing the last bits so 2pm is common!).

The house then remains yours until the funds transfer - so you wait to handover the keys

On various purchases the funds have arrived at between 1 and 3 pm.

There can be a lot of waiting round on moving day!

[HarryPottersMagicWand]

In our chain of 3, our cash buyer (and bottom of the chain) didn't send the money until 1pm! Cleared for completion at 2.20pm but it was very touch and go whether it was going to clear for our vendor in time. 4.20 is when it finally happened and I had to sit in the very apologetic EAs FOR 2 hours and we started making provisional plans as it was looking very likely that it wasn't going to happen. Thankfully it did but it was beyond stressful and a bloody nightmare!

I definitely wouldn't be worrying before 10pm!

[Lonecatwithkitten]

Did all go well are you in your new home?

[Scribblegirl]

We were due to complete on Wednesday but our bloody seller didn't send the completion statement for service charge apportionment until 3pm, so we sent the money but missed the Chaps deadline. Thankfully we are FTBs and staying with my parents so didn't need to move in on the day. Even though funds made it to the sellers sol by first think on Thursday morning, we didn't get The Call until 1pm yesterday!

I'm never doing this again

Hope you're safely in OP and necking wine whilst sat on a box unpacking!

[Lonecatwithkitten]

Did all go well are you in your new home?