Useful Terms

Useful Terms –First Time Buyer- Property Solicitors

Closing/Completion:

This is where the balance of the purchase money is paid and the purchaser receives the keys to the property. This usually occurs sometime after the contracts for have been signed.

Contract:

This document sets out the agreement between the parties with regard to the transfer of ownership of the property between the vendor and purchaser.

Conveyancing:

In simple terms this is the word used to describe the legal process of transferring ownership of property.

Deposit:

This is the initial down payment on the property. Usually this is 10% of the overall cost of the property. This payment is made in two separate amounts, firstly a booking deposit is paid to the auctioneer and the remainder of the 10% is then paid at the time of signing the Contracts for the purchase of the property

Family Home Declaration:

This is a Statutory Declaration/ Sworn Statement, which is required by the purchaser's lender. It effectively clarifies whether the property in question was used as a family home.

Gazumping:

This is where a vendor decides to cancel their agreement to sell their property in order to accept a higher offer from another person to purchase the property.

Land Registry/ Property Registration Authority Fees:

These are fees incurred for the process and recording of various interests in a property. Two of the most common types of fees charged by the land registry are for the registration of a new owner of a property and registering a mortgage over a property.

Mortgage Redemption:

If you are selling a property which you purchased using a mortgage and there are still monies outstanding on the Mortgage at the time you intend selling the property, you will be required to obtain the permission of your bank to sale the property. Your bank will usual agree to the sale of the property on the condition that the monies due and owing to it under your mortgage are discharged out of the proceeds of sale. The sum of monies calculated to discharge the mortgage is referred to as the “mortgage redemption figure".

Registration of Title:

This is where the title deeds are registered with the Land Registry or Registry of Deeds (the two systems of registration of land in Ireland).

Most transactions involving the transfer of ownership of land which is registered in the Registry of Deeds are now subject to a compulsory first registration in the Land Registry.

Searches:

On the day the sale of the property is due to be completed, a number of searches will be carried out to ensure there are no judgments against either the property being sold, or the person selling it, the searches carried out should also confirm whether there are any planning restrictions.

Stamp Duty:

This is tax paid on a Deed (eg. Deed of Transfer, etc.) and is determined by the value of the transaction.

Valuation:

A mortgage provider will want to be provided with a valuation of the property to ensure that the property will provide good security for its loan. This report is to be carried out by a qualified valuer.