Conveyancing made clearer
Glossary of Conveyancing Terms
Buying or selling a property involves a lot of unfamiliar legal and technical language. Here is what the terms mean in plain English — and if anything is still unclear, we will explain it as we go.
How to use this glossary
The terms you are most likely to come across when buying, selling or remortgaging.
Use the A–Z to jump to a letter. These are general explanations, not advice about your own matter — for that, call us on 0116 260 8990.
Assent
A legal document that transfers ownership of a property after the owner's death — used where the property is left to a named person in a will, or passes to the next of kin where there is no will.
Bankruptcy Search
Part of the pre-completion searches, sometimes called a Land Charges Search. If you are having a mortgage, the lender usually requires it, to confirm there are no other charges registered against you that the bank does not know about.
Breach of Contract
Once contracts are exchanged the transaction is legally binding. If either party pulls out after that, they are in breach of contract and the other party can sue under its terms. This is very rare.
Building Insurance
On exchange of contracts it becomes the buyer's responsibility to insure the property, so cover must be in place before exchange. It needs to cover the full rebuild cost — usually a condition of your mortgage.
Caveat Emptor
Latin for "let the buyer beware". It is the buyer's responsibility to check the property and satisfy themselves that its condition is suitable, rather than the seller's.
Chain
A series of linked transactions that usually all exchange and complete on the same day, so the longer the chain, the more people have to agree the date. The bottom is normally a first-time buyer or investor, the top a new build or empty property. If you are buying and selling at once, you are in a chain.
Chancel Repair Liability Insurance
An obligation on homeowners to contribute towards repairing the local parish church. Searches can check whether a property is affected, but they are costly — we would usually obtain an insurance policy instead.
Completion
The date money changes hands, ownership transfers and you collect the keys. The time of day depends on how quickly funds move through the chain: those at the bottom usually complete earlier, those at the top later. Completion is typically 6–12 weeks from the date contracts are issued on all properties in the chain.
Completion Statement
Sometimes called a Financial Statement. A breakdown of all money coming in and going out on your transaction, showing what is owed to you or by you.
Contract for Sale
The document between buyer and seller setting out the property, the price and the parties. When you hear "exchange", this is what is being exchanged — for a set completion date.
Contract Pack
The bundle of documents that starts the process: the Contract for Sale, Official Copies and the Protocol Forms. The buyer's solicitors cannot begin without it.
Conveyancing
The legal process of transferring a property from one party to another. This work can be carried out by a Licensed Conveyancer, a Legal Executive or a Solicitor.
Council for Licensed Conveyancers (CLC)
The governing body that licenses and regulates conveyancers. Every solicitor or conveyancer must be regulated by either the CLC or the SRA.
Covenants
Obligations and restrictions attached to land, listed in your title. They range from maintaining a particular boundary fence to limits on extending or altering the property.
Deeds
Once a large bundle of old documents, deeds are now a few pages of A4 held electronically at Land Registry and retrieved in a few clicks. Unregistered properties still need the original bundle.
Deposit
Usually 10% of the purchase price, though it can be less if your lender agrees. It is paid to your conveyancer before exchange of contracts, as it is what makes the transaction legally binding.
Disbursement
A fee paid not to your conveyancer for their work, but to a third party on your behalf — searches or the Land Registration Fee, for example. This is why firms ask for an initial payment up front.
Drainage Search
A search carried out when you purchase a property, to confirm that it is connected to the foul sewers, surface water drainage and mains water.
Deed of Trust
A legal document setting out how two people own a property when the shares are not equal — for example, where one has paid 75% of the deposit and the other 25%. The document is noted when the property is registered with Land Registry.
Environmental Search
Checks whether known environmental issues affect the property, from contaminated land such as a nearby landfill or old factory site, to flooding and subsidence.
Enquiries
Questions raised by the buyer's conveyancer after reviewing the seller's paperwork — anything from "When was the boiler last serviced?" to "Why is the garage not included in the title?" The process cannot proceed until they are all answered satisfactorily. As a buyer you can raise your own enquiries at this stage. If you are selling, we may need your help answering some — we don't know the house like you do.
Equity
The difference between the value of the property and the amount you owe on the mortgage. For example, if you own a property worth £150,000 and you owe £100,000, you have £50,000 in equity.
Exchange of Contracts
The point at which the transaction becomes legally binding and the completion date is fixed, so you can make your moving arrangements. Until exchange, either party can walk away; after it, significant penalties apply under the contract.
Fittings and Contents Form
One of the Protocol Forms, and part of the contract. It sets out what is and is not included in the sale, and covers any extra items agreed between buyer and seller.
Freehold
The most common form of ownership: you own the property and the land it sits on, usually with few restrictions on its use. The second most common is leasehold.
Full Title Guarantee
Where the seller also owns the entire legal property, and should therefore know everything a reasonable person could be expected to know about it. The alternative is Limited Title Guarantee.
Ground Rent
Rent paid by a leaseholder to the landlord. As you do not own the land the property sits on, the freeholder has the right to charge rent for it.
Grant of Probate
The document that gives someone the legal power to deal with a deceased person's assets, including selling property.
Homebuyers Report
A survey that goes beyond a mortgage valuation but is less detailed than a structural survey. It reports on the property's state of repair, helping you judge the maintenance costs ahead.
Help to Buy Equity Loan
A government scheme lending a percentage of the property value alongside a traditional mortgage.
Help to Buy ISA
A government savings scheme for first-time buyers. When you are ready to buy, your conveyancer applies for a bonus based on the amount saved.
Indemnity Insurance
Insurance protecting the buyer, their lender or both against a defect in the title — from missing planning permission to missing searches or possessory title.
Initial Payment
Money we ask for at the start of the transaction to cover disbursements payable before completion. Anything unused is accounted for in your financial summary.
Index Map Search
A Land Registry search establishing whether land is registered — usually done on unregistered property, to check none of it has been registered to someone else.
Joint Tenants
One of the two ways joint owners can hold a property. You own it together as one entity, so on the death of one owner it passes automatically to the other, whatever a will may say.
Land Charges Search
A pre-completion search. Where you are having a mortgage, the lender usually requires bankruptcy searches on you as buyer, to confirm no other charges are registered against you.
Land Registry Search
A pre-completion search confirming nothing has changed on the title since contracts were received. It also protects your interest, and your lender's, between completion and registration.
Land Registry
The government department holding the legal title documents to land in England and Wales. It also guarantees registered titles, so you may be able to claim compensation for loss caused by an error on the register.
Lease
A contract by which one party conveys property to another for a specified period of time.
Leasehold
Rather than owning the land, you own the right to occupy the property for a set period — sometimes hundreds of years. When it expires, that right reverts to the freeholder.
Leasehold Information Form (TA7)
One of the Protocol Forms, completed by the seller at the start of a leasehold transaction to give details of the landlord, managing agent, ground rent and service charges.
Limited Title Guarantee
Where the seller is not the legal owner but has the right to sell — perhaps the owner has died or lost mental capacity. They cannot fully confirm the information they give, having no first-hand knowledge of the property.
Local Authority Searches
A search with the local council revealing information specific to the property, such as whether the road serving it is council maintained and what planning permissions and building regulations apply. It does not cover surrounding areas, so additional searches may be needed.
Mortgage Deed
The binding document you sign agreeing to the terms of your mortgage offer. We need it signed before we can order your mortgage money.
Mortgage Offer
The lender's formal offer, setting out the amount, term, interest rate and any fees. It is property specific and issued in a standard form in line with Financial Conduct Authority requirements (fca.org.uk).
Negative Equity
Equity is the difference between the value of the property and the amount owed on a mortgage. Negative equity is where the amount owed is higher than the value of the property.
Occupier
Anyone over 18 who lives at the property without owning it. Occupiers sign the mortgage deed to waive their right to occupy if the lender repossesses, and sign the contract on a sale to confirm they will move out.
Official Copies
The official name for the deeds today. Held by Land Registry, they show who owns the property. Your conveyancer requests them at the start, as part of the Contract Pack.
Power of Attorney
Where someone cannot deal with their own affairs — through loss of mental capacity or living abroad, for example — they can appoint someone to act for them by way of a Power of Attorney.
Pre-Completion Searches
Searches carried out before exchange to confirm the buyer has not become bankrupt and the seller is still the legal owner and able to sell.
Property Information Form
One of the Protocol Forms: a questionnaire completed by the seller covering everything from boundary responsibility to how the property is heated. We send the buyer a copy so they can raise any queries.
Protocol Forms
The collective term for the Property Information Form, Fittings and Contents Form and Leasehold Information Form. Completed by the seller, they form part of the Contract Pack and are always sent on to the buyer.
Redemption Statement
A statement from the lender setting out exactly what is needed to repay the mortgage in full and remove the charge. It may include early repayment and redemption fees. Give us details of every loan secured on the property so we can obtain a statement for each.
Retention
Usually held in leasehold transactions after completion: the seller's conveyancer holds funds back in case of a shortfall when the year-end service charge accounts arrive, so the buyer does not pay charges incurred before they owned the property. A lender can also make a retention where crucial works are required, releasing the balance once the works are done.
Stamp Duty Land Tax
A government tax based on the purchase price of the property and payable to HMRC. For current rates and thresholds, see gov.uk/stamp-duty-land-tax.
Statutory Declaration
An oath sworn before a Commissioner for Oaths. In conveyancing it is typically used to declare something such as long-standing access across land you do not own, protecting the buyer from future claims.
Solicitors Regulation Authority (SRA)
The body that regulates and governs solicitor firms and individuals. Every solicitor or conveyancer must be regulated by either the SRA or the CLC.
Telegraphic Transfer
Also known as CHAPS: a same-day transfer of large sums between accounts. Essential in conveyancing, where the purchase money must reach the seller's conveyancer on the day of completion.
Tenants in Common
One of the two ways joint owners can hold a property. You each own a distinct share, so on death that share passes to your estate and can be left to anyone in a will.
Title
Documentary evidence of ownership, usually stored electronically with Land Registry. It shows details of the legal owner and any rights and restrictions that may affect the property.
Transfer Deed
The document that, once signed, witnessed and dated, transfers the property from one owner to another. It is dated on completion and sent to Land Registry to update the title.
Transfer of Equity
The process of transferring a share or interest in a property from one person to another, rather than transferring the entire property.
Vacant Possession
The property is vacated in full and left empty of possessions — other than those agreed in the Fittings and Contents Form — and free of rubbish on completion.
Get started
Still not sure about something?
Get an instant conveyancing quote, or call and ask — we are happy to explain anything on this page in plain English.