Things to know when selling commercial property

There are a few Steps that help us or we can say guide us in Selling Commercial Property.

  • All the heads of the terms and conditions are agreed between the parties and the agents. This heads of the terms and conditions set out the main point of the transaction process when it comes to the selling of any commercial property. The usually stated fact is the “subject to contract” and not any legally binding. In this case, they are referred to for the process of legal drafting and that should have an accurate output. Then comes the time to consider the price of the commercial property that is sold, including any types of VAT if there. Along with the extent of the land to be sold, any other rights that are to be retained, timescales, which solicitor us to appoint and in case if any special conditions are there that need to be applied to the sale. We also need to ensure that the property that is being sold has an Energy Performance Certificate, till the property is exempt from having one.
  • Then comes the Solicitors instructed and obtaining of the Title documents. When once all of the Heads of Terms have agreed between us and the buyer, these are sent to the appointed solicitors. Then we need to formally appoint our solicitor to act on our behalf at the time of the selling of the commercial property. Then our solicitor sends all the terms and conditions of business and asks for our identification documents along with any amount of money on account. After this is done we are assuming that the property is registered at the Land Registry. And by that assumption, our solicitor will be able to obtain all the electronic title documents that are needed for the rest of the process. After this comes the time when the Contract drafted and title information are prepared.
  • Then after this comes the diligence of the Buyer. During the process of due diligence, the buyer may ask us various types of additional information about the commercial property to buy. This types of questions generally include topics such as:
    • The business rates information.
    • Whether the property to be bought is VAT elected or not.
    • If the commercial property is subject to any of the occupational leases or not.
    • All the asbestos reports.

All the information that is supplied to the buyer should be accurate as the buyer is entitled to rely on the all that information that the provided or given by us.

  • Once the solicitor is satisfied with the information that is provided from the due diligence, all the terms and conditions of the sale contract will be negotiated and agreed. Along with this, the transfer deed would also be agreed. This transfer deed will be registered and then it will pass the legal title to the buyer.

After this the Redemption figure obtained and the Contracts are exchanged, then after signing and money transfers done which brings the process to an end.

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