Property chain - Revision history

Editor at 20:27, 1 November 2021

2021-11-01T20:27:18Z

← Older revision		Revision as of 20:27, 1 November 2021
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	The phrase ‘chain-free’ means that neither buyer nor seller are waiting for another transaction to be completed. This most commonly applies to the process that exists between a first-time buyer and a new-build developer.		The phrase ‘chain-free’ means that neither buyer nor seller are waiting for another transaction to be completed. This most commonly applies to the process that exists between a first-time buyer and a new-build developer.

−	= Related articles on Designing Buildings ~~Wiki~~ =	+	= Related articles on Designing Buildings =

	* Conveyancing.		* Conveyancing.
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	* Property rights.		* Property rights.
	* Reversion.		* Reversion.
		+	* TA6 Property Information Form.

	[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Property_law]] [[Category:Contracts_/_payment]] [[Category:Procurement]] [[Category:Property_development]]		[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Property_law]] [[Category:Contracts_/_payment]] [[Category:Procurement]] [[Category:Property_development]]

Editor at 17:14, 30 June 2021

2021-06-30T17:14:06Z

← Older revision		Revision as of 17:14, 30 June 2021
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	* Glossary of property law terms.		* Glossary of property law terms.
	* Housing tenure.		* Housing tenure.
		+	* How can I improve my kerb appeal?
	* Land law.		* Land law.
	* Mortgage.		* Mortgage.

Designing Buildings at 09:40, 28 January 2021

2021-01-28T09:40:21Z

← Older revision		Revision as of 09:40, 28 January 2021
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	* Reversion.		* Reversion.

−	[[Category:Property_law]] [[Category:Contracts_/_payment]] [[Category:Procurement]] [[Category:Property_development]]	+	[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Property_law]] [[Category:Contracts_/_payment]] [[Category:Procurement]] [[Category:Property_development]]

Editor at 16:53, 17 December 2019

2019-12-17T16:53:56Z

← Older revision		Revision as of 16:53, 17 December 2019
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	The phrase ‘chain-free’ means that neither buyer nor seller are waiting for another transaction to be completed. This most commonly applies to the process that exists between a first-time buyer and a new-build developer.		The phrase ‘chain-free’ means that neither buyer nor seller are waiting for another transaction to be completed. This most commonly applies to the process that exists between a first-time buyer and a new-build developer.

−	~~= Find out more =~~	+	= Related articles on Designing Buildings Wiki =
−		+
−	=== Related articles on Designing Buildings Wiki ===	+

	* Conveyancing.		* Conveyancing.
	* Estate agent.		* Estate agent.
		+	* Estate agent fees.
	* Gazumping.		* Gazumping.
	* Glossary of property law terms.		* Glossary of property law terms.

Designing Buildings at 11:44, 3 June 2018

2018-06-03T11:44:13Z

Editor at 14:14, 29 May 2018

2018-05-29T14:14:43Z

← Older revision		Revision as of 14:14, 29 May 2018
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	* Conveyancing.		* Conveyancing.
		+	* Estate agent.
	* Gazumping.		* Gazumping.
	* Glossary of property law terms.		* Glossary of property law terms.

Editor: Created page with "The term ‘property chain’, also known as a housing or real estate chain, is used to describe a line of homebuyers and sellers that are linked together by their transactions w..."

2018-05-29T14:06:46Z

Created page with "The term ‘property chain’, also known as a housing or real estate chain, is used to describe a line of homebuyers and sellers that are linked together by their transactions w..."

New page

The term ‘property chain’, also known as a housing or real estate chain, is used to describe a line of homebuyers and sellers that are linked together by their transactions which are dependent on one another.

Each buyer and seller in the chain is simultaneously selling and buying a property to/from those behind/ahead of them, except for those at the beginning (who are only buying and not selling), and those at the end (who are only selling and not buying). There can often be many people involved in a property chain, each with an estate agent, solicitor, surveyor, mortgage lender, and so on.

The reason for a chain developing in the first place is because it is very often the case that a homebuyer will need to sell their current home in order to be able to finance the purchase of the new one. The seller of the home will very often also require the sale to finance their own new house purchase, and so on.

A property chain can be a slow and complicated process and can frequently collapse. If one particular party is delaying the process, it will impact upon the entire chain, therefore, it can be said that the chain will only progress at the pace of the slowest link. It is the responsibility of the respective solicitors to ensure that the chain progresses towards its conclusion.

Some of the variables that can result in a chain collapsing include:

* One of the buyers or sellers in the chain decide not to move house (regardless of penalty fees and other financial implications).
* One of the buyers or sellers has a change of circumstances (e.g. become ill, divorce, made bankrupt or redundant, etc.).
* One of the buyers is blocked from obtaining a mortgage.
* A property survey reveals problems.
* A conveyancer takes too long to complete the necessary paperwork or one of the partie’s neglects to sign the right documents on time.

Some property chains can be much easier than others, such as in the following situations:

* If a seller has several offers to choose from they may opt for the buyer who isn’t in a chain trying to sell their existing home (e.g. a first-time buyer).
* A new-build home is often purchased directly from a developer so does not have an upward chain.
* There may be no upward chain if a seller is selling a home that is empty.
* If one or more parties are flexible and do not require a new house to be purchased before being able to sell their existing home.

A common phrase relating to property chains is ‘no upward chain’, which means that the seller is not waiting to complete a purchase for a new home. However, there may still be a chain below the homebuyer.

The phrase ‘chain-free’ means that neither buyer nor seller are waiting for another transaction to be completed. This most commonly applies to the process that exists between a first-time buyer and a new-build developer.

= Find out more =

=== Related articles on Designing Buildings Wiki ===

* Conveyancing.
* Gazumping.
* Glossary of property law terms.
* Housing tenure.
* Land law.
* Mortgage.
* Property development finance.
* Property ownership.
* Property rights.
* Reversion.

[[Category:Property_law]] [[Category:Contracts_/_payment]] [[Category:Procurement]] [[Category:Property_development]]

← Older revision		Revision as of 11:44, 3 June 2018
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−	The term ‘property chain’, ~~also known~~ as a housing or real estate chain, ~~is used to describe~~ a ~~line~~ of homebuyers and sellers ~~that are linked together by their~~ transactions ~~which~~ are dependent on one another.	+	The term ‘property chain’, sometimes referred to as a housing or real estate chain, describes a sequence of homebuyers and sellers whose transactions are dependent on one another.

−	Each ~~buyer and seller in~~ the chain is ~~simultaneously~~ selling and buying a property ~~to/from those behind/ahead of them~~, ~~except for~~ those at the beginning (who are only buying ~~and not selling)~~, and those at the end (who are only selling ~~and not buying)~~. There can ~~often be~~ many people involved in a property chain, each with an estate agent, solicitor, surveyor, mortgage lender, and so on.	+	Each member of the chain is both selling and buying a property, other than those at the beginning, who are only buying, and those at the end, who are only selling. There can many people involved in a property chain, each with an estate agent, solicitor, surveyor, mortgage lender, and so on.

−	~~The reason for a chain developing in the first place is~~ because ~~it is very often the case that~~ a homebuyer will need to sell their current home in order ~~to be able~~ to finance the purchase of ~~the~~ new ~~one~~. The seller of the home will ~~very often also~~ require the sale to finance their own new house purchase, and so on.	+	Property chains develop because a homebuyer will generally need to sell their current home in order to finance the purchase of a new home. The seller of the home they are buying will generally require the sale to finance their own new house purchase, and so on.

−	A property chain can be a slow and complicated process and can frequently collapse. If one particular party is delaying the process, it will impact upon the entire chain, therefore, ~~it can be said that~~ the chain will only progress at the pace of the slowest link. It is the responsibility of the respective solicitors to ensure that the chain progresses towards its conclusion.	+	A property chain can be a slow and complicated process and can frequently collapse. If one particular party is delaying the process, it will impact upon the entire chain, therefore, the chain will only progress at the pace of the slowest link. It is the responsibility of the respective solicitors to ensure that the chain progresses towards its conclusion.

	Some of the variables that can result in a chain collapsing include:		Some of the variables that can result in a chain collapsing include:

−	* One of the buyers or sellers in the chain ~~decide~~ not to move ~~house (regardless of penalty fees and other financial implications)~~.	+	* One of the buyers or sellers in the chain decides not to move.
−	* One of the buyers or sellers has a change of circumstances ~~(e.g. become ill, divorce, made bankrupt or redundant, etc.)~~.	+	* One of the buyers or sellers has a change of circumstances.
	* One of the buyers is blocked from obtaining a mortgage.		* One of the buyers is blocked from obtaining a mortgage.
	* A property survey reveals problems.		* A property survey reveals problems.
−	* A conveyancer takes too long to complete the necessary paperwork ~~or one~~ of the partie’s ~~neglects~~ to sign ~~the right~~ documents on time.	+	* A conveyancer takes too long to complete the necessary paperwork.
		+	* One of the partie’s fails to sign required documents on time.

−	Some property chains can be much easier than others~~, such as in the following situations~~:	+	Some property chains can be much easier than others:

−	* If a seller has several offers to choose from they may opt for the buyer who ~~isn’t~~ in a chain trying to sell their existing home (e.g. a first-time buyer).	+	* If a seller has several offers to choose from they may opt for the buyer who is not in a chain trying to sell their existing home (e.g. a first-time buyer or a cash buyer).
	* A new-build home is often purchased directly from a developer so does not have an upward chain.		* A new-build home is often purchased directly from a developer so does not have an upward chain.
	* There may be no upward chain if a seller is selling a home that is empty.		* There may be no upward chain if a seller is selling a home that is empty.
−	* If one or more parties are flexible and do not require a new house to be purchased before being able to sell their existing home.	+	* If one or more parties are flexible and do not require a new house to be purchased before being able to sell their existing home (for exampe if they pan to rent).

−	A common phrase relating to property chains is ‘no upward chain’, which means that the seller is not waiting to complete a purchase for a new home. However, there may still be a chain below ~~the homebuyer~~.	+	A common phrase relating to property chains is ‘no upward chain’, which means that the seller is not waiting to complete a purchase for a new home. However, there may still be a chain below them.

	The phrase ‘chain-free’ means that neither buyer nor seller are waiting for another transaction to be completed. This most commonly applies to the process that exists between a first-time buyer and a new-build developer.		The phrase ‘chain-free’ means that neither buyer nor seller are waiting for another transaction to be completed. This most commonly applies to the process that exists between a first-time buyer and a new-build developer.