Once you've found the ideal property and your offer has been accepted, the next step involves signing a contract with the owner (Promissory Contract - promise of purchase-sale). This contract signifies your commitment to buy the property, while the owner commits to selling it at the agreed-upon price and date.
During this stage, you'll be required to make a deposit payment (typically around 10% of the total purchase price), and a final deed date (to complete the purchase) will be established.
In the event that you're unable to finalize the property purchase on the specified date, your deposit will be forfeited. Conversely, if the owner fails to conclude the sale, they will be obligated to reimburse twice the value of the deposit you've paid.
Promissory contracts should be prepared by a lawyer or solicitor to ensure that all pertinent purchase details, including dates and final purchase values, are encompassed within it prior to your signing and deposit payment.
Should you choose to expedite the property purchase, you have the option to pay the full property price upfront, thereby rendering a promissory contract unnecessary. If you opt for this route, we strongly advise discussing it with your lawyer beforehand.