Current waiting times for local authority searches to be completed are a determining factor that’s having a major impact on the length of time between a memo of sale and completion.
Online mortgage broker, Mojo Mortgages, analysed this data and found the time taken by local authorities across the country to complete these searches varied drastically, ranging from five days up to more than six months for some councils. However, it was clear regardless of location, if you were still on the hunt for a property with Stamp Duty savings you'll need to act soon or it will be too late.
After combining the latest local authority search data with the average remaining conveyancing time of nine weeks suggested by the HomeOwners Alliance the research was able to work out the average total conveyancing time for each local authority. However, it's important to remember every home purchase proceeds at its own speed.
Those purchasing a property in Ashfield District in Nottinghamshire were least likely to be affected by delays in returning local authority searches, taking five days on average. A number of other local councils including Bassetlaw, East Devon and Norwich City Council also reported speedy searches taking six days.
However, those in Hackney could face local authority search delays of 180 working days, with Havering (90 working days) and Dorset Council (70 working days) also reporting some of the slowest responses in the country. Other local councils faring poorly in this research include Durham County Council, Newcastle City Council and Lewisham Council.
Richard Hayes, CEO at Mojo Mortgages, comments on the findings: "The Stamp Duty holiday, and the savings of up to £15,000 that come with it, has helped thousands of people buy new homes.
"The recent extension is good news for the many thousands of buyers still currently worried they would miss these savings, however with just eight weeks to go until the deadline there will be many wondering if they are going to complete on time, with conveyancers doing all they can to keep clients happy.
"Although these times are average and theoretical, they do help people realise how long things can take, and how tight it could be. If they do think they are at risk, it's really important they speak to their conveyancer about no-search indemnity insurance.
"Of course, there is definitely the flip side of the coin where mortgages and conveyancing can get sorted much quicker than you expect. In the last few months, Mojo has helped many people go from mortgage comparison to completion with keys in their hand in around 30 days."
David Darlington, Partner at Fieldings Porter, added: “When it comes to the upcoming June Stamp Duty deadline, I do think that for some regions of the UK such as the north-west and north-east it will be less important than the one in October when it reverts to £125,000 as the property prices are lower with lots of properties under the £250k mark.
“That said, there are larger homes in those areas which do still trade in the £250k - £500k range and for those, there will be marked difference in the stamp duty payable after 30th June so it’s important that they start the conveyancing process immediately as there is lots of pressure on the searches, and the conveyancing system as a whole at the moment.
“Even those which start now do not have a guarantee that they will complete in time for the end of June, but there is still a chance. It will partly be down to the requirements of the lender and buyer in relation to searches and the lead times in the locality. We have seen some searches coming back within a couple of days from one local authority and taking 5 – 6 weeks for a neighbouring one so buyers should discuss this with their solicitor or conveyancer as soon as they instruct them if the stamp duty deadline is important to them.”
