Delayed Completion

Kent Property Solutions is one of the leading companies that have been set up to assist both home owners and home buyers to overcome the barriers in front of them in an ever-changing housing market.

One almost unheard of and under used solution that can be matched to both buyer and seller is what is a called a ‘Delayed Completion’, although it is widely used in the commercial field and by investors when purchasing off plan. It allows a seller to leave the property and move on with their life whilst having total confidence that they will accrue no further monthly expenditure from it. It allows a buyer to start or move up the property ladder with a smaller deposit than would otherwise be required. As the name suggests, it allows a property purchase to exchange within 4 weeks and complete at a later date, usually 6-8 years in the future.

The key advantages to the seller are it is faster and has a higher success rate than purchasing through conventional methods as it is not dependent on getting searches completed and qualifying for a standard mortgage product. At present the mortgage market is tightening the application process for first time buyers as the lenders are seeing this sector as risky with little equity held buy the buyer in an uncertain market. It is possible to achieve a higher sale price than the current market value for the seller, although this will extend the completion time in the future.

The key advantages to the buyer are allows a better quality of home for a lower initial deposit, with house property prices certain to rise over the longer period it allows higher potential for growth in the equity generated in the purchase. The buyer will receive the full benefits of homeownership at a time that would otherwise not be achievable.
In essence it is a flexible way for buyers and sellers to enter a sale agreement that is difficult in a challenging market.