• Domestic Energy Performance Certificate (EPC) is a must-have document for any building over ten years old when being sold or rented.
• Sellers’ Pack is an essential collection of documents, including an EPC, title deeds, warranties, guarantees, surveys, etc.
• Provide a copy of the lease agreement along with other documents and evidence of service charges being paid up-to-date before sale completion.
• Consider Capital Gains Tax or Stamp Duty Land Tax (SDLT) implications, as they can affect your bottom line.
• Planning permission, building regulations, gas safety certificate, and electrical installation certificate may also be required when selling a property.
Selling real estate property is a big decision, and there are several legal requirements that must be fulfilled. It can be challenging to know what the requirements are and how to go about meeting them. This article will provide an overview of the most important legal requirements for selling real estate property.
Sellers’ Pack
A Sellers’ Pack is a collection of documents that provide potential buyers with information about the property they are interested in buying. The documents include an Energy Performance Certificate (EPC) and other important information such as title deeds, deeds of covenant, plan drawings, local authority searches, warranties and guarantees, and surveys. The Sellers’ Pack is an essential part of any property sale as it provides buyers with all the necessary information they need before deciding to purchase.
Domestic Energy Performance Certificate (EPC)
A Domestic Energy Performance Certificate (EPC) is a certificate that shows the energy efficiency of a building. It states how much energy the building uses and provides information on how to make it more efficient. A domestic EPC must be provided for buildings over ten years old when sold or rented out. This requirement applies to both residential and commercial properties. It applies to all properties in England, Scotland, Wales, and Northern Ireland.
Leasehold Properties
If you are selling a leasehold property, you must also provide potential buyers with a copy of the lease agreement and other relevant documents, such as service charges. You may also need to provide evidence that service charges have been paid up-to-date before the completion of the sale. In addition to this, you should also inform potential buyers if there are any special conditions or restrictions associated with the lease agreement which could affect their decision to purchase or not.
Tax Implications
Another legal requirement when selling real estate relates to tax implications such as Capital Gains Tax or Stamp Duty Land Tax (SDLT). It is important that you consider these implications as they can affect your bottom line when it comes time to complete the sale, so make sure you seek professional advice prior to entering into any contract negotiations with prospective buyers. Depending on where your property is located, there may also be additional taxes applicable, so ensure that you research these thoroughly prior to proceeding with a sale.
Other Minor Documents
In addition to the above documents, there are various other minor documents that may be required when selling a property. These include the following:
Planning permission
A planning permission document from the local authority or planning department is necessary if you are making any changes to the structure of your property. This includes demolishing, extending, or converting your property.
Building regulations
Building regulations documents should also be provided to potential buyers in order to prove that all work carried out was done in accordance with building regulations and safety standards. Building regulations are usually offered by the local authority or building control office.
Gas safety certificate
If your property has gas appliances, then you must provide a valid gas safety certificate to potential buyers. This document shows that all gas appliances have been inspected and are safe for use in accordance with UK law.
Electrical installation certificate
You should also provide an electrical installation certificate to prove that all electrical installations in the property are safe and complies with UK regulations. This document is provided by a certified electrician who has inspected the installation.
Selling real estate property requires you to be aware of the various legal requirements that must be met. From providing an EPC and Sellers’ Pack to ensuring all taxes are paid up-to-date and supplying necessary documents such as planning permission or gas safety certificates, there is a lot to keep track of when selling a property.
By being mindful of these requirements beforehand, you can ensure your sale goes smoothly without surprises. With this knowledge, you should have no trouble meeting all the legal regulations for successfully selling your property.
