"Janet Baraclough.." wrote in message
...
The message
from "RichardS" noone@invalid contains these words:

The one crucial difference between the English and Scottish systems
appears
to be that at the point of the offer being accepted then there is a
binding
agreement on both parties, which would probably eliminate
gazumping/gazundering, but of course to enter into such a binding
agreement
then the buyer has to be in possession of all the facts, a source of
finance, etc etc.

They have already had any survey done and arranged their finance,
before making the offer. The buyer's offer (and the seller's acceptance)
are both conditional. Only after a zillion questions have been thrashed
out and when both parties lawyers are satisfied, do they lock into the
legally binding agreement. IME, usually within a fortnight of the verbal
agreement. This is the same legal work that English solicitors sometimes
spin out over many months.

The conveyance completion date, when the property will change
ownership, is set some way ahead to give the buyer time to sell up his
own property. If he doesn't sell up in time, he's committed to
compensating the first seller with interest on the full price. In
practice, gaps are very small and most just take a bridging loan. There
are no property chains here, which is the other crucial advantage of the
Scottish system.

Janet


hmmm, the survey being carried out before making the offer would be some
cause for concern if I were a buyer - I could be throwing money away on
surveys for houses that I utimately do not bid successfully for. I know
that in Engerland our "glorious" govt are intent on compelling vendors to
have the survey carried out, but I'd then have real concerns that the
motivation would be wrong - the vendor after all wants as glossy a survey as
they can find...

From the sounds of it, the offer/acceptance of the bid appears to be the
first (and binding) stage of exchange of contracts - does the Scottish
system have a separate exchange stage?

And doesn't this both bump up the solicitor's costs of the vendor (they'll
be clocking up time bashine out issues with 1 to n potential bidders'
solicitors) and also lock out the purchasor from putting in bids for other
properties whilst this is all going on? (though I suppose you're able to
withdraw your bid right up till the point of formal acceptance?)


--
Richard Sampson

mail me at
richard at olifant d-ot co do-t uk