When a property is marked as SSTC, an offer has been made and accepted, but the sale is still not legally binding. This is because the buyer must arrange their own survey to get their mortgage finalised, and their solicitors will need to agree on contract terms to ensure that there are no legal issues or debts left behind once the property has been sold.
This stage can be nerve-wracking for both the seller and the buyer, as there is still the risk that the sale will fall through. However, there are ways that both parties can reduce the chances of this happening.
For example, both buyers and sellers should be open about their position in the chain, and if they are cash buyers, both should try to complete as quickly as possible so that there is less chance of problems occurring.
Why are Properties SSTC?
It is important for buyers to understand why a property is being listed as SSTC, especially if they are considering making an offer on it. This is because, during this time, other potential buyers can still make offers on the property, although these are not legally binding and could be rejected by the seller. This is known as being "gazumped", and it can be very frustrating for buyers.
Often, estate agents list an SSTC property to allow potential buyers to conduct surveys and searches on the property. This will help them to find out more about the property and if it is right for them.
However, if the buyer is a cash buyer, it is possible that they can ask the seller, via their agent, to withdraw the property from the market entirely and avoid this issue completely.
In the majority of cases, once a property has been marked SSTC meaning, it will remain that way until contracts are exchanged and completed. This can be a very stressful time for both parties, but it is necessary in order to guarantee that the purchase will go through.
It is estimated that nine in ten home sellers expect their property sale to be completed within three months of being marked as SSTC, according to the 2019 Property Academy Homemovers Survey. However, in reality, it is more likely to take much longer than this, particularly if there are problems found during the conveyancing process.
This can be caused by things such as surveys and searches uncovering issues with the property that were not previously known or problems with the mortgage application being rejected. These problems can be very difficult to overcome.
Still, both parties can help prevent them by being open and honest about their situation and trying to speed up the conveyancing process as much as possible. If you need help with your conveyancing, please get in touch.
We can assist you every step of the way. Our expert team will guide you through the entire process, ensuring that your property sale goes through without any hiccups along the way.
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