Why your Memorandum of Sale matters

What a memorandum of sale is and why it matters

When you agree on a sale for your property you’ve crossed an important milestone, but it’s far from the finish line. At this stage, your agent will prepare and send amemorandum of sale, a document that plays a critical role in kickstarting the legal process.

What is a memorandum of sale?

A memorandum of sale is a formal document issued by the estate agent to confirm the key details of the agreed sale. It acts as the bridge between the buyer, seller, and their respective solicitors, ensuring everyone is aligned as the legal process begins.

While not legally binding, the memorandum is a crucial administrative step. It’s a written acknowledgment that sets the groundwork for what follows in the conveyancing process.

Why is it important to send it immediately?

The faster the memorandum of sale is issued, the quicker the conveyancing process can begin. Delays at this stage can lead to unnecessary frustration and risks, such as:

Cooling buyer interest:Buyers may reconsider their decision if the process doesn’t move swiftly.Increased fall-through rates:A slow start can cause sales to fall apart, especially in competitive markets.Prolonged timelines:Conveyancers can’t start without the necessary information, which makes an immediate memorandum crucial to avoid bottlenecks.

Cooling buyer interest:Buyers may reconsider their decision if the process doesn’t move swiftly.

Increased fall-through rates:A slow start can cause sales to fall apart, especially in competitive markets.

Prolonged timelines:Conveyancers can’t start without the necessary information, which makes an immediate memorandum crucial to avoid bottlenecks.

By issuing the memorandum immediately after a sale is agreed, the agent helps maintain momentum, keeps buyers engaged, and reassures all parties that the transaction is progressing as planned.

What should a memorandum of sale include?

A well-prepared memorandum of sale ensures that no details are overlooked, minimising miscommunication between parties. It should include:

Details of the buyer and sellerNames, addresses, and contact information.Property detailsThe address of the property being sold.Agreed sale priceThe final price agreed upon by both parties.Solicitor or conveyancer detailsContact details for both the buyer’s and seller’s legal representatives.Special terms or conditionsAny additional agreements, such as included fixtures and fittings or specific timelines for exchange and completion.Estate agent contact informationA clear point of contact for any questions or clarifications during the process.

Details of the buyer and seller

Names, addresses, and contact information.

Names, addresses, and contact information.

Property details

The address of the property being sold.

The address of the property being sold.

Agreed sale price

The final price agreed upon by both parties.

The final price agreed upon by both parties.

Solicitor or conveyancer details

Contact details for both the buyer’s and seller’s legal representatives.

Contact details for both the buyer’s and seller’s legal representatives.

Special terms or conditions

Any additional agreements, such as included fixtures and fittings or specific timelines for exchange and completion.

Any additional agreements, such as included fixtures and fittings or specific timelines for exchange and completion.

Estate agent contact information

A clear point of contact for any questions or clarifications during the process.

A clear point of contact for any questions or clarifications during the process.

What Open Moove suggests next

If you’re selling your home, make sure your agent sends the memorandum of sale as soon as the sale is agreed. Here’s how you can ensure it’s done efficiently:

Confirm buyer and solicitor details early:Have your chosen solicitor’s contact information ready to avoid delays.Request a copy of the memorandum:Ask your agent to share it with you so you can double-check the details.Follow up proactively:If you haven’t heard from your agent within 24 hours of agreeing on a sale, reach out to confirm it’s been sent.

Confirm buyer and solicitor details early:Have your chosen solicitor’s contact information ready to avoid delays.

Request a copy of the memorandum:Ask your agent to share it with you so you can double-check the details.

Follow up proactively:If you haven’t heard from your agent within 24 hours of agreeing on a sale, reach out to confirm it’s been sent.

At Open Moove, we believe in empowering sellers to take control of their journey. Our platform keeps you informed and connected at every stage, ensuring no important details slip through the cracks.

Speed, clarity, and communication make all the difference. Open Moove makes it easy.