Buying a property with no chain means there are no other sellers to worry about. Although this might sound less complicated on paper, there are still important things to consider.
For first-time buyers, one of the phrases that may come up is ‘no-chain’ properties. In this article, we’ll explain what no-chain properties are, how the process differs from properties on sale within a chain, and how this can speed up the timeframe for a sale. We’ll also explain what to expect on the day of your purchase completion.
What does no chain mean when buying a house?
A property with "no chain" is one where the sale is not dependent on other property transactions. No chains are only guaranteed to first-time buyers who have nothing to sell, as even though the property they are buying might not have a chain, the buyer themselves could be in one.
If the property has ‘no-chain’, it means the current owner is not using the sale to buy another property, and there are no other linked sales. This situation usually happens with:
- New builds (these are the most common form of no-chain properties)
- Vacant properties
- Bereavement sales
- Sales involving the owner leaving the country
Are first-time buyers chain-free?
First-time buyers are considered chain-free buyers, as their purchase is not dependent on the sale of a previous property. Therefore, first-time buyers can be seen as ideal purchasers because they can provide a smoother, quicker transaction for sellers. Although chain-free applies to all those who have nothing to sell before purchasing or investing in property, and their money is freely available.
Is it better to buy a house with no onward chain?
In short, yes. As a first-time buyer, if you are buying a house that is part of a chain, then if one link in the chain falters, all deals can go through. This means that because an unrelated purchase may fall through, all other sales (including your own) can fall through.
With no chain, you can be certain that your purchase will not be subject to the purchase of another home.
Do no-chain houses sell quicker?
As long as the buyer has no chain, then no chain houses generally sell quicker than properties that are part of a chain, and this can be down to three main reasons:
- Firstly, because the house isn’t part of a chain, the seller isn’t subject to unnecessary complications that may come about through being part of a chain.
- Secondly, the house will attract more likely buyers due to the fact it isn’t part of a chain.
- Thirdly, conveyancing work and solicitors' time to process decreases as they are not waiting on information from third parties.
How long do solicitors take when buying a house with no chain?
One of the main advantages of buying a house with no chain is that the solicitor's process is streamlined. The absence of a chain means there are no third parties to wait on for solicitors to carry out their work. Generally, it can be faster, but just remember there are a lot of other variables when looking at the timelines for conveyancing.
How long is the process of buying a house with no chain?
Buying a house with no chain benefits from a faster process, reduced risk of falling through, and simplified negotiations; however, there are still complications in the process that can increase the timeframe.
Surveyor availability, mortgage approval, financing, and other extraneous legal complications can also affect the sale of no-chain properties the same as those with a chain. Typically, no-chain conveyancing takes 8-12^ weeks.
What happens on completion day with no chain?
On the completion day for a property with no chain, the funds are first transferred from the buyer's solicitor to the seller's solicitor, and a receipt is provided.
After the funds are transferred, the keys are then released to the buyer, and the buyer can move in immediately. This process is a lot smoother than properties with a chain, as it removes the need to coordinate multiple transactions at the same time.
Whether you are buying a property chain-free or not, our property experts are on hand to help you find your ideal home.
