“We have exchanged” is a milestone clients understandably welcome. It creates a binding contractual commitment. It does not mean the purchase money has arrived, the transaction has completed or the buyer’s title and lender’s charge have been registered.
For conveyancing firms, the period after exchange requires continuing attention to funding, deadlines, documents, client communication and changes in circumstances.
A buyer or seller may fail to complete despite the work undertaken by their conveyancer. However, a firm should be able to demonstrate that the risks within its control were identified, monitored and addressed.
Does the client understand what exchange means?
Clients may hear “legally binding” and understand “nothing can now go wrong”. Those are different propositions.
Before exchange, the advice should explain the commitment being made, the agreed arrangements for completion and the potential consequences of failing to perform the contract.
Depending on the contract and circumstances, those consequences may involve interest, deposit issues, a notice to complete, termination or a claim for losses. The precise position requires examination of the contract rather than a standard assurance that the deposit will cover everything.
A contractual remedy also does not necessarily provide immediate funds for an onward purchase. The client may have an enforceable right while still facing an urgent practical problem.
Consider the client’s position in the chain
A client selling one property and buying another may depend on the sale proceeds to fund the purchase. If that money does not arrive, the client’s ability to complete their own purchase may be affected.
The risk discussion should therefore consider the actual arrangements:
- Is the purchase dependent on the related sale completing?
- Are the contractual completion arrangements aligned?
- What deposit arrangements apply to each transaction?
- Are mortgage funds and other contributions available on the required timetable?
- Are there unusual completion conditions or unresolved dependencies?
- What would happen if one part of the chain were delayed?
The objective is to help the client understand the commitments being made and to identify matters requiring attention before exchange.
Readiness for exchange needs a recorded decision
A planned completion date can create pressure to exchange. That pressure should not turn unresolved matters into assumptions.
A firm’s process should make clear who checks readiness and who can authorise progression where an issue requires further consideration.
Depending on the transaction, checks may include:
- Client authority: the client has authorised exchange on the relevant terms.
- Funding: the proposed sources, amounts and timing have been established.
- Mortgage arrangements: the offer, relevant conditions and proposed completion timetable have been checked.
- Lender reports: required referrals have been made and any necessary authority obtained.
- Outstanding enquiries: material issues have been resolved or addressed through an appropriate, recorded decision.
- Documents: required signatures and completion arrangements are in place or properly scheduled.
- Insurance: the client understands the arrangements required under the contract and lender instructions.
- Dependencies: linked transactions and third-party requirements have been considered.
A checklist should support professional judgment. An entry marked “complete” needs to reflect the position on the file.
Keep monitoring between exchange and completion
Exchange should trigger a defined set of tasks, deadlines and responsibilities.
A mortgage offer may approach expiry. A funding contribution may be delayed. New information may require consideration under the lender’s instructions. A completion date may change.
The file needs a process for identifying those developments and deciding what action follows.
Useful controls include:
- named responsibility for each outstanding task;
- diary entries for funding requests and other time-sensitive steps;
- confirmation of the client’s balance and payment arrangements;
- supervisory review of unresolved conditions or changed circumstances;
- cover when the responsible fee earner is absent; and
- a record of advice, decisions and communications affecting completion.
Our article on the purpose of a Dealing with Lenders Policy explains why the lender’s instructions require their own attention when the firm also acts for the borrower.
When completion is threatened, escalate early
If a problem emerges, the file should not depend on an unanswered email or an assumption that another participant will resolve it.
The responsible lawyer should establish the facts, identify the contractual timetable and involve a supervisor where appropriate. The client needs an explanation of the position and available options, including any time-sensitive decisions.
Where lender instructions, undertakings, a potential claim or other professional obligations are engaged, the relevant reporting and escalation procedures should also be considered.
Advice should be based on the contract and circumstances. A threatened delay does not justify automatically serving a notice, releasing money or promising that another party will meet the client’s losses.
How COMPLETIONmonitor supports the workflow
Lexsure’s COMPLETIONmonitor is an interactive pre- and post-completion checklist for conveyancers. Its published features include links to lender requirements, alerts for matters needing attention and reporting on post-completion activity.
Used alongside appropriate supervision, a structured system can help a firm keep outstanding work visible and maintain a record of the steps taken.
That matters when several people contribute to a transaction. Management needs to know what remains outstanding, who is responsible and which matters require closer attention.
No checklist can guarantee that another party will complete. Its practical value lies in supporting the checks, records and escalation within the firm’s control.
Keep pre- and post-completion work visible
Explore how COMPLETIONmonitor supports structured checklists, alerts and oversight across your conveyancing matters.
Completion starts the next stage of responsibility
Once completion takes place, the firm still needs to manage the applicable tax, registration, document-delivery and lender obligations.
Those tasks require the same discipline: named responsibility, deadlines, evidence of submission and monitoring until the work reaches the appropriate conclusion.
An application marked “submitted” is not the same as a completed registration. A requisition needs attention, and an unresolved application needs continuing oversight.
Our article on HMLR registration data and lender visibility examines the information firms should retain when explaining outstanding registrations.
Measure whether the process is working
Live matter monitoring and management review serve different purposes. The first helps the team progress individual files. The second helps the firm identify recurring weaknesses and decide where to improve.
Lexsure’s Avoidable Requisitions Report provides analysis of a firm’s published HMLR data, including its rate, national percentile position, comparison with firms in a similar application-volume band and movement between reporting periods.
This can help management focus file reviews, training and supervision. A requisition rate does not measure buyer default after exchange, and it should not be presented as doing so. It provides a separate view of registration quality after completion.
Our related article on post-completion controls and published requisition data considers how firms can investigate the underlying causes.
How does your firm’s registration performance compare?
Use Lexsure’s Avoidable Requisitions Report to understand your position and identify priorities for further investigation.
Give every stage an owner
The firm cannot control every event in a property transaction. It can establish who checks readiness for exchange, who monitors completion requirements and who follows registration through.
Each stage needs clear responsibility, timely communication and a record that supports the decisions made. Those controls help turn a reassuring milestone into a properly managed transaction.
This article provides general information for conveyancing practices in England and Wales. Contractual remedies and professional obligations depend on the individual transaction.