What does “no chain” mean when you are searching for a property?
What is an onward chain? And what is a property-chain? Here we will also look at and explain the advantages of purchasing a house without an onward chain.
The upward chain is used by a seller to purchase his next home with money from selling their current house.
It is not uncommon for buyers to find a property with a chain.
When multiple individuals purchase property from one another, a chain is formed. As the property chain grows longer, it becomes more complex. The completion of one purchase or sale is dependent on another.
Imagine the situation where a person must sell property A to buy property B for their new home.
It is possible to complete two out of every three property chains without a collapse. For more advice and information from Gloucester Estate Agents, visit a site like https://www.tgres.co.uk/
A property that does not extend the chain is attractive as there is less chance of a sale collapsing, for example.
What will happen if the property chain breaks down?
You are depending on other parties in a chain to complete their purchase/sale to make sure that you’re successful.
Other transactions may be affected by delays or issues with one. A small delay could occur, for example a few days extra due to a paperwork complication.
Failure to finish a sale or purchase of property can lead to bigger problems.
There are many possible reasons. The seller, buyer or both may have changed their mind or a buyer could be gazumped. Perhaps a loan application has been rejected, or the inspection revealed major problems.
How can I prevent a chain of property from breaking?
It is impossible to prevent the collapse of a chain because it depends on others.
Keep up your end of the chain by staying up to date on everything to do with the purchase and sale of your house.
The first-time buyer will have a great advantage because they don’t need to sell their home in order to buy a new one. They will also be the very first owners in the entire chain.
You can also search for only properties that are not part of a chain if this is something that is important to you.
