P r o p e r t y G l o s s a r y

A

Agreement in Principle (AIP)

An Agreement in Principle (AIP) is an indication from a mortgage lender of how much you may be able to borrow based on the information you provide. It is not a formal mortgage offer, but it can help demonstrate to sellers and estate agents that you are in a position to proceed with a purchase. An AIP may also be referred to as a Mortgage in Principle (MIP) or Decision in Principle (DIP).

The key to making things happen isn’t waiting for the perfect moment; it’s starting with what you have, where you are. Big goals can feel overwhelming when viewed all at once, but momentum builds through small, consistent action. Whether you’re working toward a personal milestone or a professional dream, progress comes from showing up — not perfectly, but persistently. Action creates clarity, and over time, those steps forward add up to something real.

You don’t need to be fearless to reach your goals, you just need to be willing. Willing to try, willing to learn, and willing to believe that you’re capable of more than you know. The road may not always be smooth, but growth rarely is. What matters most is that you keep going, keep learning, and keep believing in the version of yourself you’re becoming.

Anti-Money Laundering (AML)

Anti-Money Laundering (AML) checks are legally required checks carried out during a property transaction. These checks help prevent fraud, money laundering, and other financial crimes by verifying a buyer's or seller's identity and confirming the source of funds being used for the transaction.

Authority to Exchange

Authority to Exchange is the final approval you give to your solicitor before contracts are exchanged. By providing this authority, you confirm that you are satisfied with the terms of the transaction and wish to proceed. Once contracts have been exchanged, the purchase becomes legally binding and both parties are committed to completing the transaction.

B

Best and Final

A Best and Final Offer is the highest price and most favourable terms a buyer is prepared to offer for a property. It is commonly requested when there is strong interest from multiple buyers. Once submitted, buyers are generally not given the opportunity to revise or increase their offer, so it is important to put forward the strongest offer you are comfortable making.

Boundaries

Boundaries define the legal limits of a property and mark where ownership begins and ends. They separate your property from neighbouring land and can affect responsibilities relating to fences, walls, hedges, and access. Boundary information is usually shown on the property's title plan held by HM Land Registry.

Bridging Loan

A Bridging Loan is a short-term form of finance designed to bridge a funding gap, often when purchasing a new property before the sale of an existing one has completed. Bridging loans can provide quick access to funds, but they typically have higher interest rates and costs than standard mortgage products.

Building Insurance

Building Insurance provides financial protection if a property is damaged by events such as fire, flooding, storms, vandalism, or other insured risks. It typically covers the cost of repairing or rebuilding the structure of the property, although the exact level of cover will depend on the policy. Mortgage lenders often require Building Insurance to be in place before completion.

Building Control Consent

Building Control Consent is approval from a local authority Building Control department or an approved inspector confirming that proposed building works comply with current Building Regulations. Certain works, including extensions, structural alterations, and some conversions, require approval before or during construction.

Building Regulations

Building Regulations are statutory standards that govern the design and construction of buildings in England and Wales. They cover areas such as structural safety, fire protection, accessibility, ventilation, drainage, and energy efficiency. Compliance helps ensure that building work is safe, functional, and meets modern construction standards.

Building Regulation Completion Certificate

A Building Regulation Completion Certificate is an official document issued by a local authority Building Control department or an approved inspector once building work has been inspected and confirmed as compliant with current Building Regulations. The certificate provides evidence that the work meets the required standards and is often requested during the sale of a property.

Building Survey

A Building Survey, also known as a Level 3 Survey, is the most comprehensive type of property survey available. Conducted by a qualified surveyor, it provides a detailed assessment of a property's condition, highlighting any defects, structural concerns, maintenance issues, or repairs that may be required. Building Surveys are particularly recommended for older properties, listed buildings, or homes that have been significantly altered.

Buy-to-Let

Buy-to-Let refers to the purchase of a property with the intention of renting it out to tenants rather than occupying it as a primary residence. Buy-to-Let properties are typically financed through specialist mortgage products and are often purchased as an investment to generate rental income and potential long-term capital growth.

C

Cash Buyer

A Cash Buyer is a purchaser who has sufficient funds available to buy a property without requiring a mortgage or other borrowing. Cash buyers are often viewed favourably by sellers as they can typically proceed more quickly and are not dependent on mortgage approval.

Chain

A Chain is a series of connected property transactions where each purchase and sale depends on another transaction completing. For example, a seller may need to purchase their next property before they can complete the sale of their current home. If one transaction in the chain is delayed or falls through, it can affect every other transaction within the chain.

Commission

Commission is the fee charged by an estate agent for successfully introducing a buyer and facilitating the sale of a property. The fee is usually agreed in advance with the seller and is commonly calculated as a percentage of the final sale price. Commission is typically payable upon completion of the transaction.

Comparables

Comparables, often referred to as "comps", are recently sold properties that are similar in size, location, condition, and type to the property being assessed. Estate agents, surveyors, and lenders use comparables to help determine a property's market value.

Completion

Completion is the final stage of a property transaction when ownership officially transfers from the seller to the buyer. On completion day, the purchase funds are transferred, the legal ownership changes hands, and the buyer is able to collect the keys and take possession of the property.

Completion Information and Undertakings Form (TA13)

The Completion Information and Undertakings Form (TA13) is a document completed by the solicitors involved in a property transaction shortly before completion. It confirms key details relating to the sale, including completion arrangements, financial statements, outstanding mortgages, and the documents that will be transferred as part of the transaction.

Condition Survey

A Condition Survey, also known as a Level 1 Survey, is the most basic type of property survey available. It provides an overview of the property's condition and highlights any significant defects or areas requiring attention. A Condition Survey is generally most suitable for newer properties that appear to be in good condition.

Contents Insurance

Insurance that protects your belongings in your home, such as furniture, electronics or clothes, if they’re lost, stolen or damaged.

Conveyancer

A legal professional who handles the process of buying or selling a home. They deal with contracts, searches and transferring ownership. They’re not usually qualified to advise on more complex legal issues.

Conveyancing

The legal process of buying or selling a property. It includes searches, reviewing contracts, exchanging contracts and transferring ownership.

Council Tax

A tax paid to your local council. It helps cover things like rubbish collection, schools and other local services.

Covenant

A legal condition in the title or lease that must be followed and usually applies to future owners too. A positive covenant requires the owner to do something (like maintain a fence). A restrictive covenant prevents the owner from doing something (like building an extension).

D

Deposit

Money you pay when contracts are exchanged, usually 10% of the purchase price.

Desktop Valuation

A property valuation carried out without visiting the property. It’s based on online data and recent local sales.

Disbursements

Extra costs paid on top of your solicitor’s fees, such as search fees, Land Registry charges or Stamp Duty.

Down Valuation

When your lender’s surveyor values the property at less than the price you’ve agreed.

Draft Contract

The first version of the contract sent by the seller’s solicitor. It includes the terms of the sale, property boundaries and what fixtures and fittings are included.