The offer is accepted… but the journey is only just beginning

Reaching an agreed sale price is one of the biggest milestones when buying or selling a home.

It’s often the moment everyone breathes a sigh of relief.

But while it may feel like the hard work is over, the legal process is only just getting started.

Over the next few weeks you’ll hear terms like memorandum of sale, proof of funds, conveyancing and anti-money laundering checks. If it’s your first move, it can feel like a completely different language.

The good news is that most of it follows a straightforward process. Understanding what’s happening behind the scenes helps you know what to expect and, more importantly, what you can do to keep your move progressing.

The first few days after an offer is agreed

Once both buyer and seller have accepted the agreed price, your estate agent begins preparing the transaction for the legal process.

Although it can seem like little is happening, there’s a considerable amount of administration taking place.

The agent will:

• Confirm the agreed sale price.
• Collect solicitor or conveyancer details from both parties.
• Confirm the buyer’s financial position.
• Carry out legally required identity and anti-money laundering checks.
• Gather any remaining information needed before issuing the sale paperwork.

This preparation allows the conveyancing process to begin as quickly as possible.

Why do estate agents ask for identification?

This often surprises buyers and sellers.

Estate agents are legally required to carry out identity and anti-money laundering (AML) checks on everyone involved in a property transaction. They’re supervised by HM Revenue & Customs to ensure these obligations are met.

It’s not optional, and it isn’t about being intrusive.

It’s simply part of the legal framework designed to prevent financial crime.

Some estate agents complete these checks themselves, while others use specialist third-party providers.

Both approaches are perfectly normal.

Typically you’ll be asked to provide:

• Photo identification, such as a passport or driving licence.
• Proof of your current address.
• For buyers, evidence showing where the purchase funds are coming from.

Providing these documents promptly helps avoid unnecessary delays.

What is proof of funds?

One of the most common questions buyers ask is, “What exactly counts as proof of funds?”

The answer depends on how you’re financing your purchase.

For example:

Buying with a mortgage

You’ll usually need to provide your Mortgage Agreement in Principle together with evidence of your deposit, typically recent bank statements.

Buying with cash

The estate agent will normally ask to see bank statements confirming the money is available and, where appropriate, evidence showing how those funds were accumulated.

Using a gifted deposit

Gifted deposits generally require confirmation from the person providing the funds, along with evidence of their identity and the source of the gifted money.

Using money from another property sale

If your deposit is coming from the equity in your current home, the estate agent may ask for documentation relating to that sale, such as the Memorandum of Sale or your solicitor’s completion statement once available.

These checks aren’t about judging your finances.

They’re legal requirements that help verify the legitimacy of the money being used in the transaction.

Instructing your solicitor

If you haven’t already chosen a solicitor or licensed conveyancer, this is the time to do so.

The sooner they’re instructed, the sooner they can begin preparing the legal work.

Delays in appointing a solicitor often result in unnecessary delays later.

Your estate agent will ask for your solicitor’s contact details so they can issue the Memorandum of Sale and ensure everyone is working from the same information.

What is a Memorandum of Sale?

Despite the formal name, the Memorandum of Sale isn’t a legally binding contract.

It’s simply the document that confirms:

• The agreed purchase price.
• The property’s address.
• Buyer and seller details.
• Solicitor information for both parties.
• Any relevant conditions attached to the sale.

Once issued, it allows solicitors to begin the conveyancing process.

Think of it as the official starting point for the legal side of your move.

What if there’s a property chain?

Many property transactions are linked together in what’s known as a chain.

For example:

Your buyer may need to sell their own home.

You may be purchasing another property.

That seller may also be moving elsewhere.

Every transaction becomes connected.

Property chains are completely normal, but they do mean progress is often determined by whichever transaction is moving most slowly.

Good communication between estate agents, solicitors and buyers helps minimise delays and keeps everyone informed throughout the process.

What happens if the seller hasn’t found somewhere to buy?

This is another common situation.

Sometimes sellers accept an offer before they’ve secured their onward purchase.

You’ll often hear this described as “sold subject to the seller finding a property.”

While this can extend the overall timescale, it doesn’t necessarily mean the transaction is at risk.

An experienced estate agent will work proactively with the seller to help them secure their next home, allowing the chain to come together as efficiently as possible.

Four simple ways to keep your move progressing

Although many parts of the process are outside your control, there are several things you can do to help.

• Have your identification and financial documents ready.
• Instruct your solicitor as early as possible.
• Respond promptly to questions from your solicitor or estate agent.
• Stay in regular contact and ask for updates if you’re unsure how things are progressing.

Small delays can quickly accumulate, particularly within a property chain.

Being organised from the outset often makes a significant difference.

Buying or selling is a team effort

Once an offer has been accepted, your move becomes a collaboration between buyers, sellers, solicitors, mortgage advisers, surveyors and estate agents.

The smoother everyone communicates, the smoother the transaction is likely to be.

At Location Location East, we believe one of the most important parts of our role is guiding clients through everything that happens after the excitement of agreeing a sale. Good communication, proactive sales progression and explaining the process in plain English help remove much of the uncertainty that people naturally feel during a move.

Frequently Asked Questions

Why do estate agents ask for ID and proof of funds?

Estate agents are legally required to carry out identity and anti-money laundering checks under UK regulations. These checks help verify who you are and confirm the legitimacy of the money being used to purchase the property.

What documents count as proof of funds?

That depends on your circumstances. Buyers using a mortgage will usually provide a Mortgage Agreement in Principle and evidence of their deposit. Cash buyers may need bank statements, while gifted deposits or inheritance funds often require additional supporting documentation.

What is a Memorandum of Sale?

A Memorandum of Sale is the document prepared by the estate agent after an offer has been accepted. It confirms the agreed price, details of the buyer and seller and their respective solicitors, allowing the legal conveyancing process to begin.

Will a property chain slow my move down?

It can. A property chain means several transactions depend on one another, so progress is often determined by the slowest link. Regular communication between everyone involved helps keep the chain moving.

What happens if the seller hasn’t found their next home?

This is quite common. The sale can continue, but completion will usually depend on the seller securing an onward purchase. Your estate agent should keep you updated throughout the process so you understand any impact on the timescales.

About the Ethical Agent Network

One of the biggest frustrations for buyers and sellers is not knowing what’s happening once a sale is agreed. As founding members of the Ethical Agent Network, we believe clear communication, honest advice and keeping clients informed throughout the transaction are just as important as agreeing the sale in the first place.

Sources

• Propertymark Consumer Guidance: Money laundering checks when buying a house (guidance on proof of funds and source of funds).
• HM Revenue & Customs (HMRC): Money Laundering Regulations supervision of UK estate agents.
• Ethical Agent Network: https://www.ethicalagentnetwork.co.uk

Article by Andrew Overman | Partner | Location Location East