Can I exchange and complete on the same day?

In most property transactions there is a gap, often a week or two, between exchange of contracts and completion. But it is entirely possible to do both on the same day. This is usually called simultaneous exchange and completion.

Whether it is a good idea depends on your situation. Here is how it works, when it suits, and what risks to weigh up first.

Exchange and completion: a quick recap

Exchange of contracts is when the deal becomes legally binding and a completion date is fixed. Completion is when the purchase money is transferred, the seller moves out and you get the keys.

The usual gap exists so that everyone can book removals, give notice on rentals and arrange the money with the security of a binding contract. With same-day exchange and completion, that security period disappears.

When same-day exchange and completion works well

It tends to be most practical where there are few moving parts:

• cash purchases where the buyer already holds the funds;
• first-time buyers or buyers moving out of rented property, with no sale to coordinate;
• sellers selling an empty property, such as a probate sale or buy-to-let;
• remortgages and transfers of equity, where there is no exchange in the usual sense;
• situations where a delay has already pushed everyone close to a deadline and all parties are ready.

It can also be useful where a buyer and seller already know each other, for example a sale between relatives, provided everyone understands that nothing is binding until exchange takes place on the day.

In a long chain it is much harder, because every link has to be ready on the same day with funds in place. One delayed mortgage advance can hold up everyone.

The risks of exchanging and completing on the same day

The main risks include:

• No binding commitment until the day itself. A seller or buyer could still withdraw, or ask to renegotiate, on the morning of the move.
• Removal and rental costs. You may have to book a removal firm or end a tenancy without a contractually fixed date.
• Funds timing. Mortgage lenders usually need the conveyancer to request the advance several working days before completion, based on a firm date. If the date slips, the request may have to be redone.
• Buildings insurance. Buyers are normally advised to insure from exchange. With same-day completion, you should have cover arranged in advance and ready to start.
• Bank cut-off times. Funds sent late in the day may not arrive before banks' payment cut-offs, which can push completion to the next working day.

What your conveyancer will need in place

For a same-day exchange and completion to run smoothly, your conveyancer will usually want:

1. all searches back and enquiries answered satisfactorily;
2. your mortgage offer issued and the lender's conditions met;
3. your deposit and the balance of the purchase money cleared in their client account;
4. signed contract and transfer documents, and identity and source-of-funds checks completed;
5. confirmation that the seller's side is also ready, including any mortgage redemption figures.

If you are selling at the same time, your conveyancer will also need a redemption statement from your existing lender so the mortgage can be repaid from the sale proceeds on the same day.

The process still follows the normal order: contracts are exchanged first, then completion monies are sent. Your conveyancer will simply do both steps within a few hours.

Advantages of a same-day completion

There are genuine benefits in the right circumstances:

• it can save days or weeks if everything is ready and there is no reason to wait;
• it avoids a situation where an exchanged buyer or seller is tied in while circumstances change;
• for an empty property, it can reduce holding costs such as council tax, insurance and utilities.

Alternatives to consider

If you want speed without all of the risk, a short gap between exchange and completion, even just a few working days, often gives the best of both. You can then book removals and finalise funds knowing the contract is binding.

Your conveyancer can talk you through the options. You can also read more about how the conveyancing process works and why completion dates are set the way they are. If you are worried about what happens if the other side withdraws after exchange, see our guide on sellers backing out after exchange.

Scotland and Northern Ireland

Scotland has no exchange of contracts in the English sense. The deal becomes binding when missives are concluded, and the "date of entry" is agreed in the missives. Northern Ireland has its own procedure. This guide applies to England and Wales.

Practical tips if you are planning a same-day move

• Ask your removal firm about cancellation or rescheduling charges before you book.
• Keep your current accommodation available for an extra day or two if you can.
• Have your buildings insurance quote ready to activate on exchange.
• Make sure all your funds are with your conveyancer well in advance, and follow their instructions on safe payment to avoid fraud.
• Stay reachable on the day: your conveyancer may need a quick decision.

The government's How to Buy guide gives a helpful overview of the stages from offer to completion.

How we can help

Whether you are purchasing a property or selling your home, you can get a free fixed-fee quote from a regulated conveyancer and ask them about your preferred timescale.

This guide is general information about the law in England and Wales as at the date shown above. It is not legal advice. Every property is different, so ask your conveyancer about your own situation. More in Conveyancing for buying a house.