What Happens Between Exchange and Completion

The Odd Legal Position

Here's the confusing bit: at exchange, you assume the risk of the property, but you don't own it yet. The seller still owns it. But if anything goes wrong with the building, you're responsible.

Think of it this way. Exchange is when the seller loses the right to change their mind and pull out. They're committed to selling you the property. But they still technically own it until completion day. You're committed to buying it. But you don't own it until completion day. Yet the risk—the responsibility for damage or loss—transfers to you the moment contracts are exchanged. According to the Conveyancing Protocol from The Law Society, this transfer of risk is a fundamental part of English property law.

This is why buildings insurance is so critical. From exchange onwards, if there's a fire, you're still obliged to pay the full purchase price. You can't ring the seller and say "the roof's gone, I'm not completing." The insurance is your safety net.

Insurance: Your Legal Obligation

The moment contracts are exchanged, you are legally required to insure the property. This isn't optional. It's written into the Standard Conditions of Sale that every residential property contract includes. Under CHAPS payment regulations, funds released at completion must be backed by proof of insurance as a condition of mortgage advance.

Your mortgage lender will not release funds at completion unless you can prove insurance is in place. This is their protection too. They're lending money on a property they want to see protected.

Buildings insurance covers the structure and fixed fittings: walls, roof, windows, fitted kitchen, fitted bathroom, permanent fixtures. It does not cover your belongings (that's contents insurance, which is your choice).

The insurance must be in place from the date of exchange, not from moving day. This is where many first-time buyers get caught out. They think they'll arrange it just before they move. By then, they're taking a two-week uninsured gap between exchange and moving day. If anything happens in that window, they're exposed.

Arrange buildings insurance weeks before exchange, once you have an exchange date confirmed. Your conveyancer will ask for proof before they exchange. Give yourself a buffer. According to HM Land Registry's processing times guidance, having insurance in place from exchange onwards protects both you and the registry's interests in the property.

What You're Responsible For

Between exchange and completion, you must not alter the property without the seller's permission. You cannot remove fittings, repaint walls, or make structural changes. The contract specifies the condition you're buying it in. You must leave it in that condition.

You're also responsible for maintaining the property in its current state. If a fence collapses or a pipe bursts, that's on you. The seller is still occupying (usually), but legally, you're responsible. This is why buildings insurance is essential—if something breaks, insurance should cover repair costs.

If you've negotiated a Key Undertaking (a formal agreement to occupy the property before completion), you have additional obligations. You must keep the property in a good state of repair. You must pay the seller any outgoings (council tax, utilities, ground rent). You're basically liable as if you're already the owner.

Most buyers don't occupy before completion. They wait for completion day to get the keys. This avoids complications.

The Seller's Obligations

The seller must vacate the property by the completion date. They must remove their own belongings. They must leave any agreed fixtures and fittings (fitted kitchen, fitted wardrobes, garden equipment, etc.) in reasonable condition.

They cannot remove items they promised to leave. If they've agreed the garden furniture stays and they take it, that's a breach of contract. You can take action—claim compensation or require them to return it.

The seller is still responsible for maintaining the property whilst they occupy it. If they're negligent and cause damage (e.g., leave a tap running and cause flooding), they're liable. But after exchange, you're responsible for insuring against loss, so your insurance would claim against their negligence liability.

In practice, the seller wants out. They're usually cooperative about leaving on time and in reasonable condition. Disputes are rare but do happen, usually around which items were meant to stay and which were meant to go.

The Final Walkthrough

Typically 24–48 hours before completion, you'll do a final walkthrough. This isn't a legal right—it's a courtesy, arranged through the estate agent or your conveyancer. But it's essential. This is your chance to confirm:

• All agreed fixtures and fittings are still there
• The property hasn't been damaged
• The seller is vacating
• There are no surprises

If you find problems during the walkthrough, your conveyancer can act immediately. They can contact the seller's conveyancer and request remedial action: repairs before completion, compensation, or retention of funds pending repairs.

If issues are major (significant structural damage, major items missing), your conveyancer may delay completion pending resolution. This is rare but possible.

If the damage or missing items are minor, the standard solution is retention of funds. Your conveyancer holds back some money at completion (say, £2,000 if there's damage needing repair) pending proof of repair. Once you have invoices confirming the work is done, the seller gets the retained funds.

Practical Logistics

The time between exchange and completion gives you space to arrange removals. Don't book your removals for exchange day. Book them for completion day or the day after. Completion timing is uncertain (funds could clear early morning or mid-afternoon), so you don't want your removal lorry sitting outside your old house while you're still waiting for keys.

Similarly, give your utilities notice but don't arrange disconnection on exchange day. Arrange disconnection for completion day or the day after. Your solicitor can coordinate these logistics with the seller's team. Work through the pre-completion checklist during this period to ensure you've covered everything before the big day.

Update your address with your mortgage lender, insurance, banks, and employer. You don't need to do this immediately, but within a week or two is sensible.

If Something Goes Wrong

If the property is damaged between exchange and completion—fire, flood, vandalism, storm damage—you're still obliged to complete. Your buildings insurance covers the damage. You complete, get the keys, and claim on insurance for repairs.

If the seller refuses to vacate by completion, your conveyancer can apply to the court for a possession order. The court can order the seller to leave. This delays completion but you have legal recourse.

If the seller removes agreed fixtures and fittings, you can claim compensation or require their return. Disputes here are settled by retention of funds or post-completion claims.

If the seller becomes insolvent or bankrupt, completion can be affected, but your conveyancer would advise you on your position.

These are rare scenarios. Most sales progress smoothly from exchange to completion. But the legal framework is there to protect you if things go wrong.

Between Exchange and Completion: The Summary

The time from exchange to completion is yours to prepare. Insurance is in place. The seller is preparing to leave. You're arranging removals and updating your address. The final walkthrough gives you a last chance to confirm everything's okay. Then completion day arrives and it's all yours.

Am I responsible for the property between exchange and completion?

Yes, legally you are. The risk transfers to you at exchange, even though the seller still owns it legally. If damage occurs (fire, flood, storm damage), you're obliged to complete the purchase. Your buildings insurance protects you against this.

What if the seller removes fixtures before completion?

That's a breach of contract. Your conveyancer can contact the seller's conveyancer and request they return the items or offer compensation. You can also withhold funds at completion pending resolution. Document anything missing during your final walkthrough.

Can I visit the property between exchange and completion?

Not without permission. The seller still owns it. You arrange visits through the estate agent or your conveyancer, typically for the final walkthrough 24–48 hours before completion.

What happens if the seller doesn't vacate by completion?

This is a breach of contract. Your conveyancer can pursue a possession order through the court. It's rare, but if it happens, completion is delayed while the seller is forced to leave. You may need to reschedule removals and temporary accommodation.