If you have search properties on Rightmove or on an estate agent’s website and you see the term “No Onward Chain“, you may be wondering what this means.
No onward chain meaning: When a property is listed with no onward chain, it means that the person selling the property isn’t purchasing another property with the proceeds from the sale. This means the sale can complete faster, as the seller does not have to wait to find another place to move into before they can sell.
The benefit of properties with no onward chain is that the purchase can be completed faster, as the vendor isn’t reliant on the sale to buy another property. Longer onward chains have a greater the risk of delays or of the transaction falling through, but with no onward chain the risk is reduced.
No onward chain complications
The best way to avoid any onward chain complications is to find properties sold with “no onward chain“, which means there isn’t an onward chain to create the complications experienced by chain-sales.
You have to check the sellers don’t have an onward chain, as sometimes vendors sometimes can be lying about no onward chain.
What sellers can sell with no onward chain?
Typically, sellers who can sell a property with no onward chain include the following:
The buyer pulls out as a result of problems found on the survey.
The buyer’s mortgage offer is declined due to financial issues.
The conveyancing solicitor are slow to progress the purchase, and the seller gets fed up with waiting and sells to another buyer or pulls out.
Another buyer ‘gazumps’ the sale, which the seller accepts a higher offer from another buyer.
The buyer could change their mind and decide not to proceed.
If the buyer of the property is in a sales-chain, one of the buyers in their chain may have a problem, which could result in the purchase no longer proceeding.
I hope you’ve enjoyed this article about what does no onward chain mean
If you’ve enjoyed this article about “what does no onward chain mean” please share it on your favourite social media site.
Also, if you have any questions, please feel free to comment below too. Please also share any of your experiences with properties you’ve bought. Alternatively, if you need more help, please feel free to contact us on our contact us page here. Or join the discussion and ask your question in the property forum.
What Does No Onward Chain Mean?
Related Posts:
Lying About No Onward Chain + Seller Lied About… If your seller lied about being chain free and said there's no onward chain you can pull-out of the purchase of this property, or continue to completion on the basis…
What Happens When a House Chain Breaks? (Top vs… When a house chain breaks, where ever the failed purchase lies within the chain, this will affect all the buyers and sellers across the whole house chain. This includes the…
Vendor Taking Too Long To Find A House: How Long To Wait If the vendor is taking too long to find another property you have a tough decision between continuing your wait or to begin looking for another property. Your decision is…
Article written by Russell Bowyer who has been investing in property since purchasing his first commercial property in the 1990's for his own Chartered Accountancy business. But his first property investment project was to turn an old dilapidated restaurant into a large 5-bed home, which he purchased for £117,500 and sold for £450,000 (to see an "after" photo of the house before it was sold see here: About). Russell owns a number of investment properties, which includes houses, flats and HMO's. More recently he has turned his creative side to investing in property using lease options. His largest lease option deal to date was to acquire 12 properties worth over £2 million for just £12, which means he paid just £1 to acquire each property!
