A memorandum of sale is a document issued by the estate agent once an offer has been accepted. It confirms the key details of the proposed transaction and is sent to both parties' solicitors to initiate the conveyancing process.
What a memorandum of sale contains
- The agreed purchase price
- The address and full description of the property
- The seller's name and their solicitor's details
- The buyer's name and their solicitor's details
- Any agreed conditions (e.g. "subject to survey" or a specific completion timeline)
- The estate agent's details
Is it legally binding?
No. A memorandum of sale is not a legally binding document. It is simply a record of the agreement in principle between buyer and seller. Either party can withdraw from the transaction at any time before exchange of contracts without legal penalty.
What happens after the memorandum of sale
The estate agent sends the memo to both solicitors, who then begin the conveyancing process. For the buyer, this triggers:
- Your solicitor requesting the draft contract pack from the seller's solicitor
- Your solicitor ordering searches
- Your mortgage application moving to the full submission stage
For the seller, it triggers their solicitor preparing the draft contract and assembling the property information forms (TA6, TA10, and any leasehold documentation).
Important note
The memorandum of sale is not the point at which you should pay any money or consider yourself committed. The commitment comes at exchange of contracts.
This glossary entry is for general information. Always consult your solicitor for advice specific to your transaction.