I am progressing with the sale of my house in Arundel and the estate agent has just e-mailed to warn that the purchasers are changing their conveyancer. The excuse is that the lender will only engage with solicitors on their approved list. Why would a major mortgage company only deal with specific solicitors rather the firm that they want to select for their conveyancing in Arundel ?
Lenders have always had an approved set of law firms that can represent them, but in recent years big names such as Lloyds Banking Group, have reviewed and reduced their conveyancing panel– in some cases removing conveyancing firms who have acted for them for more than 25 years.
Mortgage companies justify this action to a rise in fraud by way of justification for the reduction – criteria have been tightened as a smaller panel is easier to maintain. No lender will say how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society says it is being contacted daily by practices that have been removed from panels. Plenty of firms are unaware that they have been dropped until contacted by a borrower who has instructed them as might be the situation in your buyers' case. The purchasers are unlikely to have any impact on this.
It is a dozen years since I purchased my property in Arundel. Conveyancing lawyers have just been retained on the sale but I am unable to find my deeds. Is this a major issue?
Don’t worry too much. First there is a possibility that the deeds will be kept by your lender or they may be archived with the conveyancers who oversaw the purchase. Secondly the likelihood is that the title will be recorded at the land registry and you will be able to prove you own the property by your conveyancing lawyers procuring up to date copy of the land registers. Most conveyancing in Arundel relates to registered property but in the rare situation where your property is unregistered it adds to the complexity but is not insurmountable.
I am buying my first flat in Arundel benefiting from help to buy. The builders refused to reduce the amount so I negotiated £7000 of additionals instead. The estate agent advised me not disclose to my conveyancer about this extras as it may jeopardize my loan with Birmingham Midshires. Should I keep quiet?.
All lenders require a Disclosure of Incentives Form from the developer of any new build, converted or renovated property, It is available online from the Lenders’ Handbook page on the CML website. CML form is completed and handed to the lender's surveyor when the inspection is done.
Lenders have different policies on incentives. Some accept none at all, cash or physical, while others will accept cash incentives up to 5%.
Hard to understand why the representative of a builder would be suggesting you withold information from a solicitor when all this will be clearly visible on forms the builder has to supply to its solicitor, the buyer's solicitor and the surveyor.
Yesterday I discovered that there is a flying freehold element on a house I put an offer in two weeks back in what should have been a simple, no chain conveyancing. Arundel is where the house is located. What do you suggest?
Flying freeholds in Arundel are unusual but are more likely to exist in relation to terraced houses. Even though you don't necessarily need a conveyancing solicitor in Arundel you would need to get your solicitor to go through the deeds thoroughly. Your lender may require your conveyancing solicitor to take out an indemnity policy. Some of the more diligent conveyancing solicitors in Arundel may ascertain that this is not enough and that the deeds be re-written to give you the most up to date legal protection. If so, the next door neighbour also had to sign up to the revised deeds.It is possible that your lender will not accept the situation so the sooner you find out the better. You should also check with your insurance broker as to whether they will insure a flying freehold premises.
Can you provide any top tips for leasehold conveyancing in Arundel from the perspective of saving time on the sale process?
- Much of the delay in leasehold conveyancing in Arundel can be reduced if you appoint lawyers the minute your agents start marketing the property and ask them to collate the leasehold documentation which will be required by the purchasers’ solicitors. If there is a history of conflict with your freeholder or managing agents it is very important that these are settled before the property is put on the market. The purchasers and their solicitors will be reluctant to purchase a flat where there is a current dispute. You may have to bite the bullet and pay any arrears of service charge or settle the dispute prior to the buyers completing the purchase. It is therefore preferable to have any dispute settled prior to the contract papers being issued to the buyers’ solicitors. You are still duty bound to disclose details of the dispute to the buyers, but it is clearly preferable to reveal the dispute as historic rather than ongoing. If you hold a share in a the freehold, you should ensure that you are holding the original share certificate. Arranging a re-issued share certificate is often a time consuming process and delays many a Arundel home move. Where a reissued share certificate is needed, you should approach the company director and secretary or managing agents (if relevant) for this sooner rather than later. You may think that you are aware of the number of years left on your lease but you should double-check by asking your solicitors. A purchaser's conveyancer will not be happy to advise their client to proceed with the purchase of a leasehold property the remaining number of years is under 75 years. In the circumstances it is important at an as soon as possible that you consider whether the lease for your property needs extending. If it does, contact your solicitors before you put your property on the market for sale. If you have carried out any alterations to the premises would they have required Landlord’s approval? In particular have you laid down wooden flooring? Arundel leases often stipulate that internal structural changes or addition of wooden flooring calls for a licence from the Landlord acquiescing to such alterations. Should you fail to have the approvals to hand do not communicate with the landlord without contacting your lawyer before hand.
I invested in buying a studio flat in Arundel, conveyancing was carried out half a dozen years ago. Can you please calculate a probable premium for a statutory lease extension? Similar flats in Arundel with a long lease are worth £222,000. The average or mid-range amount of ground rent is £50 invoiced annually. The lease runs out on 21st October 2097
With 71 years remaining on your lease we estimate the premium for your lease extension to span between £9,500 and £11,000 plus professional fees.
The suggested premium range above a general guide to costs for extending a lease, but we are not able to supply a more accurate figure in the absence of detailed investigations. You should not use this information in a Notice of Claim or as an informal offer. There may be other issues that need to be considered and clearly you should be as accurate as possible in your negotiations. Neither should you take any other action based on this information before getting professional advice.
Two months into buying a property in Arundel. Conveyancing solicitor has called to say the property is "Leasehold". Does this impact our Natwest valuation?
Arundel conveyancing does not usually involve leasehold houses. The crucial consideration here is the unexpired lease term and the ground rent. If there are hundred of years years remaining with a nominal rent, it's almost the same as freehold, so it shouldn't impact the value too much.
At the other end of the spectrum, if it's, say, Sixty years it will have a adverse impact on the saleability, and most likely wouldn't be acceptable to the bank. The remaining lease term and ground rent will be set out in the lease to be supplied to your solicitor.