I am progressing with the sale of my ground floor flat in Bispham and the estate agent has just text me to warn that the purchasers are switching property lawyer. I am told that this is due to the fact that the mortgage company will only engage with solicitors on their conveyancing panel. On what basis would a big named lender only work with certain solicitors rather the firm that they want to appoint to handle their conveyancing in Bispham ?
Banks have always had an approved set of law firms they are content to work with, but in recent years big names such as Lloyds Banking Group, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have represented them for over 25 years.
Lending institutions justify this action to a rise in fraud by way of justification for the pruning – criteria have been stiffened as a smaller panel is easier to maintain. Banks tend not to reveal how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society claims that it is being contacted daily by practices that have been removed from panels. Some 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. Your purchasers are not going to have any sway in the decision.
What does my ID and proof of funds have anything to do with my conveyancing in Bispham? Is this really warranted?
You are right in the requirement set out by your lawyer has nothing to do with conveyancing in Bispham. Nowadays you can not proceed with any conveyancing deal without first handing over evidence of your identity. This usually takes the form of a either your passport or driving licence and a utility bill. Please note that if you are supplying your driving licence as evidence of ID it needs to be both the paper section as well as the photo card part, one is not satisfactory in the absence of the other.
Proof of your origin of money is mandated in accordance with the Money Laundering Regulations. Please do not be offended when you are asked to produce this as your conveyancer must retain this information on record. Your Bispham conveyancing solicitor will require evidence of proof of funds before they are able to accept any funds from you into their client account and they may also ask further queries regarding the origin of funds.
Is it the case that all Bispham solicitors on the Leeds Building Society conveyancing panel are regulated by the Solicitors Regulatory Authority?
As a firm of solicitors, in order to be on the Leeds Building Society conveyancing panel they would need to be regulated by the Solicitors Regulatory Authority. Some mortgage companies do permit licenced conveyancers on their panel and in that case the firms would be overseen by the Council of Licensed Conveyancers.
I have paid off my mortgage with Kent Reliance. I assume I don't need a Bispham lawyer on the Kent Reliance panel to remove the mortgage at the Land Registry. Please confirm.
If you have finished paying off your Kent Reliance mortgage, they may send you evidence showing that you have paid it off. Alternatively they may notify the Land Registry directly. The Land Registry need to see this evidence before they will remove the Kent Reliance mortgage from the register. Kent Reliance, and any evidence they send you, will determine the action you need to take. In cases where no conveyancer is acting for you and you have paid off your mortgage:
- but are not moving to another property
- where Kent Reliance has sent the Land Registry the discharge electronically, and
- Kent Reliance has instructed the Land Registry to do so
I have a mortgage with Nationwide for my property in Bispham. Conveyancing was finalised a year ago. In the event that I decide to rent out the flat and do not currently have a buy-to-let mortgage do I need to remortgage to a BTL mortgage or inform Nationwide?
Your original mortgage agreement with Nationwide will provide that you need their approval prior to renting your property as this is likely to be a breach of Nationwide’s mortgage conditions. In many cases banks or building societies will allow you to rent out your former home without needing to switch to a buy-to-let mortgage but some lenders will add a surcharge to your mortgage rate to reflect the higher risk. You should contact Nationwide directly. You need not do this via a Nationwide conveyancing panel solicitor.
How does conveyancing in Bispham differ for new build properties?
Most buyers of new build premises in Bispham approach us having been asked by the builder to exchange contracts and commit to the purchase even before the property is finished. This is because new home sellers in Bispham typically purchase the site, plan the estate and want to get the plots sold off as they are building the properties. Buyers, therefore, will have to exchange contracts without actually seeing the house they are buying. To reduce the chances of losing the property, buyers should instruct property lawyers as soon as the property is reserved and mortgage applications should be submitted quickly. Due to the fact that it could be several months and even years between exchange of contracts and completion, the mortgage offer may need to be extended. It would be wise to use a lawyer who specialises in new build conveyancing especially if they are accustomed to new build conveyancing in Bispham or who has acted in the same development.
Over the last few months I have been searching for a flat up to £195,000 and identified one round the corner in Bispham I like with open areas and station in the vicinity, the downside is that it's only got 61 remaining years left on the lease. There is not much else in Bispham suitable, so just wondered if I would be making a mistake acquiring a short lease?
If you need a mortgage the remaining unexpired lease term may be an issue. Reduce the price by the anticipated lease extension will cost if it has not already been discounted. If the existing proprietor has owned the property for a minimum of 2 years you can ask them to start the process of the extension and then assign it to you. You can add 90 years to the current lease term with a zero ground rent applied. You should speak to your conveyancing solicitor concerning this matter.
My uncle has urged me to instruct his conveyancing solicitors in Bispham. Should I choose my own conveyancer?
No doubt the best way to find a conveyancing solicitor is to have recommendations from friends or family who have actually experience in using the conveyancer you're are thinking of instructing.