Our conveyancer has identified a a legal deficiency with the lease for the flat we are buying in Bow Street. The seller’s lawyers have suggested title insurance as a workaround. We are happy with insurance and will pay for it. Our property lawyer says that he must be satisfied that the lender is willing to move forward with this solution. Who is the client here, us or the lender?
The short answer to your last question is that, notwithstanding the risk of a conflict of interest, you and the bank are the client. Your solicitor must comply with the UK Finance Lenders’ Handbook provisions. The UK Finance Lenders’ Handbook conditions require your lawyer to disclose issues such as defects with the lease so that the lender can be afforded the opportunity to check with their valuer as to the extent that the value of the property is affected. Should you refuse to allow your lawyer to make the appropriate notification then your solicitor will have no choice but to discontinue acting for you.
There is lots of here about conveyancing in Bow Street but can you isolate your top tip for finding the right conveyancer in Bow Street
We would encourage you not to go for the lowest Bow Street conveyancing costs illustration. You really do get what you’re paying for when it comes to conveyancing solicitors. A cheap quote may mean that the conveyancing solicitor is handling a lot of jobs at one time and you won’t get the quality of service and the attention that you need. It is, however, wise to use a conveyancer who has a fixed fee on a no sale, no fee basis. This way, you go into the conveyancing with your eyes wide open.
Two weeks ago we had a mortgage agreed in principle with HSBC. Bow Street conveyancing solicitors are instructed. How long does it take for HSBC to send the offer to the lawyer?
Some lenders take longer than others. Have HSBC done the survey? Have you informed HSBC as to your lawyers' details and checked that your lawyers are on the HSBC conveyancing panel? Sometimes it can take as long as six weeks for a mortgage offer to be issued.
The mortgage over my property is with Lloyds for my property in Bow Street. Conveyancing has been completed 12 months 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 buy-to-let mortgage or inform Lloyds?
Lloyds must be informed of your intention before letting out your property as this is likely to be a breach of Lloyds’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 Lloyds directly. It should not be necessary to do this via a Lloyds conveyancing panel lawyer.
I'm buying a new build house in Bow Street with a mortgage from Britannia. The developers refused to reduce the amount so I negotiated 6k of fixtures and fittings instead. The house builders rep told me not reveal to my solicitor about the deal as it could impact my loan with the lender. 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.
Over the last few months I have been searching for a leasehold apartment up to £305k and identified one close by in Bow Street I like with open areas and station in the vicinity, the downside is that it only has 49 years unexpired on the lease. There is not much else in Bow Street for this price, so just wondered if I would be making a grave error acquiring a lease with such few years left?
If you need a home loan the remaining unexpired lease term will be an issue. Discount the price by the anticipated lease extension will cost if it has not already been discounted. If the current owner has owned the premises for a minimum of 2 years you can request that they start the process of the extension and then assign it to you. You can add 90 years to the existing lease term with a zero ground rent applied. You should speak to your conveyancing solicitor about this.
Am I right to be wary about brokers that I am dealing with are suggesting a web based conveyancing firm rather than a local Bow Street conveyancing firm?
As with lots of professional services, often suggestions from connections can be most helpful. Nevertheless there are many people with a keen interest in a conveyancing transaction; estate agents, financial adviser and banks might all put forward lawyers to choose. Sometimes the lawyers might be known to one of the organisations as experts in their field, but occasionally there may be a financial incentive behind the endorsement. You are free to appoint your own lawyer. However, bear in mind that many banks specify a panel list of law firms you must use for the lender aspect of your transaction.
Jane (my partner) and I may need to let out our Bow Street basement flat for a while due to a new job. We instructed a Bow Street conveyancing practice in 2002 but they have closed and we did not have the foresight to seek any advice as to whether the lease allows us to sublet. How do we find out?
A lease governs relations between the freeholder and you the flat owner; in particular, it will say if subletting is not allowed, or permitted but only subject to certain conditions. The rule is that if the lease contains no specific ban or restriction, subletting is allowed. The majority of leases in Bow Street do not contain an absolute prevention of subletting – such a clause would undoubtedly devalue the flat. Instead, there is usually a basic requirement that the owner notifies the freeholder, possibly supplying a copy of the sublease.
I own a 2 bed flat in Bow Street, conveyancing having been completed 3 years ago. Can you work out an approximate cost of a lease extension? Comparable properties in Bow Street with over 90 years remaining are worth £185,000. The ground rent is £65 invoiced annually. The lease expires on 21st October 2087
With 61 years left to run the likely cost is going to span between £19,000 and £22,000 as well as plus your own and the landlord's "reasonable" professional fees.
The figure that we have given is a general guide to costs for extending a lease, but we cannot give you the actual costs in the absence of detailed investigations. Do not use this information in a Notice of Claim or as an informal offer. There may be additional concerns that need to be considered and you obviously should be as accurate as possible in your negotiations. You should not move forward placing reliance on this information without first seeking the advice of a professional.