My fiance and I are looking to purchase a home in Bredon and are in fact using a Bredon conveyancing practice. Within the past 48 hours our solicitor has sent a preliminary report and documents to look through with a view to exchanging next week. Bank of Scotland have this afternoon contacted us to advise us that there is now an issue as our Bredon lawyer is not on their approved list of lawyers. What do we do from here?
Where you are buying a property with the assistance of a mortgage it is normal for the purchasers' lawyers to also represent the mortgage company. In order to act for a bank or building society a law firm has to be on that lender's conveyancing panel. An application has to be made by the law firm to the lender to become a member of the lender's panel and there are increasingly strict criteria which the firm has to satisfy and indeed some lenders now require their panel members to be part of the Law Society’s Conveyancing Quality Scheme. Your solicitor should contact your lender and see if they can apply for membership of their conveyancing panel, but if that is not viable they will instruct their own lawyers to represent them. You are not legally obliged to appoint a law firm on the lender’s conveyancing panel and you may continue to use your own Bredon solicitors, in which case your legal fees may increase, and it will likely delay the transaction as you have another set of people involved.
Completion of my remortgage has taken place for my property in Bredon. Conveyancing was a necessary evil but I feel I should register my dissatisfaction about the lender. How does one go about formally complaining?
All banks and building societies have complaints procedures. Your first point of contact should be one of the lender’s branches or the Customer Care Department at head office. Ordinarily complaints to a lender are sorted out very quickly. If you feel the matter is not resolved you can write to Financial Ombudsman Service with full details of your complaint.
I can not work out if my lender requires a lease extension. I have called my Bredon building society branch on numerous occasions and was advised it wasn't a problem and they would lend. My Bredon conveyancing solicitor - who is on the bank conveyancing panel- called and was told they would not lend in accordance with their published requirements. I simply don't know who is right.
As long as the conveyancing practitioner is on the lender panel, they must adhere to the CML Handbook provisions for the bank. Unless your lawyer obtains specific confirmation in writing that the lender will go ahead, your lawyer has no choice but to refrain from exchanging contract and committing you to the purchase. We would suggest that you ask the mortgage company to contact your lawyer in writing confirming that they will accept the number of years left on the lease.
Leeds Building Society have agreed my mortgage in principle, my bid on a property in Bredon has been accepted, now what?
Your estate agent will want to be advised as to your lawyer's details (ensure that the conveyancers are on the bank’s panel). Call up Leeds Building Society or the broker and finalise any outstanding forms. Leeds Building Society will instruct a valuer who will get in touch with the selling agent or owners to schedule a time for the valuation to happen. Once conducted (assuming no problems) it takes about ten days for the mortgage offer to be issued. Leeds Building Society will issue the offer to you and your conveyancers. The transaction will then take it’s course according the nature and complexity of the conveyancing in Bredon.
How does conveyancing in Bredon differ for new build properties?
Most buyers of new build residence in Bredon come to us having been asked by the seller to sign contracts and commit to the purchase even before the premises is ready to move into. This is because builders in Bredon typically acquire the real estate, 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 conveyancing solicitors 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 Bredon or who has acted in the same development.
I am looking for a ground for flat up to £305k and found one near me in Bredon I like with a park and station nearby, however it's only got 52 remaining years left on the lease. There is not much else in Bredon suitable, so just wondered if I would be making a mistake buying a short lease?
Should you need a mortgage that many years will be a potential deal breaker. Reduce the offer by the amount the lease extension will cost if not already taken into account. If the existing proprietor has owned the property for at least 2 years you may ask them to start the process of the extension and then assign it to you. An additional ninety years can be extended on to the current lease and have £0 ground rent by law. You should speak to your conveyancing solicitor about this matter.
Are there common defects that you see in leases for Bredon properties?
There is nothing unique about leasehold conveyancing in Bredon. Most leases are unique and drafting errors can sometimes mean that certain sections are missing. For example, if your lease is missing any of the following, it could be defective:
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A provision to repair to or maintain elements of the building A duty to insure the building
A defective lease will likely cause problems when trying to sell a property primarily because it impacts on the ability to obtain a mortgage on the property. Birmingham Midshires, Bank of Scotland, and Britannia all have very detailed conveyancing instructions when it comes to what is expected in a lease. If a mortgage lender believes that the lease is problematic they may refuse to provide security, obliging the purchaser to pull out.
I invested in buying a 1st floor flat in Bredon, conveyancing formalities finalised 4 years ago. How much will my lease extension cost? Comparable flats in Bredon with an extended lease are worth £197,000. The ground rent is £55 levied per year. The lease finishes on 21st October 2081
With only 55 years remaining on your lease the likely cost is going to range between £31,400 and £36,200 plus professional fees.
The suggested premium range above a general guide to costs for extending a lease, but we are not able to provide the actual costs in the absence of comprehensive due diligence. Do not use the figures in tribunal or court proceedings. There are no doubt other issues that need to be taken into account and you obviously should be as accurate as possible in your negotiations. You should not move forward based on this information before seeking the advice of a professional.
Why is it not possible to complete my conveyancing in Bredon on May bank holiday?
This is due to the fact that on completion the money needs to pass between the banks of the purchaser and owner’s conveyancer and at present this can only happen on a working day. So you can't complete on a saturday or sunday either.