I am in the process of selling my ground floor flat in Chantry and the EA has just called to warn that the purchasers are changing their conveyancer. The excuse is that the bank will only deal with property lawyers on their approved list. On what basis would a major lender only engage with specific lawyers rather the firm that they want to choose for their conveyancing in Chantry ?
Mortgage companies have always had an approved set of law firms they are content to work with, but in the past few years big names such as Nationwide, have reviewed and reduced their conveyancing panel– in some cases removing conveyancing firms who have worked with them for over 25 years.
Lending institutions justify this action to a rise in fraud as the reason for the reduction – criteria have been narrowed as a smaller panel is easier to keep an eye on. 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. Some do not even realise they have been dropped until contacted by a borrower who has instructed them as might be the situation in your buyers' case. Your buyers are unlikely to have any sway in the decision.
We wanted to use a conveyancing solicitor in Chantry for our house purchase. Our financial adviser informed us that our mortgage lenders Coventry Building Society won't deal with them. Surely this is unfair competition?
A decade ago most mortgage companies had an appetite for risk which was higher than today. Almost all Chantry conveyancing firms would have been on many lender panels. The Financial Services Authority in 2010 carried out a thematic investigation into mortgage fraud which concluded: mortgage lenders should know the conveyancing solicitors dealt with. Consequently, mortgage companies have regularly sought more data from law firms relating to their operations and the individuals who work for them as well as establishing certain criteria such a completing on a minimum volume of transactions. Many Chantry conveyancing firms that have been excluded from lender panels have Unblemished track record, no complaints and no claims and didn't just 'dabble' in conveyancing. Chantry is one of the thousands of locations where the lawyers we recommend are members of the panel for Coventry Building Society.
I've recently found out that there is a flying freehold element on a house I put an offer in two weeks back in what should have been a straight forward, chain free conveyancing. Chantry is where the house is located. Can you shed any light on this issue?
Flying freeholds in Chantry are rare but are more likely to exist in relation to terraced houses. Even though you don't necessarily need a conveyancing solicitor in Chantry you would need to get your solicitor to go through the deeds very carefully. Your mortgage company may require your conveyancing solicitor to take out an indemnity policy. Some of the more diligent conveyancing solicitors in Chantry 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 residence.
I was advised by a few property agents in Chantry to find a property lawyer on your site. What’s the financial advantage for Estate Agents to recommend your services over alternative conveyancing organisations?
We refuse to offer any financial incentive for directing people to this site. We found it would be just too difficult a fee as home movers will think, ‘Why is the agent getting a kickback? Why aren’t I receiving any benefit too?’ We would prefer to grow our business on genuine recommendations.
Can you provide any top tips for leasehold conveyancing in Chantry from the perspective of speeding up the sale process?
- Much of the delay in leasehold conveyancing in Chantry can be avoided where you appoint lawyers the minute your agents start advertising the property and ask them to put together the leasehold information which will be required by the purchasers’ representatives. You believe that you know the number of years remaining on your lease but it would be advisable verify this via your solicitors. A buyer’s conveyancer will be unlikely to recommend their client to to exchange contracts if the lease term is below 75 years. In the circumstances it is essential at an as soon as possible that you identify whether the lease term requires a lease extension. If it does, contact your solicitors before you put your home on the market for sale. A minority of Chantry leases require Landlord’s consent to the sale and approval of the buyers. If this is the case, it would be prudent to notify your estate agents to make sure that the purchasers put in hand financial (bank) and professional references. Any bank reference should make it clear that the buyer is financially capable of paying the yearly service charge and the actual amount of the service charge should be quoted in the bank’s letter. You will therefore need to provide your estate agents with the actual amount of the service charge so that they can pass this information on to the buyers or their lawyers. If you have carried out any alterations to the residence would they have required Landlord’s approval? Have you, for example laid down wooden flooring? Chantry leases often stipulate that internal structural changes or addition of wooden flooring calls for a licence from the Landlord approving such works. Should you dont have the consents to hand do not communicate with the landlord without contacting your conveyancer in the first instance.
I inherited a 1st floor flat in Chantry, conveyancing formalities finalised in 2005. Can you shed any light on how much the price could be for a 90 year extension to my lease? Comparable flats in Chantry with an extended lease are worth £211,000. The average or mid-range amount of ground rent is £45 charged once a year. The lease expires on 21st October 2092
You have 67 years left to run the likely cost is going to be between £10,500 and £12,000 as well as legals.
The suggested premium range above a general guide to costs for extending a lease, but we cannot give you the actual costs without more comprehensive due diligence. You should not use this information in tribunal or court proceedings. There are no doubt additional issues that need to be taken into account and clearly you should be as accurate as possible in your negotiations. Please do not move forward placing reliance on this information before seeking the advice of a professional.
I need to assess quotes for conveyancing in Chantry from various conveyancing practitioner and appoint one. Should I get them to sit tight until I a suitable apartment to buy.
We suggest that you only ask your solicitor to open a file and apply for searches once the offer has been accepted on the property particularly as Chantry conveyancing searches are not inexpensive.