I am progressing with the sale of my flat in Chatham and the EA has just telephoned to say that the buyers are appointing a new law firm. I am told that this is due to the fact that the lender will only engage with solicitors on their approved list. On what basis would a leading mortgage company only engage with certain law firms rather the firm that they want to choose for their conveyancing in Chatham ?
Mortgage companies have always had panels of law firms they are content to work with, but in the last few years big names such as Lloyds Banking Group, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have acted for them for decades.
Mortgage companies point to the increase in fraud by way of justification for the pruning – criteria have been stiffened as a smaller panel is easier to keep an eye on. Banks tend not to disclose how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society says it is hearing daily from firms 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. Your buyers are unlikely to have any impact on this.
I am close to exchanging contracts on the sale of our home in Chatham and the buyers lawyers are claiming that there is a possibility that the property was constructed land that was not decontaminated. A local lawyer would know that there is no such problem. For the life of me I don't know why the buyers used a factory type conveyancing firm rather than a conveyancing solicitor in Chatham. Having lived in Chatham for three years we know of no issue. Should we contact our local Authority to obtain clarification need.
It sounds as though you may have a conveyancing solicitor currently acting for you. What do they say? You should enquire of your lawyer before you do anything. It is very possible that once the local authority has been informed of a potential issue it cannot be insured against (a bit like being diagnosed with a serious illness and then taking out life insurance to cover that same illness)
How does conveyancing in Chatham differ for new build properties?
Most buyers of new build or newly converted property in Chatham come to us having been asked by the developer to sign contracts and commit to the purchase even before the house is constructed. This is because house builders in Chatham usually buy the land, 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 Chatham or who has acted in the same development.
I am looking for a ground for flat up to £195,000 and identified one round the corner in Chatham I like with open areas and transport links in the vicinity, the downside is that it's only got 51 years on the lease. There is not much else in Chatham for this price, so just wondered if I would be making a grave error buying a short lease?
If you need a home loan the remaining unexpired lease term may be problematic. Discount the offer by the anticipated lease extension will cost if it has not already been discounted. If the current owner has owned the premises for at least twenty four months you can ask them to start the process of the extension and pass it to you. You can add 90 years to the current lease with a zero ground rent applied. You should speak to your conveyancing solicitor about this.
Do you have any top tips for leasehold conveyancing in Chatham with the aim of expediting the sale process?
- Much of the frustration in leasehold conveyancing in Chatham can be reduced where you get in touch lawyers the minute your agents start advertising the property and request that they start to collate the leasehold documentation needed by the purchasers’ representatives. If you hold a share in a the freehold, you should ensure that you have the original share document. Obtaining a duplicate share certificate can be a time consuming formality and frustrates many a Chatham conveyancing deal. If a reissued share certificate is needed, you should approach the company officers or managing agents (if relevant) for this sooner rather than later. If there is a history of any disputes with your landlord or managing agents it is essential that these are settled prior to the flat being put on the market. The purchasers and their solicitors will be reluctant to purchase a property where there is an ongoing dispute. You may need to swallow your pride and pay any arrears of service charge or settle the dispute prior to completion of the sale. It is therefore preferable to have any dispute settled ahead of the contract papers being issued to the buyers’ solicitors. You are still duty bound to disclose particulars of the dispute to the purchasers, but it is better to reveal the dispute as historic rather than ongoing. You may think that you are aware of the number of years left on your lease but it would be wise to double-check by asking your lawyers. A buyer’s lawyer will be unlikely to recommend their client to proceed with the purchase of a leasehold property the lease term is less than 80 years. In the circumstances it is important at an early stage that you consider whether the lease requires a lease extension. If it does, contact your solicitors before you put your home on the market for sale.
I am the registered owner of a garden flat in Chatham, conveyancing formalities finalised in 1995. Can you work out an approximate cost of a lease extension? Similar flats in Chatham with an extended lease are worth £179,000. The average or mid-range amount of ground rent is £65 invoiced annually. The lease ceases on 21st October 2083
With only 57 years remaining on your lease the likely cost is going to be between £26,600 and £30,800 plus professional fees.
The figure that we have given is a general guide to costs for renewing a lease, but we cannot give you a more accurate figure in the absence of comprehensive investigations. You should not use this information in a Notice of Claim or as an informal offer. There may be other concerns that need to be taken into account and clearly you should be as accurate as possible in your negotiations. Neither should you take any other action placing reliance on this information without first seeking the advice of a professional.
I have recently had an offer accepted on an apartment in Chatham and the estate agent that we are dealing with suggested his solicitor. They quoted £900 including VAT and 3rd party costs. Does this sound like a good deal?
Don't just go on one estimate. You should obtain like-for-like quotes for your conveyancing in Chatham. Then pick one that you trust and just as important, is on the approved panel of the lender that you are sourcing your mortgage from.