I am in the process of selling my apartment in Forest Gate and the estate agent has just called to advise that the purchasers are switching solicitor. The reason given is that the lender will only work with property lawyers on their approved list. Why would a major mortgage company only work with certain solicitors rather the firm that they want to appoint for their conveyancing in Forest Gate ?
UK lenders have always had panels of law firms that can represent them, but in the past few years big names such as HSBC, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have represented them for many years.
Lenders blame a rise in fraud by way of justification for the reduction – criteria have been tightened 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. 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. The buyers are not going to have any impact on this.
We had instructed solicitors based in Forest Gate on the Aldermore solicitor approved list. They have just invoiced me an additional sum for dealing with the Aldermore mortgage. Is this a supplemental conveyancing fee specified by Aldermore?
As unfair as it may appear, as long as it’s in their Terms of Engagement or Quote then yes your property lawyer can charge a fee for this. The charge is not dictated by Aldermore but by your Forest Gate lawyer. Some firms on the Aldermore panel will quote ’dealing with mortgage’ fee and others do not.
We are getting the release of further funds on our mortgage from Nottingham as we intend to conduct renovations to our home in Forest Gate. Do we need to appoint a nearby Forest Gate solicitor on the Nottingham conveyancing panel to handle the legals?
Nottingham would not normally require a member of their conveyancing panel to handle such a matter. If they do require any legal work then you would need to ensure that such a lawyer was on the Nottingham list.
I currently have a mortgage with RBS for my property in Forest Gate. Conveyancing was finalised 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 RBS?
Your original mortgage agreement with RBS will provide that you need their approval in advance of letting out your property as this is likely to be a breach of RBS’s mortgage conditions. It may be that RBS 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 RBS directly. It should not be necessary to do this via a RBS conveyancing panel lawyer.
Will our solicitor be making enquiries regarding flooding as part of the conveyancing in Forest Gate.
The risk of flooding is if increasing concern for solicitors conducting conveyancing in Forest Gate. There are those who buy a property in Forest Gate, fully expectant that at some time, it may be flooded. However, aside from the physical destruction, where a property is at risk of flooding, it may be difficult to obtain a mortgage, suitable building insurance, or sell the premises. Steps can be carried out as part of the conveyancing process to forewarn the purchaser.
Conveyancers are not best placed to offer advice on flood risk, however there are a various searches that may be undertaken by the buyer or on a buyer’s behalf which should give them a better understanding of the risks in Forest Gate. The standard information given to a purchaser’s solicitor (where the Conveyancing Protocol is adopted) contains a standard question of the vendor to determine if the premises has ever been flooded. In the event that the property has been flooded in past and is not revealed by the vendor, then a buyer could commence a compensation claim as a result of such an inaccurate answer. A purchaser’s solicitors will also carry out an enviro search. This should indicate if there is a recorded flood risk. If so, additional investigations should be made.
It has been four months since my purchase conveyancing in Forest Gate took place. I have checked the Land Registry site which shows that I paid £150,000 when infact I paid £170,000. Why the discrepancy?
The price paid figure is taken from the application to register the purchase. It is the figure included in the Transfer (the legal deed which transfers the residence from one person to the other) and referred to as the 'consideration' or purchase price. You can report an error in the price paid figure using the LR online form. In most cases errors result from typos so at first glance the figure. Do report it so they can double check and advise.
I am buying a new build flat in Forest Gate. Conveyancing is necessary evil at the best of times but I have never purchased a new build flat before. What sort of enquires would be asked in new build conveyancing.
Set out below is a sample of a selection of leasehold new build enquiries that you may expect your new-build leasehold conveyancing in Forest Gate
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Forfeiture - bankruptcy or liquidation must not apply under this provision. Please confirm the Lease plans are architect prepared. Will the freehold then be transferred for a nominal consideration (not exceeding £100) to the Management Company? The Vendor must covenant to keep unoccupied units in good repair until long leases are granted therefore.
Due to the encouragement of my in-laws I had a survey completed on a house in Forest Gate prior to appointing conveyancers. I have been informed that there is a flying freehold aspect to the property. My surveyor has said that some banks may not give a mortgage on a flying freehold property.
It depends who your proposed lender is. Lloyds has different instructions for example to Nationwide. If you call us we can check with the relevant mortgage company. If you lender is happy to lend one our lawyers can assist as they are accustomed to dealing with flying freeholds in Forest Gate. Conveyancing will be smoother if you use a solicitor in Forest Gate especially if they are acquainted with such properties in Forest Gate.