I am nearing exchange of contracts for my house in Leominster and the estate agent has just telephoned to warn that the buyers are appointing a new property lawyer. I am told that this is due to the fact that the lender will only engage with solicitors on their conveyancing panel. Why would a leading mortgage company only work with certain lawyers rather the firm that they want to choose for their conveyancing in Leominster ?
UK lenders have always had panels of law firms that can act for them, but in the past few years big names such as Yorkshire Building Society, have reviewed and reduced their conveyancing panel– in some cases removing conveyancing firms who have represented them for more than 15 years.
Lending institutions justify this action to a rise in fraud as the reason for the cull – 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 claims that 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. The buyers are unlikely to have any impact on this.
Do I need to have a meeting at the offices of the solicitor to sign the legal charge? If so, I will choose one who does conveyancing in Leominster so that I can attend their offices when needed.
Whereas this was necessary ten years ago, most mortgage companies no longer require their conveyancing panel solicitor to witness the mortgagors signature. It will still be necessary for you to supply identification documents and there are still distinct advantages to choosing a local ayer, in your case a conveyancing solicitor in Leominster.
I am buying a new build apartment in Leominster. Conveyancing is a frightening process at the best of times but I have never purchased a new build flat before. Can you give me some examples of some of the questions asked in new build conveyancing.
Here is a sample of a few leasehold new build enquiries that you should expect your new-build leasehold conveyancing in Leominster
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Has the Lease plan been approved by the Land Registry and if not when will they be lodged for this purpose? The Vendor must covenant to keep unoccupied units in good repair until long leases are granted therefore. If there are lifts in the building, please confirm that the owners of flats on the ground and basement floors will not be required to contribute towards the cost of maintenance and renewal. Will control of the Management Company (if any) be handed over to purchasers on completion of the last sale or earlier?
I am looking for a flat up to £305k and identified one near me in Leominster I like with open areas and station in the vicinity, the downside is that it only has 49 remaining years left on the lease. I can't really find anything else in Leominster suitable, so just wondered if I would be making a mistake purchasing a short lease?
Should you need a mortgage that many years will be problematic. Reduce the offer by the amount the lease extension will cost if not already taken into account. If the current owner has owned the property for at least 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 and have £0 ground rent by law. You should consult your conveyancing lawyer concerning this.
My father has suggested that I instruct his lawyers for conveyancing in Leominster. Should I choose my own conveyancer?
No doubt it’s preferable to find a conveyancing solicitor is to have recommendations from friends or family who have actually experience in using the conveyancer that you are contemplating using.
I am attracted to a two flats in Leominster both have in the region of 50 years unexpired on the leases. Will this present a problem?
A lease is a legal document that entitles you to use the property for a prescribed time frame. As the lease gets shorter the marketability of the lease decreases and it becomes more expensive to acquire a lease extension. This is why it is advisable to extend the lease term. More often than not it is difficult to sell a property with a short lease as mortgage companies may be unwilling to lend money on properties of this type. Lease enfranchisement can be a protracted process. We recommend you seek professional help from a conveyancer and surveyor with experience in this area.
I invested in buying a studio flat in Leominster, conveyancing was carried out in 2001. Can you shed any light on how much the price could be for a 90 year extension to my lease? Corresponding flats in Leominster with a long lease are worth £165,000. The ground rent is £50 levied per year. The lease expires on 21st October 2102
You have 77 years unexpired we estimate the premium for your lease extension to range between £7,600 and £8,800 plus costs.
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 comprehensive investigations. Do not use the figures in a Notice of Claim or as an informal offer. There are no doubt additional issues that need to be considered and clearly you want to be as accurate as possible in your negotiations. You should not move forward placing reliance on this information before seeking the advice of a professional.