Our solicitor has uncovered a a legal deficiency with the lease for the flat we are purchasing in Meopham. The seller’s lawyers have suggested defective title insurance as a solution. We are content with insurance and will pay for it. Our conveyancer has advised that he must be satisfied that the bank is content with this solution. Who is the client here, us or the mortgage company ?
The short answer to your last question is that, notwithstanding the potential for a conflict of interest, you and the lender are the client. Your solicitor must comply with the UK Finance Lenders’ Handbook requirements. The UK Finance Lenders’ Handbook conditions require your lawyer to disclose issues such as defects with the lease so that the lender can be afforded the opportunity to check with their valuer as to the extent that the value of the property is affected. Should you refuse to allow your lawyer to make the appropriate notification then your conveyancer will have no choice but to discontinue acting for you.
I purchased a freehold house in Meopham but nevertheless charged rent, why is this and what is this?
It’s unusual for properties in Meopham and has limited impact for conveyancing in Meopham but some freehold properties in England (particularly common in North West England) pay an annual sum known as a Chief Rent or a Rentcharge to a third party who has no other legal interest in the land.
Rentcharge payments are usually between £2.00 and £5.00 per year. Rentcharges have existed for hundreds of years, but the Rent Charge Act 1977 barred the establishment of fresh rentcharges post 1977.
Old rentcharges can now be extinguished by making a one off payment under the Act. Any rentcharges that are still in existence after 2037 will be extinguished.
I have decided to exercise my right to buy my property in Meopham off the council. I have a mortgage offer with Aldermore. Conveyancing is not something I have any knowledge of. Can I proceed without a solicitor easily? I think we can but we keep being told I should use one. Any advice?
It is not advisable to proceed with a house purchase without a solicitor. The council's solicitor are not acting for you. You need a solicitor for a number reasons. One of which is to verify what plans the Council have for repairs and refurbishment for the next five years. Many leaseholders have been stung for contributions of thousands of pounds. In any event, if you are getting a mortgage with Aldermore, you will need to appoint a solicitor on the Aldermore conveyancing panel.
I have a mortgage with TSB for my property in Meopham. Conveyancing was finalised a year 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 BTL mortgage or inform TSB?
You must advise TSB in advance of renting your property as this is likely to be a breach of TSB’s mortgage conditions. It may be that TSB will permit you to let 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 TSB directly. It should not be necessary to do this via a TSB conveyancing panel lawyer.
At last I have had an offer on an apartment in Meopham accepted, the sellers do however have a dependent purchase. The vendors have offered on a flat, but it’s not been accepted yet, and have viewings of other flats booked. I have instructed a high street conveyancing solicitor in Meopham. What do I do now? When should I get the mortgage application with Clydesdale started?
It is understandable to have concerns where there is a chain as you are unlikely to want to incur expenses too early (mortgage application is approx one thousand pounds, then valuation, Meopham conveyancing search costs, etc). The first course of action is to ensure that your solicitor is on the Clydesdale approved list. As to the next phase this very much depends on the specifics of your transaction, desire for this property and on the state of the market. In a buoyant market the majority of buyers will apply for the mortgage with Clydesdale and arrange for the valuation and only if it comes back ok would they ask their conveyancer to press on with searches.
My wife and I have a terraced Victorian house in Meopham. Conveyancing practitioner acted for me and Barclays . I did a free Land Registry search last week and there are a couple of entries: one for freehold, the second leasehold under the matching address. I thought I was buying a freehold how can I check?
You need to review the Freehold register you have again and check the Charges Register for mention of a lease. The best way to be sure that you are also the registered proprietor of the leasehold and freehold title as well is to check (£3). It is not completely unheard of in Meopham and other areas of the country and poses no real issues for owners other than when they mortgage they have to account for both freehold and leasehold interests when dealing with lenders. You can also question the situation with your conveyancing lawyer who conducted the purchase.
How does the Landlord & Tenant Act 1954 affect my business offices in Meopham and how can you help?
The 1954 Act affords protection to business tenants, granting the a statutory right to make a request to court for a new lease and remain in occupation at the end of an expired lease. There are limited grounds where a landlord can refrain from granting a lease renewal and the rules are complicated. We are happy to direct you to commercial conveyancing solicitors who use the act for protection and help with commercial conveyancing in Meopham
Last September I purchased a leasehold flat in Meopham. Am I liable to pay service charges relating to a period prior to my ownership?
Where the service charge has already been demanded from the previous owner and they have not paid you would not usually be personally liable for the arrears. However, your landlord may still be able to take action to forfeit the lease. A critical element of leasehold conveyancing for your conveyancer to ensure to have an up to date clear service charge receipt before completion of your purchase. If you have a mortgage this is likely to be a requirement of your lender.
If you purchase part way through an accounting year you may be liable for charges not yet demanded even if they relate to a period prior to your purchase. In such circumstances your conveyancer would normally arrange for the seller to set aside some money to cover their part of the period (usually called a service charge retention).
I am the registered owner of a ground floor flat in Meopham, conveyancing formalities finalised June 2011. How much will my lease extension cost? Equivalent flats in Meopham with over 90 years remaining are worth £197,000. The ground rent is £55 per annum. The lease ceases on 21st October 2080
With just 54 years left to run we estimate the premium for your lease extension to be between £32,300 and £37,400 plus legals.
The figure that we have given is a general guide to costs for renewing a lease, but we are not able to provide the actual costs without more comprehensive investigations. You should not use this information in tribunal or court proceedings. There are no doubt additional concerns that need to be taken into account and clearly you want to be as accurate as possible in your negotiations. Neither should you move forward based on this information before getting professional advice.