My partner and I are looking to acquire a house in Oakham and have appointed a Oakham conveyancing firm. Within the last couple of days our conveyancer has sent a preliminary report and documents to look through with a view to exchanging next week. Birmingham Midshires have this morning contacted us to advise us that they have now hit a problem as our Oakham solicitor is not on their approved list of lawyers. Please explain?
When purchasing a property with mortgage finance it is normal for the purchasers' lawyers to also act for the mortgage company. In order to act for a bank or building society a law firm has to be on that lender's conveyancing panel. An application has to be made by the law firm to the lender to become a member of the lender's panel and there are increasingly strict criteria which the firm has to satisfy and indeed some lenders now require their panel members to be part of the Law Society’s Conveyancing Quality Scheme. Your solicitor should contact your mortgage company and see if they can apply for membership of their conveyancing panel, but if that is not viable they will instruct their own lawyers to represent them. You don't have to instruct a firm on the lender’s conveyancing panel and you may continue to use your own Oakham solicitors, in which case it will likely add costs, and it will likely delay the transaction as you are adding another lawyer into the mix.
Our solicitor has identified a defect with the lease for the apartment we are purchasing in Oakham. The other side have put forward defective title insurance as a workaround. We are content with insurance and will pay for it. Our conveyancer has advised that he must ensure that the mortgage company is happy with this solution. Are we the client or is the bank?
The short answer to your last question is that, notwithstanding the risk of a conflict of interest, you and the bank are the client. Your property lawyer 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 mortgage company 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 lawyer will have no choice but to discontinue acting for you.
What does my ID and proof of funds have anything to do with my conveyancing in Oakham? Is this really necessary?
Oakham conveyancing solicitors and indeed property lawyers accross the UK have an obligation under money laundering regulations to check the ID of any client in order to ensure that clients are who they say they are.
Conveyancing clients are required to supply two forms of certified ID; proof of ID (usually a Passport or Driving Licence) and proof of address (usually a Bank Statement no older than three months).
Proof of the origin of monies is also required in compliance with the money laundering statutes as conveyancers are mandated to investigate that the monies you are using to buy a property (be it the exchange deposit or the full purchase amount if you are a cash purchaser) has originated from a reputable source (such as an inheritance) and is not the proceeds of criminal activity.
Me and my partner are buying a house in Oakham. It might be a silly question but how we can trust a lawyer? On the day of competition we will need to send money into their account. What is the protection we have from them run away with our deposit?
Be assured that all money in a Solicitors client account is 100% safe, and even if your Solicitor ran off with it, the Law Society would reimburse you fully.
My lawyer has informed me that defective lease insurance is necessary on my purchase. What is the typical level of cover needed for conveyancing in Oakham?
The right level of defective lease indemnity insurance depends on your lender. It would differ for example between Lloyds TSB Bank and Skipton Building Society. Conveyancing lawyers as opposed to borrowers take out such insurances.
I have instructed a Oakham conveyancing practitioner having made sure that they are on the Nationwide conveyancing panel. Does my lawyer arrange the survey of the property?
Nationwide will need an independent valuation of the property. Your lawyer will not arrange this. Usually Nationwide will appoint their own surveyor to do this, and you will have to pay for it. Remember that this is a valuation for mortgage purposes and not a survey. You may wish to consider appointing your own Oakham surveyor to carry out a survey or prepare a home buyers report on the property. It is up to you to satisfy yourself that the property is structurally sound before you buy it. If the survey or report reveals that building work is needed, you should tell your solicitor. You may wish to renegotiate with the seller.
How does conveyancing in Oakham differ for new build properties?
Most buyers of new build premises in Oakham approach us having been asked by the housebuilder to sign contracts and commit to the purchase even before the house is built. This is because builders in Oakham usually purchase the real estate, 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 Oakham or who has acted in the same development.
My husband and I are first time buyers - had an offer accepted, but the agent told us that the owners will only issue a contract if we appoint their recommended conveyancers as they want an ‘expedited deal’. My instinct tells me that we should use a local conveyancer accustomed to conveyancing in Oakham
It is highly unlikely the sellers are driving this. Should the owner want ‘a quick sale', taking such a hostile approach to a serious buyer is likely to cause more damage than good. Bypass the agents and go straight to the owners and explain that (a)you are keen to buy (b)you are ready to progress, with finances arranged © you have nothing to sell (d) you intend to proceed fast (e)but you are going to appoint your preferred Oakham conveyancing solicitors - not the ones that will earn their estate agent a kickback or hit his conveyancing figures pre-set by corporate headquarters.