My lawyer has uncovered a a problem with the lease for the property we are buying in Old St Mellons. The seller’s lawyers have offered title insurance as a solution. We are content with insurance and will pay for it. Our lawyer says that he must be satisfied that the bank is content with this solution. Are we the client or is the bank?
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 conveyancing practitioner 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 conveyancing practitioner will have no choice but to discontinue acting for you.
Will our conveyancer be raising enquiries about flooding as part of the conveyancing in Old St Mellons.
The risk of flooding is if increasing concern for lawyers dealing with homes in Old St Mellons. Some people will acquire a property in Old St Mellons, completely expectant that at some time, it may suffer from flooding. However, leaving to one side the physical damage, where a property is at risk of flooding, it may be difficult to get a mortgage, satisfactory building insurance, or dispose of the property. There are steps that can be taken during the course of a house purchase to forewarn the purchaser.
Solicitors are not best placed to give advice on flood risk, but there are a numerous searches that can be initiated by the purchaser or by their lawyers which can figure out the risks in Old St Mellons. The standard property information forms supplied to a buyer’s conveyancer (where the solicitors are adopting what is known as the Conveyancing Protocol) includes a usual question of the owner to find out whether the property has ever been flooded. In the event that the property has been flooded in past which is not revealed by the vendor, then a purchaser could commence a claim for damages resulting from an misleading response. The purchaser’s solicitors should also commission an enviro report. This will reveal if there is a recorded flood risk. If so, more detailed investigations should be made.
I am buying a new build house in Old St Mellons benefiting from help to buy. The developers refused to move on the amount so I negotiated five thousand pounds worth of additionals instead. The house builders rep suggested that I not to tell my lawyer about this deal as it may jeopardize my mortgage with Barnsley Building Society. Should I keep quiet?.
All lenders require a Disclosure of Incentives Form from the builder of any new build, converted or renovated property, It is available online from the Lenders’ Handbook page on the CML website. CML form is completed and handed to the lender's surveyor when the inspection is done.
Lenders have different policies on incentives. Some accept none at all, cash or physical, while others will accept cash incentives up to 5%.
Hard to understand why the representative of a builder would be suggesting you withold information from a solicitor when all this will be clearly visible on forms the builder has to supply to its solicitor, the buyer's solicitor and the surveyor.
I am looking for a leasehold apartment up to £305k and found one near me in Old St Mellons I like with open areas and station nearby, the downside is that it only has 49 years on the lease. There is not much else in Old St Mellons suitable, so just wondered if I would be making a grave error purchasing a lease with such few years left?
Should you need a home loan the shortness of the lease may be a potential deal breaker. Reduce the offer by the amount the lease extension will cost if it has not already been discounted. If the current proprietor has owned the property for at least 2 years you may request that they start the process of the extension and pass it to you. An additional ninety years can be extended on to the current lease with a zero ground rent applied. You should speak to your conveyancing solicitor concerning this matter.
Can you offer any advice when it comes to appointing a Old St Mellons conveyancing practice to carry out our lease extension conveyancing?
When appointing a property lawyer for lease extension works (regardless if they are a Old St Mellons conveyancing firm) it is most important that he or she should be familiar with the legislation and specialises in this area of work. We recommend that you make enquires with two or three firms including non Old St Mellons conveyancing practices before you instructing a firm. If the firm is ALEP accredited then that’s a bonus. The following questions might be of use:
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What are the legal fees for lease extension work? If they are not ALEP accredited then what is the reason?
I own a studio flat in Old St Mellons, conveyancing having been completed September 2003. Can you let me have an estimate of the premium that my landlord can legally expect in return for granting a renewal of my lease? Comparable flats in Old St Mellons with over 90 years remaining are worth £197,000. The average or mid-range amount of ground rent is £55 invoiced every year. The lease expires on 21st October 2081
You have 55 years left to run we estimate the premium for your lease extension to range between £31,400 and £36,200 as well as plus your own and the landlord's "reasonable" professional fees.
The suggested premium range 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 due diligence. Do not use the figures in a Notice of Claim or as an informal offer. There are no doubt other issues that need to be considered and clearly you should be as accurate as possible in your negotiations. Please do not take any other action based on this information without first getting professional advice.
Do I stop the direct debit for my mortgage with UBS as soon as a completion date for my sale in Old St Mellons has been agreed?
You are best advised to maintain paying any mortgage payments to UBS until the mortgage is redeemed out of the proceeds of sale as part of your Old St Mellons conveyancing.