Our lawyer has uncovered a a problem with the lease for the flat we are buying in Ruskington. The seller’s lawyers have put forward title insurance as a workaround. We are content with insurance and will cover the costs. Our property lawyer has advised that he must check that the mortgage company is content with this solution. Who is the client here, us or the lender?
The short answer to your last question is that, notwithstanding the potential for a conflict of interest, you and the bank are the client. Your conveyancer must comply with the UK Finance Lenders’ Handbook conditions. 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 solicitor will have no choice but to discontinue acting for you.
Are all Ruskington Conveyancing Quality Solicitors on the Nottingham conveyancing list of approved practices?
It is true that some lenders now make use of CQS as the kick off point for Panel approval such as HSBC and Santander. The Law Society’s CQS accreditation however is no guarantee to lender panel acceptance. That being said,the Council of Mortgage Lenders have indicated that it is likely to become a pre-requisite for firms wishing to join their panels.
I am purchasing a property in Ruskington. One unusual aspect is that the roof has a solar panel. Nationwide have issued a mortgage offer so presumably this is not a concern to them. Why is my solicitor raising questions about the panel?
As you are obtaining a mortgage with Nationwide your lawyer must check the conveyancing requirements contained in Section two of UK Finance Lenders’ Handbook for Nationwide. The CML Handbook sets out minimum conditions for solar panel roof-space leases, and conveyancing practitioners are required to report to Nationwide where a lease fails to comply with these specifications. The requirements relate to the installation of panels on properties in England and Wales and is not limited to Ruskington.
The mortgage over my property is with Yorkshire BS for my property in Ruskington. Conveyancing was finalised months ago. Should I wish 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 Yorkshire BS?
You must advise Yorkshire BS prior to letting out your property as this is likely to be a breach of Yorkshire BS’s mortgage conditions. It may be that Yorkshire BS 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 Yorkshire BS directly. You need not do this via a Yorkshire BS conveyancing panel solicitor.
I am close to exchanging contracts on the sale of our property in Ruskington and the buyers lawyers are claiming that there is a risk of it being built land that was not decontaminated. Any local lawyer would know this is not the case. It does beg the question why the buyers instructed an online conveyancing firm rather than a conveyancing solicitor in Ruskington. We have lived in Ruskington for three years we know that this is a non issue. Should we get in touch with our local Authority to obtain clarification that the buyers are looking for.
It would appear that you have a conveyancing lawyer currently acting for you. Are they able to advise? You should check with your lawyer before you do anything. It is very possible that once the local authority has been informed of a potential issue it cannot be insured against (a bit like being diagnosed with a serious illness and then taking out life insurance to cover that same ailment)
I am purchasing a new build house in Ruskington benefiting from help to buy. The builders would not move on the price so I negotiated five thousand pounds worth of fixtures and fittings instead. The house builders rep suggested that I not reveal to my lawyer about the side-deal as it will jeopardize my mortgage with Godiva Mortgages Ltd. Is this normal?.
All lenders require a Disclosure of Incentives Form from the developer 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 work for a reputable estate agency in Ruskington where we have witnessed a few leasehold sales derailed due to short leases. I have been given conflicting advice from local Ruskington conveyancing solicitors. Please can you clarify whether the vendor of a flat can instigate the lease extension formalities for the buyer?
Provided that the seller has been the owner for at least 2 years it is possible, to serve a Section 42 notice to start the lease extension process and assign the benefit of the notice to the purchaser. The benefit of this is that the proposed purchaser need not have to wait 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment has to be done prior to, or simultaneously with completion of the sale.
Alternatively, it may be possible to extend the lease informally by agreement with the landlord either before or after the sale. If you are informally negotiating there are no rules and so you cannot insist on the landlord agreeing to grant an extension or transferring the benefit of an agreement to the buyer.
I purchased a 1 bedroom flat in Ruskington, conveyancing formalities finalised May 2007. Can you please calculate a probable premium for a statutory lease extension? Similar flats in Ruskington with over 90 years remaining are worth £216,000. The ground rent is £50 invoiced annually. The lease runs out on 21st October 2094
With 69 years unexpired we estimate the price of your lease extension to span between £9,500 and £11,000 as well as professional fees.
The suggested premium range above a general guide to costs for extending a lease, but we are not able to provide a more accurate figure in the absence of comprehensive investigations. Do not use the figures in tribunal or court proceedings. There may be other concerns that need to be considered and you obviously should be as accurate as possible in your negotiations. Please do not take any other action placing reliance on this information without first seeking the advice of a professional.
How much experience do your Ruskington conveyancing solicitors have with Help To Buy, Shared Equity and similar schemes?
Ruskington conveyancing lawyers help thousands of buyers move home every year and helped plenty of clients through the Help To Buy scheme. The chances are that whatever makes your case unique Ruskington conveyancers have worked on recent similar cases.