My wife and I are planning to purchase a house in Sittingbourne and are in fact using a Sittingbourne conveyancing practice. Within the last couple of days our lawyer has forwarded the sale agreement to be signed with a detailed report in anticipation of exchanging contracts shortly. Clydesdale have this morning contacted us to inform me that there is now an issue as our Sittingbourne conveyancer is not on their approved list of lawyers. What do we do from here?
When purchasing a property with mortgage finance it is standard for the purchasers' solicitors to also represent 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 Accreditation 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 are not legally obliged to appoint a law firm on the lender’s conveyancing panel as you are at liberty to use your preferred Sittingbourne lawyers, in which case your legal fees may increase, and it will likely delay the transaction as you have another set of people involved.
My solicitor has uncovered a a problem with the lease for the apartment we are buying in Sittingbourne. The seller’s lawyers have put forward title insurance as a solution. We are content with insurance and will cover the costs. Our conveyancing practitioner has advised that he must ensure that the mortgage company is happy with this solution. Who is the client here, us or the bank?
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 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 conveyancer will have no choice but to discontinue acting for you.
I have been referred to a conveyancing solicitor in Sittingbourne. I need to find out whether they are on the Godiva Mortgages Ltd approved list of lawyers. Could you help?
The first thing to do is e-mail the conveyancer and ask them whether they are on the lender panel. Alternatively you should call Godiva Mortgages Ltd who may be able to help.
Do I select a Licenced Conveyancer or Solicitor for conveyancing in Sittingbourne?
Two types of professional can perform conveyancing in Sittingbourne namely licenced conveyancers or solicitors. Both professionals administer the legal services that you need to complete the sale or purchase of property. They are both duty bound to execute Sittingbourne conveyancing to the same quality and guidelines so you can be sure that your conveyancing will be professionally administered and that the necessary steps will be appropriately followed.
When it comes to mortgage companies such as Virgin Money, do Sittingbourne lawyers have to pay a fee to be on the list of approved solicitors?
We are unaware of any mortgage company fees to be on their panel, although some do levy an administration fee to deal with the processing of the conveyancing panel submission.
I am due to exchange contracts on my apartment. I had a double glazing fitted in May 2008, but did not receive a FENSA certificate or Building Regulation Certificate. My buyer's lender, Coventry BS are being difficult. The Sittingbourne solicitor who is on the Coventry BS conveyancing panel is happy to accept ‘lack of building regulation’ insurance but Coventry BS are requiring a building regulation certificate. Why do Coventry BS have a conveyancing panel if they don't accept advice from them?
It is probably the case that Coventry BS have referred the matter to their valuer. The reason why Coventry BS may not want to accept indemnity insurance is because it does not give them any reassurance that the double glazing was correctly and safely installed. The indemnity insurance merely protects against enforcement action which is very unlikely anyway.
I'm buying a new build house in Sittingbourne with a loan from Barclays Direct. The builders would not budge the amount so I negotiated £7000 of additionals instead. The property agent told me not to tell my conveyancer about this deal as it may impact my loan with the bank. 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 UK Finance website. UK Finance 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 have been on the look out for a leasehold apartment up to £305k and found one close by in Sittingbourne I like with open areas and transport links in the vicinity, the downside is that it only has 49 years on the lease. There is not much else in Sittingbourne for this price, so just wondered if I would be making a mistake buying a short lease?
Should you need a home loan the shortness of the lease will likely be an issue. Discount the offer by the amount the lease extension will cost if not already taken into account. If the existing owner has owned the premises for at least twenty four months you can request that they commence the lease extension formalities and pass it to you. You can add 90 years to the existing lease and have £0 ground rent by law. You should speak to your conveyancing lawyer concerning this.