Is the fact that my conveyancer in Smithfield is not on my lender's conveyancing panel that there is a problem with the standard of the firm’s work?
It would not be wise to jump to that conclusion. There are all sorts of perfectly reasonable explanations. Just recently a report by the solicitors regulator revealed 76% of law firms surveyed had been removed from at least one lender panel. The most common reasons for removal are: (1) low volume of transactions (2) the solicitor is a sole practitioner (3) as part of the HSBC panel reduction (4) regulatory contact by SRA (5) accidental removal. Where you are concerned you should simply call the Smithfield conveyancing firm and ask them why they are no longer on the approved list for your bank.
Should lawyers ask for an advanced payment for my conveyancing in Smithfield?
If you are buying a property in Smithfield your lawyer will request that you to provide them with funds to cover the the cost of the conveyancing searches. This will be the total of the cost of the conveyancing searches. If any down payment is as part of the purchase price then this should be required shortly in advance of exchange of contracts. The final balance that is due will be payable a couple of days ahead of the day of completion.
I have been told that property searches are the number one reason for hinderance in Smithfield conveyancing transactions. Is that correct?
The Council of Property Search Organisations (CoPSO) has noted the determinations of research by MoveWithUs that conveyancing searches do not feature within the top 10 causes of hindrances in the conveyancing process. Local searches are unlikely to be the root cause of delay in conveyancing in Smithfield.
The estate agent has sent us the confirmation of our purchase of a new build apartment in Smithfield. Conveyancing is daunting at the best of times but I have never purchased a new build flat before. What sort of enquires would be asked in new build legal work.
Set out below is a sample of a few leasehold new build questions that you can expect your new-build leasehold conveyancing in Smithfield
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Investor purchasers must be able to freely grant unsecured tenancies at market rents without requiring any consents. Please provide evidence that the form of Lease proposed has been approved by the Land Registry. Will control of the Management Company (if any) be handed over to purchasers on completion of the last sale or earlier? Where there is an Undertaking being granted there is the risk of forfeiture of the Headlease subject to relief if one or more of the Underlessees are willing to accept the original Head Lessee’s obligations as otherwise relief will be denied to the Underlessees. The only alternatives are the Head Lessor agreeing not to forfeit the Headlease or the Head Lessee guaranteeing to the Underlessees that it will not be in breach of the Headlease.
Should I be wary about estate agents that I am dealing with are suggesting a factory type conveyancing firm rather than a local Smithfield conveyancing practice?
As is the case with many professional services, often suggestions from connections can be extremely useful or valuable. But there are numerous parties with a keen interest in a conveyancing matter; estate agents, financial adviser and lenders might all put forward lawyers to retain. On occasion these conveyancers might be known to one of the organisations as being good in their field, but sometimes there is an underlying commercial relationship behind the recommendation. You are at liberty to select your preferred conveyancer. Don't forget that many lenders specify a panel list of conveyancers you have to use for the lender related work in your house move.
I am a negotiator for a long established estate agency in Smithfield where we have witnessed a few leasehold sales put at risk due to short leases. I have been given inconsistent advice from local Smithfield conveyancing firms. Please can you shed some light as to whether the vendor of a flat can initiate the lease extension process for the purchaser on completion of the sale?
Provided that the seller has owned the lease 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 buyer need not have to wait 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment needs to be completed prior to, or simultaneously with completion of the sale.
An alternative approach is to agree the lease extension with the freeholder 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 purchaser.
I bought a studio flat in Smithfield, conveyancing formalities finalised in 1997. Can you please calculate a probable premium for a statutory lease extension? Equivalent properties in Smithfield with an extended lease are worth £171,000. The average or mid-range amount of ground rent is £50 levied per year. The lease finishes on 21st October 2104
With 79 years remaining on your lease we estimate the premium for your lease extension to be between £8,600 and £9,800 plus professional fees.
The figure that we have given is a general guide to costs for renewing a lease, but we cannot give you the actual costs in the absence of comprehensive due diligence. You should not use the figures in a Notice of Claim or as an informal offer. There may be other concerns that need to be considered and clearly you want to be as accurate as possible in your negotiations. You should not move forward based on this information without first getting professional advice.