I plan on buying a maisonette in Swindon. My property lawyer is not listed on the bank approved list. Can I still retain my Swindon conveyancing solicitor notwithstanding that they are excluded from the lender panel?
You must instruct a solicitor to complete the formalities if you require a mortgage to buy your home. They will conduct all the relevant legal checks on the property, make sure that you will be registered as proprietor and ensure that all the required mortgage documentation is dealt with. You could appoint a Swindon solicitor of your choice. However, if the conveyancer selected is not on the lender approved list supplemental charges will arise as separate legal representation will be need by the lender. Lender panel applications may be submitted, so provided your solicitor has not previously applied for membership they should take the opportunity to apply.
I have 70 years remaining on my lease and require a lease extension for my flat in Swindon. Conveyancing solicitors on the The Mortgage Works panel can deal with such extensions correct?
Most leasehold conveyancing experts should be able to deal with a lease extension. if you are securing a mortgage then your lender may insist that the lease be extended before competition. The Mortgage Works have specific requirements as set out in the UK Finance Lenders’ Handbook in relation to minimum unexpired lease terms. As of 6/11/2024 the requirements read as follows :
Where the unexpired lease term is different to that recorded on the mortgage offer, the following clarifies if we need to be informed:
Second hand property:
- If the unexpired lease term on the offer is 85 years or more - only advise us if the actual lease term is less than 85 years
- if the unexpired lease term on the offer is less than 85 years – advise us if the actual lease term is different than reported
- For equity share applications - advise us if the actual lease term is different than reported on the offer
New build property:
- If the unexpired lease term stated on the offer is 125 years (flat) / 250 years (house) or more - only advise us if the actual lease term is less than 125 years (flat) / 250 years (house)
- For equity share applications - always advise us if the actual lease term is different than reported on the offer
Lease terms such as ground rent and event fees must be reasonable at all times during the term of the lease and adhere to our requirements below. If you’re unsure as to whether the terms of a lease are unreasonable or onerous, please refer the details to us in plain English for Valuer consideration. If the potentially onerous terms are in relation to the ground rent please include the current ground rent figure per annum, how often it will be reviewed and the price structure it will be reviewed against. See the guidance below.
SECOND HAND PROPERTIES
Unacceptable - advise Issuing Office (Will be declined):
- Unexpired lease term less than 70 years
- Less than 30 years remaining at the end of the mortgage term
- Ground Rent greater than 0.5% of the property value
- Ground Rent doubles less than every 20 years (e.g. doubles every 5, 10 or 15 years) - acceptable if doubles every 20 years or more
- Ground Rent is compounded RPI
- Ground Rent review period less than or equal to 5 years
Refer to Issuing Office (Valuer will consider any impact on valuation figure and marketability):
- Unexpired lease term is 70 to 85 years
- Ground Rent greater than 0.1% and less than or equal to 0.5% of the property value
- Ground Rent escalation is linked to any indices greater than RPI
- Ground Rent escalation is linked to the value of the building*
- Ground Rent review period is greater than 5 and less than 10 years
- Event clauses exist for normal use e.g. changing the carpet, installing a TV aerial etc
- Estate Rent Charges greater than £500 p/a (please provide details of what the charges cover)
- Service Charges greater than 1.0% of property value p/a (please provide details of what the charges cover)
- Anything that appears onerous, unusual or out of the ordinary
Acceptable (no requirement to advise Issuing Office):
- Unexpired lease term greater than 85 years
- Ground Rent less than or equal to 0.1% of the property value
- Ground Rent review period greater than or equal to 10 years
- Ground Rent escalation less than or equal to RPI
NEW BUILD PROPERTIES (includes office conversions)
Unacceptable - advise Issuing Office (will be declined):
- Unexpired lease term less than 125 years on a new build flat or less than 250 years on a new build house
- Any lease which is subject to a ground rent (or annual rent) being charged which is more than on a peppercorn basis
- Any lease which is subject to a ground rent (or annual rent) being reviewed and altered on any review basis or methodology
Refer to Issuing Office (Valuer will consider any impact on valuation figure and marketability):
- Event clauses exist for normal use e.g. changing the carpet, installing a TV aerial etc
- Estate Rent Charges greater than £500 p/a (please provide details of what the charges cover)
- Service Charges greater than 1.0% of property value p/a (please provide details of what the charges cover)
- Anything else appears onerous, unusual or out of the ordinary
Acceptable (no requirement to advise Issuing Office):
- Unexpired lease term greater than or equal to 125 years on a new build flat or greater than or equal to 250 years on a new build house
- A lease subject to a peppercorn ground rent (annual rent) charges
For the avoidance of doubt, any new build properties completed but not sold pre 30 June 2022 will only be acceptable if the lease conforms to the above guidance
* Where the Ground Rent escalation is linked to the value of the building, please provide the following:
- How is the value of the block/unit currently calculated and if the assessment relates to the block(s), how is the Ground Rent calculated/apportioned per property?
- The current valuation and Ground Rent for each unit
- What is the mechanism for future valuations of the block and how is the Ground Rent calculated/apportioned?
- What is the right of appeal? And is this a documented process within the lease?
- Who bears the cost of the valuation (and appeal) process?
- Confirmation the review period is not less than twenty years
LEASE EXTENSIONS
We require all lease extensions to be completed under the Leasehold Reform Housing and Urban Development Act 1993 and to meet the above criteria as a minimum. Where you become aware that it does not meet these requirements, please refer to the Issuing Office
Do I choose a Licenced Conveyancer or Solicitor for conveyancing in Swindon?
Two types of professional can perform conveyancing in Swindon namely CLC regulated conveyancers or solicitors. Both professionals administer the legal services that required to complete the disposal or purchase of property. They are both duty bound to perform Swindon conveyancing on similar standards and guidelines so you may be sure that your conveyancing will be properly conducted and that all requirements and procedures should be correctly attended to.
I currently have a mortgage with Lloyds for my property in Swindon. Conveyancing was finalised some time ago. If I am intending to rent out my property and do not currently have a buy-to-let mortgage do I need to remortgage to a BTL mortgage or inform Lloyds?
You must advise Lloyds prior to renting your property as this is likely to be a breach of Lloyds’s mortgage conditions. It may be that Lloyds will permit you to let 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 Lloyds directly. You need not do this via a Lloyds conveyancing panel solicitor.
After what seems like an age I have had an offer on an apartment in Swindon agreed to, but there is a chain. The sellers have offered on on an apartment, but it’s not yet tied up, and are looking at other properties in the pipeline. I have selected a nearby conveyancing solicitor in Swindon. What do I do now? At what point do I apply for the mortgage with Virgin Money?
It is understandable to have apprehensions where there is a chain as you are unlikely to want to be too out of pocket too early (mortgage application is approx £1k, then valuation, Swindon conveyancing search fees, etc). First, you must check that your conveyancer is on the Virgin Money approved list. Regarding the next phase this very much dictated by the circumstances of your case, desire for this property and on the state of the market. During a buoyant market the majority of purchasers would apply for a home loan with Virgin Money and pay for the valuation and only if it comes back ok would they pay their solicitor to press on with the conveyancing in Swindon.
Due to the advice of my in-laws I had a survey completed on a property in Swindon in advance of retaining lawyers. I have been informed that there is a flying freehold aspect to the house. Our surveyor advised that some banks tend refuse to grant a loan on this type of property.
It depends who your proposed lender is. HSBC has different instructions from Birmingham Midshires. If you contact us we can check via the appropriate mortgage company. If you lender is happy to lend one our lawyers can help as they are accustomed to dealing with flying freeholds in Swindon. Conveyancing will be smoother if you use a solicitor in Swindon especially if they regularly deal with such properties in Swindon.
How difficult is it to swap conveyancer as I need to appoint one who is on the Santander conveyancing panel. I was using a local conveyancing solicitor in Swindon five minutes from me but he is not approved by Santander
We will our best to assist in finding you a conveyancing solicitor in Swindon on the Santander panel. Please note that the solicitors that we list do not pay us a referral fee if you instruct them and are registered with the SRA who regulate all conveyancing solicitors in Swindon. In utilising the find a conveyancing solicitor tool on this website, you can scrutinise fees for conveyancing solicitors in Swindon and throughout England and Wales.
I only have 68 years unexpired on my flat in Swindon. I am keen to get lease extension but my freeholder is missing. What should I do?
On the basis that you meet the appropriate requirements, under the Leasehold Reform, Housing and Urban Development Act 1993 you can apply to the County Court for for permission to dispense with the service of the initial notice. This will mean that your lease can be lengthened by the magistrate. You will be obliged to prove that you have done all that could be expected to find the landlord. For most situations an enquiry agent should be helpful to try and locate and prepare a report to be accepted by the court as proof that the freeholder is indeed missing. It is wise to seek advice from a conveyancer in relation to proving the landlord’s disappearance and the vesting order request to the County Court overseeing Swindon.
Leasehold Conveyancing in Swindon - Sample of Queries Prior to Purchasing
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What restrictions exist in the Swindon Lease? How long is the Lease? It would be prudent to discover if there is anything that is prohibited in the lease. For instance it is very common in Swindon leases that pets are not permitted in in a block in Swindon. If you like the flatin Swindon however your dog is not allowed to make the move with you then you will be faced hard compromise.