My partner and I are planning to buy a property in Tiptree and are in fact using a Tiptree conveyancing practice. Within the last couple of days our conveyancer has sent a preliminary report and documents to look through with the expectation that exchange is imminent. Bank of Ireland have this evening contacted us to inform me that there is now an issue as our Tiptree lawyer is not on their approved list of lawyers. Is this a problem?
When purchasing a property with mortgage finance it is usual for the purchasers' solicitors to also act for the purchaser's lender. 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 Quality 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 solicitors to act. 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 Tiptree lawyers, in which case it will likely add costs, and it will likely delay the transaction as you have another set of people involved.
The sellers of the house we are looking to purchase have appointed a conveyancing practitioner in Tiptree who has recommended a lock out contract with a deposit of 5k. Are such agreements sensible?
Lock out contracts are agreements between a home vendor and purchaser giving the buyer the sole right to purchase the property within a prescribed time frame. For all intents and purposes, an exclusivity agreement is a contract stating that you should have a contract at a later date which is the contract for the actual sale. It tends to be utilised for buyer protection though in some cases, the proprietor may stand to benefit from such agreements as well. There are many pros and cons to using an agreement but you need to check with your lawyer but beware that it may end up costing you more in conveyancing charges. In light of these reasons these agreements are rare when it comes to conveyancing in Tiptree.
Due to the advice of my in-laws I had a survey completed on a house in Tiptree before retaining solicitors. I have been told that there is a flying freehold aspect to the house. Our surveyor advised that some mortgage companies will refuse to give a loan on such a house.
It depends who your proposed lender is. Lloyds has different instructions for example to Nationwide. If you call us we can look into this further via the appropriate lender. If you lender is happy to lend one our lawyers can assist as they are accustomed to dealing with flying freeholds in Tiptree. Conveyancing may be slightly more expensive based on your lender's requirements.
Am I better off to go with a Tiptree conveyancing practitioner who is local to the property I am hoping to buy? We have a good friend who can carry out the conveyancing however her office is 200kilometers away.
The benefit of a high street Tiptree conveyancing practice is that you can drop in to execute documents, deliver your ID and pester them if necessary. They will also have local knowledge which is a bonus. However it's more important to get someone that will do a good and efficient job. If if people you trust instructed your friend and in the main were content that should trump using an unknown Tiptree conveyancing lawyer solely due to them being Tiptree based.
Our conveyancer has advised that he intends to complete and exchange simultaneously on the disposal of our £125,000 garden flat in Tiptree in just under a week. The management company has quoted £372 for Landlord’s certificate, insurance certificate and 3 years service charge statements. Is it legal for a freeholder to charge exorbitant fees for a leasehold conveyance in Tiptree?
Tiptree conveyancing on leasehold maisonettes usually results in fees being levied by managing agents :
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Addressing pre-contract enquiries
Where consent is required before sale in Tiptree
Supplying insurance information
Deeds of covenant upon sale
Registering of the assignment of the change of lessee after a sale
I purchased a studio flat in Tiptree, conveyancing formalities finalised in 1999. How much will my lease extension cost? Similar properties in Tiptree with a long lease are worth £180,000. The average or mid-range amount of ground rent is £65 invoiced annually. The lease terminates on 21st October 2084
You have 58 years left to run the likely cost is going to be between £22,800 and £26,400 plus legals.
The suggested premium range that we have given is a general guide to costs for renewing a lease, but we are not able to advice on the actual costs in the absence of detailed due diligence. You should not use this information in tribunal or court proceedings. There may be additional issues that need to be considered and you obviously should be as accurate as possible in your negotiations. Please do not take any other action based on this information without first seeking the advice of a professional.
I own a leasehold flat in Tiptree. Conveyancing was finished in 2010. I have read on various consumer forums that I mustn’t let the the remaining lease term to fall too low. Why is that a problem?
Tiptree domestic long term leases are for a set term - usually just under one hundred years when they are first granted. However many appartments in Tiptree were constructed or converted in the 70’s80’s and so such leases now have less than 80 years remaining. That may seem like plenty of time however Banks, Building Societies and other mortgage companies tend to need leases to have at least 75 years unexpired to be mortgageable. Accordingly when you come to sell the property you will need a lease extension if you are approaching eighty years. To increase the saleability of your property you should be considering whether or not to extend your lease long before you come to sell it. You should note that there are significant benefits to taking action before the lease reaches even 80 years as when the lease falls below eighty years the amount you have to pay to extend starts to increase.