I am progressing with the sale of my ground floor flat in Westerham and the estate agent has just telephoned to say that the purchasers are changing their law firm. The excuse is that the lender will only deal with solicitors on their conveyancing panel. On what basis would a big named mortgage company only work with specific lawyers rather the firm that they want to appoint for their conveyancing in Westerham ?
Lenders have always had panels of law firms they are content to work with, but in the last few years big names such as Santander, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have acted for them for decades.
Lending institutions point to the increase in fraud by way of justification for the reduction – criteria have been tightened as a smaller panel is easier to maintain. Banks tend not to disclose how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society says it is being contacted daily by practices that have been removed from panels. Some are unaware that they have been dropped until contacted by a borrower who has instructed them as might be the situation in your buyers' case. The buyers are unlikely to have any sway in the decision.
Our conveyancer has discovered a defect with the lease for the flat we are purchasing in Westerham. The seller’s lawyers have put forward title insurance as a solution. We are happy with insurance and will cover the costs. Our solicitor says that he must be satisfied that the mortgage company is content with this solution. Are we the client or is the mortgage company ?
Notwithstanding that you have a mortgage offer from the lender does not mean to say that the property will meet their provisions for the purposes of a mortgage. Your lawyer has to ensure that the lease has to comply with the UK Finance Lenders’ Handbook requirements. You and the bank are the client. The appropriate lender specifications have to be complied with.
Are there restrictive covenants that are commonly picked up during conveyancing in Westerham?
Covenants that are restrictive in nature can be picked up when reviewing land registry title as part of the process of conveyancing in Westerham. An 1874 stipulation that was seen was ‘The houses to be erected on the estate are each to be of a uniform elevation in accordance with the drawings to be prepared or approved by the vendor’s surveyor…’
I am purchasing a new build house in Westerham with a loan from Chelsea Building Society. The builders refused to reduce the price so I negotiated 6k of additionals instead. The estate agent suggested that I not to tell my conveyancer about this side-deal as it would impact my mortgage with the bank. Is this normal?.
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 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.
Yesterday I discovered that there is a flying freehold element on a house I put an offer in a fortnight ago in what was supposed to be a quick, no chain conveyancing. Westerham is the location of the property. Can you offer any opinion?
Flying freeholds in Westerham are rare but are more likely to exist in relation to terraced houses. Even where you use a solicitor outside Westerham you would need to get your solicitor to go through the deeds diligently. Your lender may require your conveyancing solicitor to take out an indemnity policy. Some of the more diligent conveyancing solicitors in Westerham may determine that this is not enough and that the deeds be re-written to give you the most up to date legal protection. If so, the next door neighbour also had to sign up to the revised deeds.It is possible that your lender will not accept the situation so the sooner you find out the better. You should also check with your insurance broker as to whether they will insure a flying freehold premises.
Do you have any top tips for leasehold conveyancing in Westerham from the point of view of speeding up the sale process?
- A significant proportion of the frustration in leasehold conveyancing in Westerham can be avoided where you appoint lawyers the minute your agents start advertising the property and request that they start to put together the leasehold documentation which will be required by the buyers’ solicitors. You believe that you know the number of years left on your lease but you should verify this by asking your solicitors. A buyer’s lawyer will not be happy to advise their client to where the remaining number of years is less than 75 years. It is therefore essential at an as soon as possible that you identify whether the lease requires a lease extension. If it does, contact your solicitors before you put your home on the market for sale. The majority of landlords or Management Companies in Westerham levy fees for providing management packs for a leasehold premises. You or your lawyers should discover the fee that they propose to charge. The management pack sought as soon as you have a buyer, thus accelerating the process. The typical amount of time it takes to obtain the necessary information is three weeks. It is the most usual cause of frustration in leasehold conveyancing in Westerham. If you are supposed to have a share in the freehold, you should ensure that you hold the original share document. Obtaining a re-issued share certificate is often a lengthy formality and frustrates many a Westerham conveyancing deal. Where a new share certificate is necessary, do contact the company officers or managing agents (where relevant) for this at the earliest opportunity.
I bought a split level flat in Westerham, conveyancing formalities finalised March 1997. Can you let me have an estimated range of the fair premium for a lease extension? Comparable flats in Westerham with a long lease are worth £265,000. The ground rent is £50 levied per year. The lease ceases on 21st October 2101
With only 76 years left to run the likely cost is going to range between £8,600 and £9,800 plus legals.
The figure above a general guide to costs for extending a lease, but we are not able to supply the actual costs without more detailed due diligence. Do not use the figures in a Notice of Claim or as an informal offer. There may be additional concerns that need to be taken into account and clearly you should be as accurate as possible in your negotiations. Please do not move forward placing reliance on this information before getting professional advice.