My wife and I are approaching an exchange on a property in Carnforth and my mum and dad have transferred the ten percent deposit to my solicitor. I am now informed that as the deposit has not come from me my conveyancing practitioner needs to disclose this to my mortgage company. I am advised that, in also acting for the lender he must inform them that the balance of the purchase price is not just from me. I informed the bank regarding my parents' contribution when I applied for the home loan, so is it really necessary for him to raise this?
The conveyancer is legally required to check with the bank to make sure that they know that the balance of the purchase price is not from your own funds. The solicitor can only notify this to your mortgage company if you agree, failing which, your lawyer must cease to continue acting.
It is is a decade since I purchased my home in Carnforth. Conveyancing lawyers have now been retained on the sale but I can't track down my title deeds. Will this jeopardise the sale?
Don’t worry too much. Firstly the deeds may be retained by the lender or they could stored with the lawyers who handled the purchase. Secondly in most cases the title will be registered at the land registry and you will be able to establish that you are the registered owner by your conveyancing solicitors obtaining up to date copy of the land registers. The vast majority of conveyancing in Carnforth involves registered property but in the unlikely event that your home is not registered it is more problematic but is resolvable.
Do the Building Society Association intend to launch a searchable register to list law firms on the Earl Shilton BS conveyancing panel for instance in Carnforth?
We are not aware of any intention on the part of the BSA to develop such a search facility.
It has been four months since my purchase conveyancing in Carnforth took place. I have checked the Land Registry website which shows that I paid £200,000 when infact I paid £160,000. Why the discrepancy?
The price paid figure is taken from the application to register the purchase. It is the figure included in the Transfer (the legal deed which transfers the premises from one person to the other) and referred to as the 'consideration' or purchase price. You can report an error in the price paid figure using the LR online form. In most cases errors result from typos so at first glance the figure. Do report it so they can double check and advise.
I am purchasing a new build house in Carnforth with the aid of help to buy. The builders would not reduce the amount so I negotiated five thousand pounds worth of additionals instead. The property agent advised me not to tell my lawyer about the deal as it would affect my mortgage with the bank. Should I keep quiet?.
All lenders require a Disclosure of Incentives Form from the developer 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.
I work for a reputable estate agency in Carnforth where we have experienced a number of flat sales put at risk due to short leases. I have received contradictory information from local Carnforth conveyancing firms. Could you clarify whether the seller of a flat can commence the lease extension process for the purchaser on completion of the sale?
As long as the seller has owned the lease for at least 2 years it is possible, to serve a Section 42 notice to kick-start the lease extension process and assign the benefit of the notice to the purchaser. This means that the proposed purchaser need not have to wait 2 years to extend their lease. 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 purchased a 1st floor flat in Carnforth, conveyancing having been completed in 2009. Can you work out an approximate cost of a lease extension? Corresponding properties in Carnforth with an extended lease are worth £260,000. The ground rent is £50 charged once a year. The lease ends on 21st October 2100
With 75 years left to run the likely cost is going to range between £8,600 and £9,800 plus costs.
The suggested premium range that we have given is a general guide to costs for extending a lease, but we are not able to supply the actual costs in the absence of detailed investigations. Do not use this information in tribunal or court proceedings. There are no doubt other issues that need to be considered and you obviously want to be as accurate as possible in your negotiations. Neither should you move forward placing reliance on this information without first getting professional advice.