I am one month into the sale of my house in Earley and the EA has just e-mailed to advise that the buyers are switching property lawyer. The excuse is that the lender will only engage with property lawyers on their approved list. Why would a big named mortgage company only deal with certain lawyers rather the firm that they want to appoint to handle their conveyancing in Earley ?
Banks have always had panels of law firms that can represent them, but in recent years big names such as Lloyds Banking Group, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have represented them for more than 25 years.
Banks point to the increase in fraud as the reason for the reduction – criteria have been tightened as a smaller panel is easier to oversee. Banks tend not to disclose how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society says it is hearing daily from firms that have been removed from panels. Plenty of firms do not even realise they have been dropped until contacted by a borrower who has instructed them as might be the situation in your buyers' case. Your buyers are not going to have any sway in the decision.
I had intended to instruct a conveyancing solicitor in Earley for our house move. Our financial adviser has since notified us that our bank Yorkshire Building Society won't deal with them. Why is this not regarded as unduly restrictive?
Pre- 2008 most mortgage companies had an appetite for risk which was higher than today. Almost all Earley conveyancing firms would have been on many lender panels. The financial services regulator in 2010 carried out a thematic review into mortgage fraud which come to the conclusion: mortgage lenders should know the conveyancing solicitors dealt with. Consequently, lenders are increasingly seeing more information from law firms relating to their operations and the individuals who work for them as well as set certain criteria such a completing on a minimum number of conveyancing. Many Earley conveyancing firms that have been excluded from lender panels have Unblemished track record, no complaints and no claims and didn't just 'dabble' in conveyancing. Earley is one of the thousands of locations where the solicitors we recommend are are authorised to act for Yorkshire Building Society.
My conveyancer has informed me that breach of easement insurance is needed on my purchase. What is the level of cover for Earley conveyancing?
The right level of breach of easement indemnity insurance depends on your lender. It would differ for example between Nationwide Building Society and Norwich and Peterborough Building Society. Conveyancing practitioners as opposed to members of the public take out such policies.
Are all Earley Conveyancing Quality Solicitors on the Nationwide conveyancing panel?
It is true that some lenders now utilise CQS as the kick off point for Panel approval such as HSBC and Santander. The Law Society’s CQS membership however is no guarantee to lender panel acceptance. That being said,the Council of Mortgage Lenders have indicated that it is likely to become a pre-requisite for solicitors wishing to join their panels.
I currently have a mortgage with UBS for my property in Earley. Conveyancing has been completed months ago. In the event that I decide to rent out my property and do not currently have a buy-to-let mortgage do I need to remortgage to a buy-to-let mortgage or inform UBS?
Your original mortgage agreement with UBS will provide that you need their approval in advance of letting out your property as this is likely to be a breach of UBS’s mortgage conditions. It may be that UBS 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 UBS directly. You need not do this via a UBS conveyancing panel solicitor.
I require expedited conveyancing in Earley as I am faced with an ultimatum to exchange contracts in less than one month. A home loan is not required. Can I escape the need for conveyancing searches to save fees and time?
If.Given you are are a cash buyer you have the choice not to have searches conducted although no law firm would suggest that you don't. With plenty of history conveyancing in Earley the following are examples of issues that can appear and adversely affect the marketability of the property: Refused Planning Applications, Outstanding Charges, Overdue Grants, Railway Schemes,...
Are there restrictive covenants that are commonly picked up during conveyancing in Earley?
Restrictive covenants can be picked up when reviewing land registry title as part of the process of conveyancing in Earley. 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 decided to have a survey done on a house in Earley before appointing lawyers. I have been told that there is a flying freehold aspect to the house. My surveyor has said that some lenders may refuse to grant a loan on such a premises.
It varies from the lender to lender. Lloyds has different requirements for example to Nationwide. If you call us we can look into this further via the relevant mortgage company. If you lender is happy to lend one our lawyers can assist as they are used to dealing with flying freeholds in Earley. Conveyancing may be slightly more expensive based on your lender's requirements.