I am progressing with the sale of my ground floor flat in Greenwich and the estate agent has just e-mailed to warn that the purchasers are appointing a new solicitor. The reason given is that the bank will only work with property lawyers on their conveyancing panel. Why would a big named lender only engage with specific law firms rather the firm that they want to select to handle their conveyancing in Greenwich ?
Lenders have always had an approved set of law firms they are willing to work with, but in the last few years big names such as Lloyds Banking Group, have reviewed and reduced their conveyancing panel– in some cases removing conveyancing firms who have worked with them for more than 15 years.
Mortgage companies blame a rise in fraud by way of justification for the cull – criteria have been narrowed as a smaller panel is easier to maintain. No lender will say 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. Some 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 purchasers are unlikely to have any impact on this.
All was ready to complete my purchase in Greenwich next Thursday. My conveyancing practitioner now wants me to supply her with evidence of content and building insurance for the property as he says that he has to check this in his capacity as lawyer for the lender. What risks does the bank expect the insurance to cover?
All property lawyers on acting for banks would need to check that the following risks are covered fire; lightning; aircraft; explosion; earthquake; storm; flood; escape of water or oil; riot; malicious damage; theft or attempted theft; falling trees and branches and aerials; subsidence; heave;landslip;collision;accidental damage to underground services;professional fees, demolition and site clearance costs; and public liability to anyone else. There are some other issues such as the level of excess that are set out in a lender’s Part 2 instructions. These requirements are not unique to conveyancing in Greenwich.
Will my conveyancing lawyers need to check that the building insurance when buying a house in Greenwich. My lender is Chelsea Building Society
Chelsea Building Society have specific requirements as set out in the UK Finance Lenders’ Handbook. As of 10/10/2021, the requirements read as follows :
Do I select a Licenced Conveyancer or Solicitor for conveyancing in Greenwich?
There are many registered licenced Conveyancers in Greenwich and Solicitor partnerships in Greenwich to choose from It is important to make clear that both are regulated professionals specialising in the legal work in transferring property. The two can conduct other property legal work such as remortgage conveyancing, lease extensions and transfer of equity conveyancing.
We are getting the release of further monies on our home loan from Leeds Building Society as we wish to conduct renovations to our home in Greenwich. Do we need to appoint a local Greenwich solicitor on the Leeds Building Society conveyancing panel to deal with the paperwork?
Leeds Building Society would not normally instruct firms on their approved list of lawyers to handle the formalities. If they do require any legal work then you would need to ensure that such a lawyer was on the Leeds Building Society panel.
My husband and I are spending time looking at flats in Greenwich and I am now considering a potential offer. Is it best to have my property lawyer on ‘stand by’? I intend to finance via a home loan with RBS.
You should start requesting conveyancing quotes from solicitors ASAP. Once you decide who you want to use and once your offer is accepted you can instruct them to work for you and forward their details on to the EA. As you are taking out a mortgage with RBS, make sure you remember to check that your lawyer is on the RBS conveyancing panel.
I am purchasing a new build house in Greenwich benefiting from help to buy. The developers refused to reduce the price so I negotiated five thousand pounds worth of extras instead. The sale representative advised me not disclose to my solicitor about this extras as it could put at risk my loan with Birmingham Midshires. Do I keep my lawyer in the dark?.
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.
Can you provide any top tips for leasehold conveyancing in Greenwich from the point of view of saving time on the sale process?
- Much of the delay in leasehold conveyancing in Greenwich can be avoided where you get in touch lawyers as soon as your agents start marketing the property and request that they start to collate the leasehold information needed by the purchasers’ lawyers. The majority of freeholders or managing agents in Greenwich charge for supplying management packs for a leasehold premises. You or your lawyers should discover the fee that they propose to charge. The management information can be applied for on or before finding a buyer, thus reducing delays. The typical amount of time it takes to obtain the necessary information is three weeks. It is the most frequent cause of delay in leasehold conveyancing in Greenwich. If you have the benefit of shareholding in the freehold, you should make sure that you hold the original share certificate. Obtaining a re-issued share certificate can be a lengthy process and delays many a Greenwich conveyancing deal. If a new share is necessary, do contact the company director and secretary or managing agents (if applicable) for this sooner rather than later. If there is a history of conflict with your landlord or managing agents it is very important that these are settled before the property is marketed. The buyers and their solicitors will be reluctant to purchase a property where a dispute is ongoing. You will have to accept that you will have to pay any arrears of service charge or resolve the dispute prior to the buyers completing the purchase. It is therefore preferable to have any dispute settled prior to the contract papers being issued to the buyers’ solicitors. You will still have to reveal particulars of the dispute to the purchasers, but it is clearly preferable to present the dispute as historic rather than unresolved. You believe that you know the number of years remaining on your lease but it would be advisable verify this by asking your lawyers. A purchaser's conveyancer will not be happy to advise their client to where the lease term is below 80 years. It is therefore important at an as soon as possible that you identify whether the lease term for your property needs extending. If it does, contact your solicitors before you put your premises on the market for sale.
I have tried to negotiate informally with with my landlord for a lease extension without success. Can I make an application to the Leasehold Valuation Tribunal? Can you recommend a Greenwich conveyancing firm to act on my behalf?
if there is a absentee landlord or if there is disagreement about the premium for a lease extension, under the Leasehold Reform, Housing and Urban Development Act 1993 it is possible to make an application to the First-tier Tribunal (Property Chamber) to assess the price payable.
An example of a Lease Extension matter before the tribunal for a Greenwich premises is 73 Walerand Road in August 2012. the result of the findings of the Tribunal led to a premium to be paid for the extended lease in respect of Flat 73 in the sum of £10,040. The premium applicable in respect of Flat 85 was £5,710. This case affected 2 flats. The unexpired residue of the current lease was 72 years.