I am 4 weeks into the sale of my house in Pagham and the EA has just called to say that the purchasers are changing their property lawyer. I am told that this is due to the fact that the bank will only engage with solicitors on their approved list. On what basis would a major mortgage company only deal with certain lawyers rather the firm that they want to choose to handle their conveyancing in Pagham ?
Mortgage companies have always had panels of law firms they are willing to work with, 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 acted for them for many years.
Lenders point to the increase in fraud as the reason for the cull – criteria have been tightened as a smaller panel is easier to keep an eye on. No lender will say 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. 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. The purchasers are not going to have any sway in the decision.
When it comes to lenders such as Skipton, do Pagham conveyancing practitioners incur a fee to be on the conveyancing panel?
We are not aware of any mortgage company fees to be on their panel, although some do levy an administration charge to deal with the processing of the conveyancing panel application.
I was told two weeks ago that my mortgage has been agreed to by Principality. Is it usual for Principality to only issue the offer once my solicitor in Pagham is approved on their conveyancing panel? Principality have asked my solicitor to see a copy of their PI Insurance.
Mortgage companies tend not to not issue an offer until they have details of a lawyer on their panel. It can take a few weeks for Principality to deal with your lawyer's application to be on the Principality conveyancing panel. There's no guarantee that your solicitor will be accepted.
Principality have agreed my home loan in principle, my offer on a house in Pagham has been agreed to, what are the next steps?
Your property agent will want to be informed of your lawyer's details (ensure that the conveyancing practitioners are on the bank’s panel). Contact Principality or the financial adviser and finish off any outstanding forms. Principality will appoint a valuer who will get in touch with the estate agent or seller to book an appointment. Once conducted (assuming no problems) it takes approximately ten days for the mortgage offer to be issued. Principality will send the offer to you and your lawyers. The legal work will then take it’s course according the nature and complexity of the conveyancing in Pagham.
Should our solicitor be asking questions about flooding as part of the conveyancing in Pagham.
The risk of flooding is if increasing concern for solicitors dealing with homes in Pagham. Some people will acquire a property in Pagham, completely aware that at some time, it may suffer from flooding. However, aside from the physical destruction, where a property is at risk of flooding, it may be difficult to obtain a mortgage, satisfactory building insurance, or sell the premises. Steps can be carried out as part of the conveyancing process to forewarn the buyer.
Lawyers are not best placed to give advice on flood risk, but there are a various checks that can be undertaken by the purchaser or by their solicitors which can give them a better appreciation of the risks in Pagham. The standard information sent to a purchaser’s conveyancer (where the Conveyancing Protocol is adopted) contains a standard inquiry of the vendor to determine if the property has suffered from flooding. If flooding has previously occurred and is not disclosed by the seller, then a purchaser may commence a legal claim for losses resulting from an misleading response. A purchaser’s lawyers will also carry out an enviro search. This will higlight whether there is any known flood risk. If so, additional investigations should be carried out.
I have been on the look out for a flat up to £235,500 and found one close by in Pagham I like with a park and station in the vicinity, the downside is that it only has 51 remaining years left on the lease. I can't really find anything else in Pagham in this price bracket, so just wondered if I would be making a mistake purchasing a short lease?
Should you require a home loan the shortness of the lease may be a potential deal breaker. Reduce the price by the anticipated lease extension will cost if not already taken into account. If the current proprietor has owned the property for a minimum of 2 years you could request that they start the process of the extension and then assign it to you. An additional ninety years can be extended on to the existing lease term with a zero ground rent applied. You should speak to your conveyancing solicitor regarding this matter.
My wife and I may need to rent out our Pagham 1st floor flat for a while due to taking a sabbatical. We used a Pagham conveyancing practice in 2003 but they have closed and we did not think at the time seek any advice as to whether the lease permits subletting. How do we find out?
A lease dictates relations between the freeholder and you the leaseholder; specifically, it will set out if subletting is not allowed, or permitted but only subject to certain conditions. The rule is that if the lease contains no specific ban or restriction, subletting is allowed. Most leases in Pagham do not contain subletting altogether – such a provision would adversely affect the market value the flat. In most cases there is simply a requirement that the owner notifies the freeholder, possibly sending a copy of the sublease.
I own a garden flat in Pagham, conveyancing having been completed half a dozen years ago. How much will my lease extension cost? Equivalent properties in Pagham with an extended lease are worth £206,000. The average or mid-range amount of ground rent is £45 charged once a year. The lease runs out on 21st October 2091
With just 66 years left to run we estimate the premium for your lease extension to be between £11,400 and £13,200 plus professional fees.
The figure that we have given is a general guide to costs for renewing a lease, but we cannot give you the actual costs in the absence of comprehensive due diligence. Do not use the figures in tribunal or court proceedings. There may be other issues that need to be considered and clearly you should be as accurate as possible in your negotiations. You should not take any other action based on this information before seeking the advice of a professional.
Is there an average conveyancing fee for conveyancing in Pagham?
The average cost last year for conveyancing in Pagham was £1,395 not including Stamp Duty and Land Registry charges.