My fiance and I are looking to purchase a home in Perranporth and are in fact using a Perranporth conveyancing practice. Within the past 48 hours our solicitor has sent a preliminary report and documents to look through in anticipation of exchanging contracts shortly. Virgin Money have this evening contacted us to inform me that they have now hit a problem as our Perranporth lawyer is not on their approved list of lawyers. Please explain?
When purchasing a property with the benefit of a mortgage it is conventional for the purchasers' lawyers to also represent the purchaser's lender. In order to act for a bank or building society a law firm has to be on that lender's conveyancing panel. An application has to be made by the law firm to the lender to become a member of the lender's panel and there are increasingly strict criteria which the firm has to satisfy and indeed some lenders now require their panel members to be part of the Law Society’s Conveyancing Quality Scheme. Your property lawyer should contact your lender and see if they can apply for membership of their conveyancing panel, but if that is not viable they will instruct their own lawyers to represent them. You are not legally obliged to appoint a law firm on the lender’s conveyancing panel as you are at liberty to use your preferred Perranporth lawyers, in which case your legal fees may increase, and it may delay matters as you have another set of people involved.
We are soon to exchange buying a house in Perranporth but as a result of wreckage from a small fire at the property I have managed to agree compensation from the seller of £3k in the form of a deduction in the price. I had intended this to be addressed as part of the conveyancing process however Aldermore are not allowing this. Should they have been informed?
The lawyer being on the Aldermore approved list is obliged to advise Aldermore of any changes to the sale price. If you were to refuse your lawyer to report the price change to Aldermore then they would have to discontinue acting for you. In addition, Aldermore and you would have to appoint a new conveyancer for your conveyancing in Perranporth.
As a first time buyer what is the most important piece of guidance you can impart regarding purchase conveyancing in Perranporth?
You may not hear this from too many lawyers but conveyancing in Perranporth or throughout Cornwall is an adversarial process. Put another way, when it comes to conveyancing there is lots of opportunity for confrontation between you and other parties involved in the transaction. For instance, the vendor, property agent and sometimes your mortgage company. Choosing a lawyer for your conveyancing in Perranporth should not be taken lightly as your conveyancer is your adviser, and is the ONE party in the transaction whose responsibility is to look after your legal interests and to protect you.
Sometimes a third party with a vested interest will attempt to convince you that it is in your interests to do things their way. For example, the estate agent may claim to be assisting by suggesting your solicitor is dragging his heels. Or your mortgage broker may try to convince you to do take action that is against your solicitors guidance. You should always trust your lawyer above all other parties when it comes to the legal transfer of property.
I am mortgaging my property in Perranporth, does my lawyer need to be on the Bank of Ireland Conveyancing panel?
In theory, you could use a solicitor that is not on the Bank of Ireland conveyancing panel, but Bank of Ireland would require one of their panel solicitors to be instructed to act in their interests, and you'd have to pay for this - so most people instruct a panel solicitor. It's also easier, as otherwise you'd have to deal with two solicitors for the same transaction.
How does conveyancing in Perranporth differ for newly converted properties?
Most buyers of new build property in Perranporth come to us having been asked by the developer to exchange contracts and commit to the purchase even before the property is constructed. This is because builders in Perranporth tend to purchase the site, plan the estate and want to get the plots sold off as they are building the properties. Buyers, therefore, will have to exchange contracts without actually seeing the house they are buying. To reduce the chances of losing the property, buyers should instruct conveyancing solicitors as soon as the property is reserved and mortgage applications should be submitted quickly. Due to the fact that it could be several months and even years between exchange of contracts and completion, the mortgage offer may need to be extended. It would be wise to use a lawyer who specialises in new build conveyancing especially if they are accustomed to new build conveyancing in Perranporth or who has acted in the same development.
Due to the guidance of my in-laws I had a survey completed on a property in Perranporth in advance of appointing lawyers. I have been informed that there is a flying freehold element to the house. Our surveyor has said that some banks will not give a mortgage on this type of house.
It depends who your proposed lender is. Lloyds has different requirements for example to Birmingham Midshires. Should you wish to call us we can check via the relevant lender. If you lender is happy to lend one our lawyers can help as they are accustomed to dealing with flying freeholds in Perranporth. Conveyancing can be more complicated and therefore you should check with your conveyancing solicitor in Perranporth to see if the conveyancing will be more expensive.