The owners of the property we are hoping to buy are using a conveyancing firm in South Kensington who has suggested a lock out contract with a deposit two thousand pounds. Is it wise to enter into such agreements?
This kind of contract is unusual in South Kensington, conveyancers are often inclined to direct clients away from them as they detract from focusing on the main conveyancing focus and if you end up having your deposit forfeited then the solicitor at best left with an upset client and at worst a litigious one. Furthermore, there is no certainty that just because the owner has signed an exclusivity agreement they will complete the sale with you. They may be motivated to break the contract if they are offered a big enough incentive to do so because an aggrieved claimant with the benefit of a exclusivity agreement will still have to show losses as a consequence of the breach and this may not equalise the extra amount that your vendor may obtain by breaching the contract, no matter how morally condemnable it undoubtedly is.
I am the registered owner of a freehold house in South Kensington but still pay rent, why is this and what is this?
It is rare for properties in South Kensington and has limited impact for conveyancing in South Kensington but some freehold properties in England (particularly common in North West England) pay an annual sum known as a Chief Rent or a Rentcharge to a third party who has no other legal interest in the land.
Rentcharge payments are usually between £2.00 and £5.00 per year. Rentcharges have existed for many centuries, but the Rent Charge Act 1977 barred the generation of new rentcharges from 1977 onwards.
Previous rentcharges can now be extinguished by making a lump sum payment under the Act. Any rentcharges that are still in existence post 2037 is to be extinguished.
I have 70 years unexpired on my lease and require a lease extension for my flat in South Kensington. Conveyancing solicitors on the Accord Mortgages panel can deal with such extensions correct?
Most leasehold conveyancing experts should be able to deal with a lease extension. if you are securing a mortgage then your lender may insist that the lease be extended before competition. Accord Mortgages have specific requirements as set out in the UK Finance Lenders’ Handbook in relation to minimum unexpired lease terms. As of 22/2/2021 the requirements read as follows :
How does conveyancing in South Kensington differ for new build properties?
Most buyers of new build property in South Kensington approach us having been asked by the builder to exchange contracts and commit to the purchase even before the house is completed. This is because developers in South Kensington typically buy the land, 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 property lawyers 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 South Kensington or who has acted in the same development.
I am looking for a flat up to £305k and found one near me in South Kensington I like with a park and station in the vicinity, however it only has 52 years on the lease. I can't really find anything else in South Kensington suitable, so just wondered if I would be making a grave error buying a short lease?
Should you need a home loan the shortness of the lease will likely be a potential deal breaker. Reduce the price by the expected lease extension will cost if it has not already been discounted. If the current owner has owned the property for a minimum of twenty four months you may request that they start the process of the extension and pass it to you. You can add 90 years to the existing lease and have £0 ground rent by law. You should speak to your conveyancing solicitor concerning this.
Are you able to confirm the aspects of conveyancing undertaken by South Kensington conveyancing firms?
By and large South Kensington conveyancing organisations tend to provide a broad range of services to home and land owners, sellers, investors, landlords and tenants helping outwith some of the following:
-
Domestic sale conveyancing in South Kensington or beyond
Residential purchase conveyancing in South Kensington and throughout England and Wales
Drafting in respect of rights of drainage, services, and access (Easements) Leasehold conveyancing selling and buying Residential Remortgages Unregistered land conveyancing in South Kensington - voluntary registration of title