My husband and I are looking to purchase a home in Southgate and are in fact using a Southgate conveyancing practice. Within the last couple of days our lawyer has forwarded the sale agreement to be signed with a detailed report in anticipation of exchanging contracts shortly. Alliance & Leicester have this morning contacted us to inform me that they have now hit a problem as our Southgate lawyer is not on their conveyancing panel. What do we do from here?
When purchasing a property with mortgage finance it is conventional for the purchasers' solicitors to also act for 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 Accreditation 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 solicitors to act. You are not legally obliged to appoint a law firm on the bank's conveyancing panel as you are at liberty to use your preferred Southgate lawyers, in which case it will likely add costs, and it may delay matters as you have another set of people involved.
I own a freehold property in Southgate yet pay rent, why is this and what is this?
It is rare for properties in Southgate and has limited impact for conveyancing in Southgate 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 post 1977.
Previous rentcharges can now be extinguished by making a lump sum payment under the Act. Any rentcharges that are still in existence in 2037 will be dispensed with completely.
How does conveyancing in Southgate differ for new build properties?
Most buyers of new build or newly converted property in Southgate contact us having been asked by the housebuilder to sign contracts and commit to the purchase even before the house is finished. This is because house builders in Southgate typically purchase the real estate, 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 Southgate or who has acted in the same development.
My step-father has recommend that I instruct his conveyancers in Southgate. Should I choose my own conveyancer?
No doubt the ideal way to choose a conveyancing solicitor is to seek guidance from friends or family who have used the conveyancer you're are thinking of instructing.
Having spent months of dialogue we are unable to agree with our landlord on how much the lease extension should cost for our flat in Southgate. Does the Leasehold Valuation Tribunal have jurisdiction to calculate the appropriate figures?
if there is a missing landlord or where there is disagreement about what the lease extension should cost, 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 arrive at the premium.
An example of a Freehold Enfranchisement case for a Southgate residence is 23 Beaconsfield Road in July 2013. The Tribunals decided that the amount payable was £31,203 for the freehold. This case related to 2 flats. The unexpired residue of the current lease was 70.31 years.
Are there common defects that you encounter in leases for Southgate properties?
Leasehold conveyancing in Southgate is not unique. Most leases are drafted differently and legal mistakes in the legal wording can result in certain provisions are missing. For example, if your lease is missing any of the following, it could be defective:
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A duty to insure the building Maintenance charge proportions which don’t add up to the correct percentage
A defective lease can cause problems when trying to sell a property as they can affect a potential buyer’s ability to obtain a mortgage. Nationwide Building Society, Coventry Building Society, and Clydesdale all have very detailed conveyancing instructions when it comes to what is expected in a lease. Where a lender has been advised by their lawyers that the lease is defective they may refuse to grant the mortgage, forcing the buyer to pull out.
My partner and I yesterday discovered that one of the partners of the conveyancing practice undertaking the purchase conveyancing in Southgate is is the sister of the seller. Is this permitted?
As long as no conflict arises this is permitted. If you are requiring a mortgage then the lender may have a say as many lenders have specific requirements concerning this. For example for RBS (One Account) as of 18/10/2024, the requirements read as follows :