I am selling my apartment in St James and the EA has just text me to warn that the buyers are switching law firm. The reason given is that the mortgage company will only work with solicitors on their conveyancing panel. On what basis would a leading lender only work with certain lawyers rather the firm that they want to choose to handle their conveyancing in St James ?
Banks have always had an approved set of law firms they are content to work with, but in recent years big names such as Yorkshire Building Society, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have worked with them for many years.
Lenders blame a rise in fraud by way of justification for the pruning – criteria have been tightened as a smaller panel is easier to monitor. 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 are unaware that 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 unlikely to have any sway in the decision.
What does my ID and proof of funds have anything to do with my conveyancing in St James? What am I being asked for?
St James conveyancing solicitors as well as nationwide property lawyers accross the UK have a duty under money laundering regulations to verify the identity of any client with a view to satisfy themselves that clients are who they say they are.
Conveyancing clients are required to supply two forms of certified ID; proof of identity (typically a Passport or Driving Licence) and proof of address (usually a Utility Bill no older than three months).
Evidence of the origin of monies is also required in compliance with the money laundering statutes as solicitors are required to investigate that the funds you are using to buy a property (whether it be the deposit for exchange or the full purchase monies if you are buying mortgage free) has originated from legitimate source (such as employment savings) and is not the fruits of illegitimate activity.
I can not work out if my lender requires a lease extension. I have telephoned my St James bank branch on numerous occasions and was told they are content with the situation and they will lend. My St James conveyancing solicitor - who is on the lender conveyancing panel- telephoned to say that they would not lend based on their specific requirements. I simply don't know who is right.
The property lawyer must follow the Council of Mortgage Lenders’ Handbook Part 2 specifications for your bank. Unless your lawyer obtains specific confirmation in writing that the bank will go ahead, your lawyer has no choice but to refrain from exchanging contract and committing you to the purchase. We would suggest that you ask the bank to contact your lawyer in writing confirming that they will accept the number of years remaining.
I am due to exchange contracts on my house. I had a double glazing fitted in November 2007, but did not receive a FENSA certificate or Building Regulation Certificate. My buyer's mortgage company, Barclays are being a right pain. The St James solicitor who is on the Barclays conveyancing panel is happy to accept ‘lack of building regulation’ insurance but Barclays are requiring a building regulation certificate. Why do Barclays have a conveyancing panel if they don't accept advice from them?
It is probably the case that Barclays have referred the matter to their valuer. The reason why Barclays may not want to accept indemnity insurance is because it does not give them any reassurance that the double glazing was correctly and safely installed. The indemnity insurance merely protects against enforcement action which is very unlikely anyway.
Our offer on a house in St James has been accepted, the owners do nevertheless have a dependent purchase. The sellers have placed an offer on a flat, however it’s not yet tied up, and are looking at other flats booked. I have chosen a high street conveyancing solicitor in St James. What do I do now? When do I get the mortgage application with Kent Reliance started?
It is normal to have anxieties where there is a chain as you are unlikely to want to be too out of pocket too early (home loan application is approx £1k, then survey, St James conveyancing search costs, etc). First, you should check that your conveyancing practitioner is on the Kent Reliance conveyancing panel. Concerning the subsequent steps this very much depends on the specifics of your transaction, desire for this property and on the state of the market. During a hot market many home buyers will apply for a home loan with Kent Reliance and pay for the valuation and only if it comes back ok would they request their lawyer to press on with searches.
I have been told that property searches are the number one cause of hinderance in St James house deals. Is that correct?
The Council of Property Search Organisations (CoPSO) published determinations of research by MoveWithUs that conveyancing searches do not figure within the common causes of delays during the legal transfer of property. Local searches are unlikely to feature in any delay in conveyancing in St James.
The deeds to my house can not be found. The solicitors who dealt with the conveyancing in St James 5 years ago no longer exist. What do I do?
These day there are duplicates made of almost everything, and your solicitor should be aware precisely where to find all the relevant paperwork so you can buy or sell your property without any difficulty. Where copies can’t be located, your solicitor may be able to arrange cover in the form of insurance or indemnities protecting you against future claims on the property.
Due to the input of my in-laws I had a survey completed on a property in St James prior to retaining solicitors. I have been advised that there is a flying freehold overhang to the property. The surveyor advised that some banks will not grant a loan on this type of home.
It depends who your proposed lender is. HSBC has different requirements from Birmingham Midshires. If you e-mail us we can look into this further with the appropriate mortgage company. If you lender is happy to lend one our lawyers can help as they are used to dealing with flying freeholds in St James. Conveyancing can be more complicated and therefore you should check with your conveyancing solicitor in St James to see if the conveyancing will be more expensive.