I purchased a freehold residence in Valley yet pay rent, why is this and what is this?
It’s unusual for properties in Valley and has limited impact for conveyancing in Valley 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 hundreds of years, but the Rent Charge Act 1977 barred the generation of new rentcharges from 1977 onwards.
Previous rentcharges can now be redeemed by making a lump sum payment under the Act. Any rentcharges that are still in existence after 2037 is to be dispensed with completely.
Will commercial conveyancing searches disclose planned roadworks that may impact a commercial premises in Valley?
Many commercial conveyancing solicitors in Valley will execute a SiteSolutions Highways report as it dramatically cuts the time that conveyancers invest in looking into accurate data on highways that impact buildings and development assets in Valley. The search result provides definitive information on the adoption status of roads, footpaths and verges, as well as the implication of traffic schemes and the rights of way surrounding a commercial development sites in Valley.
For every commercial conveyancing transaction in Valley it is crucial to investigate the adoption status of roads surrounding a site. The absence of identifying developments where adoption procedures have not been addressed adequately can result in delays to Valley commercial conveyancing deals as well as present a risk to future plans for the site. These searches are not ordered for residential conveyancing in Valley.
I am buying a new build house in Valley with a mortgage from Skipton Building Society. The sellers refused to budge the price so I negotiated £7000 of fixtures and fittings instead. The sale representative advised me not inform my conveyancer about this deal as it would put at risk my mortgage with Skipton Building Society. Is this normal?.
All lenders require a Disclosure of Incentives Form from the developer of any new build, converted or renovated property, It is available online from the Lenders’ Handbook page on the CML website. CML form is completed and handed to the lender's surveyor when the inspection is done.
Lenders have different policies on incentives. Some accept none at all, cash or physical, while others will accept cash incentives up to 5%.
Hard to understand why the representative of a builder would be suggesting you withold information from a solicitor when all this will be clearly visible on forms the builder has to supply to its solicitor, the buyer's solicitor and the surveyor.
I opted to have a survey done on a property in Valley in advance of retaining conveyancers. I have been informed that there is a flying freehold aspect to the house. My surveyor has said that some lenders will not grant a mortgage on a flying freehold premises.
It depends who your proposed lender is. HSBC has different requirements from Nationwide. Should you wish to call us we can check via 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 Valley. Conveyancing can be more complicated and therefore you should check with your conveyancing solicitor in Valley to see if the conveyancing costs will increase in light of this.
What makes a Valley lease unmortgageable?
There is nothing unique about leasehold conveyancing in Valley. All leases are drafted differently and legal mistakes in the legal wording can result in certain clauses are not included. For example, if your lease is missing any of the following, it could be defective:
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A provision to repair to or maintain elements of the building Clauses dealing with recovering service charges for expenditure on the building or common parts.
A defective lease can cause problems when trying to sell a property primarily because it impacts on the ability to obtain a mortgage on the property. HSBC Bank, The Mortgage Works, and TSB all have very detailed conveyancing instructions when it comes to what is expected in a lease. If a mortgage lender believes that the lease does not cover certain provisions they may refuse to provide security, obliging the purchaser to pull out.
Leasehold Conveyancing in Valley - Sample of Queries Prior to Purchasing
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How many years remain on the lease? Does the lease include onerous restrictions? What is the name of the managing agents?
We are in the middle of purchasing a residence in Valley. Conveyancing solicitor has told us the property is "Leasehold". Does this make a difference on our home loan valuation?
Valley conveyancing does not usually involve leasehold houses. The crucial factor here is the length of lease and the ground rent. If it's 999 years with a nominal rent, it's virtually freehold, so it shouldn't impact the marketability significantly.
At the other end of the spectrum, if it's, say, fifty five years it is bound to have a significant impact on the value, and most likely wouldn't be mortgageable. The remaining lease term and ground rent will be set out in the lease which should be made available to your conveyancing practitioner.