We are buying a 1 bedroom flat in Witham with a mortgage. We have a Witham solicitor, however the mortgage company advise she’s not on their "panel". We have to appoint one of the lender panel conveyancing practices or keep our Witham property lawyer as well as pay for one of their panel firms to act for them. We feel that this is unjust; is there anything we can do?
No, not really. Your mortgage offer is subject to its terms and conditions, one of which will be that lawyers will on the bank’s conveyancing panel. Until recently, most lenders had large numbers of law firms on their panels: a borrower could choose one for themselves, as long as it was on the lender's panel. The lender would then simply instruct the borrower's lawyers to act for the lender, too. You can use your lender's panel lawyers or you could borrow from another lender which does not restrict your choice. Another option that might be available is for your Witham conveyancing solicitor to apply to be on the conveyancing panel.
Our solicitor has uncovered a defect with the lease for the flat we are buying in Witham. The other side have suggested defective title insurance as a workaround. We are content with insurance and will pay for it. Our lawyer says that he must check that the mortgage company is happy with this solution. Who is the client here, us or the bank?
Regardless of the fact that you have a mortgage offer from the bank does not mean to say that the property will meet their specifications for the purposes of a mortgage. Your lawyer has to ensure that the lease has to comply with the UK Finance Lenders’ Handbook requirements. You and the mortgage company are the client. These conveyancing instructions must be adhered to.
I purchased a freehold residence in Witham but still invoiced for rent, why is this and what is this?
It’s unusual for properties in Witham and has limited impact for conveyancing in Witham 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 post 1977.
Old 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 dispensed with completely.
The deeds to my house can not be found. The solicitors who dealt with the conveyancing in Witham 5 years ago have long since closed. What are my next steps?
In today’s world there are duplicates made of almost everything, and your conveyancer will know precisely where to find all the appropriate paperwork so you can buy or sell your house without any difficulty. If duplicates are not available, your lawyer may be able to arrange cover in the form of insurance or indemnities against future claims on your property.
How does conveyancing in Witham differ for new build properties?
Most buyers of new build or newly converted property in Witham come to us having been asked by the seller to sign contracts and commit to the purchase even before the house is completed. This is because new home sellers in Witham tend to 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 conveyancers 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 Witham or who has acted in the same development.
I am a negotiator for a long established estate agency in Witham where we have witnessed a few leasehold sales jeopardised due to leases having less than 80 years remaining. I have been given contradictory information from local Witham conveyancing firms. Please can you shed some light as to whether the vendor of a flat can start the lease extension process for the buyer?
Provided that the seller has been the owner for at least 2 years it is possible, to serve a Section 42 notice to start the lease extension process and assign the benefit of the notice to the purchaser. The benefit of this is that the buyer need not have to sit tight for 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment needs to be completed prior to, or simultaneously with completion of the sale.
An alternative approach is to extend the lease informally by agreement with the landlord either before or after the sale. If you are informally negotiating there are no rules and so you cannot insist on the landlord agreeing to grant an extension or transferring the benefit of an agreement to the buyer.
I own a leasehold flat in Witham, conveyancing having been completed 9 years ago. Can you shed any light on how much the price could be for a 90 year extension to my lease? Equivalent properties in Witham with an extended lease are worth £179,000. The average or mid-range amount of ground rent is £65 charged once a year. The lease finishes on 21st October 2083
With only 57 years left to run the likely cost is going to range between £26,600 and £30,800 plus legals.
The suggested premium range above a general guide to costs for renewing a lease, but we are not able to provide a more accurate figure without more detailed investigations. You should not use the figures in tribunal or court proceedings. There may be other issues that need to be considered and you obviously want to be as accurate as possible in your negotiations. Neither should you move forward placing reliance on this information without first getting professional advice.