All was ready to move into my new home in Workington next Thursday. I have now been asked to send a copy of my building insurance schedule by my solicitor as he says that he has to check this in his capacity as lawyer for the mortgage company. What risks does the lender expect the insurance to cover?
All property lawyers on acting for banks would need to check that the following risks are covered fire; lightning; aircraft; explosion; earthquake; storm; flood; escape of water or oil; riot; malicious damage; theft or attempted theft; falling trees and branches and aerials; subsidence; heave;landslip;collision;accidental damage to underground services;professional fees, demolition and site clearance costs; and public liability to anyone else. There are some other issues such as the level of excess that are set out in a lender’s UK Finance Lenders’ Handbook conditions. These requirements are not limited to conveyancing in Workington.
Are there restrictive covenants that are commonly identified as part of conveyancing in Workington?
Covenants that are restrictive in nature can be picked up when reviewing land registry title as part of the legal transfer of property in Workington. An 1874 stipulation that was seen was ‘The houses to be erected on the estate are each to be of a uniform elevation in accordance with the drawings to be prepared or approved by the vendor’s surveyor…’
Over the last few months I have been searching for a ground for flat up to £195,000 and found one close by in Workington I like with amenity areas and railway links in the vicinity, the downside is that it only has 51 years unexpired on the lease. There is not much else in Workington suitable, so just wondered if I would be making a grave error acquiring a lease with such few years left?
If you require a home loan that many years may be an issue. Discount the offer by the expected lease extension will cost if it has not already been discounted. If the existing owner has owned the premises for a minimum of twenty four months you could ask them to commence the lease extension formalities and then assign it to you. You can add 90 years to the current lease term and have £0 ground rent by law. You should speak to your conveyancing lawyer about this matter.
Should I choose a Workington conveyancing practitioner based in the location that I am buying? I have an old university friend who can carry out the legal work however his firm is located 400kilometers away.
The benefit of a high street Workington conveyancing firm is that you can visit the firm to sign documents, present your identification documents and apply pressure on them where appropriate. They will also have local intelligence which is a plus. That being said nothing is more important than finding someone that will do a good and efficient job. If you know people who used your friend and in the main were content that must surpass using an unfamiliar Workington conveyancing solicitor just because they are round the corner.
I am on look out for some leasehold conveyancing in Workington. Before I get started I want to be sure as to the remaining lease term.
If the lease is recorded at the land registry - and most are in Workington - then the leasehold title will always include the basic details of the lease, namely the date; the term; and the original parties. From a conveyancing perspective such details then enable any prospective buyer and lender to confirm that any lease they are looking at is the one relevant to that title. For any other purpose, such as confirming how long the term was granted for and calculating what is left, then the register should be sufficient on it's own.
I acquired a ground floor flat in Workington, conveyancing was carried out in 2008. Can you work out an approximate cost of a lease extension? Comparable flats in Workington with over 90 years remaining are worth £180,000. The average or mid-range amount of ground rent is £65 invoiced every year. The lease expires on 21st October 2084
With 59 years remaining on your lease the likely cost is going to range between £20,900 and £24,200 plus legals.
The suggested premium range above a general guide to costs for extending a lease, but we are not able to provide the actual costs in the absence of comprehensive due diligence. Do not use the figures in tribunal or court proceedings. There may be other concerns that need to be taken into account and you obviously should be as accurate as possible in your negotiations. You should not move forward based on this information before getting professional advice.
I own a leasehold flat in Workington. Conveyancing was finished in 2011. I have heard that I should not allow the lease length get too low. Why is that a problem?
Workington residential long term leases are for a prescribed term - often just under one hundred years when they started. However many flats in Workington were constructed or converted 30 or more years ago and so such leases now have under 80 years remaining. That may seem like plenty of time but Banks, Building Societies and other mortgage companies on the whole require leases to have at least 75 years left to adequate security. This means that when you come to sell the property you will need a lease extension if you are getting close to seventy five years. To enhance the marketability of your property you should be thinking about whether or not to extend your lease well in advance of selling the property. Please note that there are strong financial reasons to taking action before the lease reaches even eighty years as when the lease falls below 80 years the premium to be paid to extend starts to increase.