Keystone Property Finance Conveyancing Panel Information

The fact of the matter is that estate agents are feeling the pain if their clients start out on the buying process having appointed a solicitor who is not on the panel with the purchaser’s chosen lender. Many conveyancing firms are only discovering when they begin working on a case that they are no longer able to work with that lender. Given the inevitable resultant delays in the transaction the chances of an abortive deal increases dramatically. in the circumstances there is understandable anguish on the part of the estate agent as a result of the lost time should the client have to change solicitors .

Criteria differ from lender to lender. We do not hold specific requirements relating to the questions raised as part of the application to be on the Keystone Property Finance conveyancing panel. Typically lenders need to have full knowledge of a firm including (but not limited to):

List of all those who fund the firm, including non-lawyers if applicable

Summary of annual accounts

Full career history for each licensed conveyancer including registration date with Council of Licensed Conveyancers

Full disciplinary history for each licensed conveyancer

List of all Licensed Conveyancers within firm

Full complaints history for each conveyancing solicitor

Whether the firm has ever knowingly accepted instructions on transactions involving Sale and Rent Back, Back to Back, Exchange and Delayed Completion and Lease Option, Below Market Value.

House price discrepancies (declared to lender vs. registered at Land Registry)

Whether the firm is able to operate in other jurisdictions

Areas of Law covered by the firm

You will be aware of the trend in recent years for lenders such as Keystone Property Finance to take a much more pro-active approach in relation to the management and make up of their conveyancer panels. The knock on effect of this is that it is more likely that there will be a higher number of cases where a conveyancer is not on the Keystone Property Finance panel. The situation that you find yourself in is where your client’s purchaser has his/her own lawyer and Keystone Property Finance have appointed a separate lawyer to act on their behalf where the new CML Part 3 requirements apply. Section 11.1 of the UK Finance Lenders’ Handbook Part 3 requires Keystone Property Finance’s panel solicitor to ‘ ...transfer the mortgage advance directly to the Seller’s conveyancer. The Seller’s conveyancer must be required to hold the mortgage advance on the terms of the required undertaking. The example borrower’s conveyancer’s undertaking letter includes a specific example of the seller’s undertaking’. You should expect to be advised to received the mortgage advance directly from the conveyancing solicitors for Keystone Property Finance. You will no doubt be required to undertake directly to Keystone Property Finance’s solicitors to discharge any charges secured on the property and to send directly to them the executed transfer and any other documents required to enable us to effect registration. Please remember to carefully consider undertakings in accordance with your firm’s protocol and record them in your undertakings logg. Please remember that as well as this breach of this undertaking having regulatory and compliance implications it’s breach could also result in your firm being removed off the Keystone Property Finance conveyancing panel.

Keystone Property Finance approved solicitors are bound by the Part II instructions relating to Transfer of Equity. These are set out in Section 16.3. First, your firm must approve the form of Transfer of Equity (which should be in the Land Registry's standard form) and, if Keystone Property Finance require, the deed of covenant on their behalf. You will need to check Keystone Property Finance CML Part 2 conditions to see if Keystone Property Finance have standard forms of transfer and deed of covenant. Please note that this requirement can change from one transaction to another so do check! Second,When drafting or approving a transfer, you should bear in mind that: although the transfer should state that it is subject to the mortgage (identified by date and parties), it need give no details of the terms of the mortgage; the transfer need not state the amount of the mortgage debt. If it does, the figure should include both principal and interest at the date of completion, which you must check ; there should be no statement that all interest has been paid to date. Further obligations are set out in the UK Finance Lenders’ Handbook which have to be followed by all firms on the Keystone Property Finance conveyancing panel

We would recommend that you supply details of the date of removal, information on the reason for removal, date of appeal and any reason given for reinstatement. This should not negatively affect your firm’s application but gives the CQS team viability as to what has gone on.

You would be advised to communicate with Keystone Property Finance to obtain standard documents. The The Council of Mortgage Lenders Handbook incorporates a specific question for lenders to reveal who to contact to obtain standard documents. Keystone Property Finance in their Part 2’s state: It is likely that you will need to disclose your Keystone Property Finance solicitors panel number.