Principality Building Society Conveyancing Panel Information

No such training is arranged by the CML however they do host a number of useful legal related conferences which are attended by firms on the Principality Building Society conveyancing panel. It is our intention to run specific lender focused seminars in the coming months including a webinar on Principality Building Society’s Part 2 obligations. Practitioners on the Principality Building Society conveyancing panel will be invited. Information about the webinar will be made available as part of the LENDERmonitor Alerts.

Principality Building Society make no specific obligation to carry out any of the searches listed. The UK Finance Lenders’ Handbook simply states that ‘you must ensure that any other searches which may be appropriate to the particular property, taking into account its locality and other features are carried out’.

Remember that most ‘less usual searches’ (as described in the Law Society’s Conveyancing Handbook) are not optional as far as Principality Building Society are concerned if they are ‘appropriate’. Most lenders will not require environmental searches (you should Check Part 2 of UK Finance Lenders’ Handbook to be sure), but you are obliged to explain risks and availability to the borrower.

Ground stability, Plansearch,flood searches as well as the searches listed in the question are optional – but only to the extent that you have allowed the borrower client to make an informed choice. Regardless of whether there is a mortgage, If you have not advised the client that these (and other) searches are available and what risks they cover, then you will be liable if the client suffers loss through not conducting one. Is this covered within your Terms of Engagement or Report on Title?

One search provider lists over 72 property searches – do you know what all of them are and when they may be relevant? If you are unsure as to which searches are appropriate based on location call your search provider or call one of the leading search companies such as Searches UK.

There are many reports available, five of which are as follows:

• The percentage of the firm’s business which is conveyancing (broken down into sale/purchase and remortgage)
• Buy to Let transactions
• Disclosure/Notification to Lender analysis indicating frequency and nature of disclosures - to include benchmarking analysis against aggregate data
• Current and historic missed priority dates
• Average mortgage advance

On the basis that your practice in is on the Principality Building Society conveyancing panel and you are instructed by them in relation to a leasehold property, you must report to them if it becomes apparent that the landlord is either absent or insolvent. If Principality Building Society are to lend, they may require indemnity insurance. In any event,you will need to check Principality Building Society’s specific requirements. Notwithstanding whether Principality Building Society will lend in such circumstances you still need to advise the borrower (unless you are acting for Principality Building Society alone) as to the risks of buying a property with an insolvent or absentee landlord.

Your insurance brokers are your best port of call to address this question. The chances are that on the basis that you have not been removed for fraud or negligence reasons that there will be little or no impact. The main reason why a firm would be removed off of a lender panel is due to low volume of conveyancing cases although there may be a number of criteria for Principality Building Society solicitor panel membership. Please remember that it is always important that you complete your insurance forms accurately.

You need to get in touch with Principality Building Society to obtain standard documents. The CML Handbook has a specific question for lenders to set out who to contact to obtain standard documents. Principality Building Society in their Part 2’s state: Please remember to disclose the firm’s Principality Building Society conveyancing panel reference.