My partner and I are buying a newly built duplex in Basildon and my conveyancer is informing me that she is duty bound to the mortgage company to reveal incentives from the builder. The Estate Agents are hassling me to sign contracts and I would rather not delay the conveyancing. Is my lawyer right?
You should not exchange unless you have been advised to do so by your property lawyer. A precondition to being on a mortgage company panel is to comply with the UK Finance Lenders’ Handbook requirements. The CML Conveyancing Handbook requires that your lawyer have the appropriate Disclosure of Incentive form completed by the developer and accepted by your lender.
What does my ID and proof of funds have anything to do with my conveyancing in Basildon? Why is this being asked of me?
Basildon conveyancing solicitors and indeed property lawyers accross the UK have a duty under money laundering regulations to check the identity of any client with a view to ensure that clients are who they say they are.
Conveyancing clients are required to provide two forms of certified ID; proof of ID (usually a Passport or Driving Licence) and evidence of address (typically a Bank Statement no more than three months).
Proof of source of funds is also necessary in accordance with the money laundering statutes as solicitors are mandated to ensure that the monies you are utilising to buy a property (whether it be the deposit for exchange or the full purchase monies if you are a cash purchaser) has come from legitimate source (such as employment savings) rather than the fruits of criminal behaviour.
How does conveyancing in Basildon differ for newly converted properties?
Most buyers of new build residence in Basildon contact us having been asked by the seller to sign contracts and commit to the purchase even before the property is finished. This is because new home sellers in Basildon tend to acquire 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 property lawyers 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 Basildon or who has acted in the same development.
My uncle has urged me to instruct his conveyancers in Basildon. Should I choose my own conveyancer?
Much as we are happy to recommend a Basildon conveyancing lawyer the best way to select a conveyancing lawyer is to get feedback from friends or relatives who have actually previously instructed the solicitor that you are are thinking of instructing.
Our lawyer in Basildon has discovered a a legal deficiency with the lease for the apartment we are buying in Basildon. The seller’s lawyers have suggested title insurance as a workaround. We are content with insurance and will cover the costs. Our lawyer has advised that as he is on the bank conveyancing panel he must be satisfied that the lender is happy with this solution. Who is the client here, us or the bank?
The short answer to your last question is that, notwithstanding the potential for a conflict of interest, you and the mortgage company are the client. A precondition to being on the bank approved panel is to comply with the UK Finance Lenders’ Handbook requirements. The UK Finance Lenders’ Handbook conditions require your lawyer to disclose issues such as defects will the lease so that the lender can be afforded the opportunity to check with their valuer as to the extent that the value of the property is affected . Should you refuse to allow your lawyer to make the appropriate notification then your lawyer will have no choice but to discontinue acting for you.