Due to move into my new home in Brading next Thursday. I have now been asked to send a copy of my building insurance schedule by my solicitor as as she informs me that she is duty bound to validate that it is in order for the mortgage company. What risks does the lender expect the insurance to cover?
All property lawyers on acting for lenders 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 specific to conveyancing in Brading.
I had intended to instruct a property lawyer in Brading for our home move. Our financial adviser informed us that our bank Chelsea Building Society won't deal with them. Why is this not regarded as unfair competition?
Lenders normally restrict either the category or the number of conveyancing practices on their member panel. Typical examples of such restriction(s) being that a law practice must not be a sole practitioner. As well as restricting the profile of firm, a few lenders have limited the number of firms they permit to act for them. You should note that Chelsea Building Society have no responsibility for the quality of advice provided by any member of Chelsea Building Society Conveyancer Panel. Mortgage fraud was a key driver in the reduction of conveyancing panels a few years ago even though there are mixed views concerning the level of solicitor involvement in some of that fraud. Figures from the Land Registry reveal that thousands of law firms, including some in or near Brading only execute a couple conveyances per annum.
I have recentlybeen informed that Arc property Solicitors have been shut down. They conducted my conveyancing in Brading for a purchase of a leasehold apartment 18 months ago. How can I be sure that my home is in my name in the name of the former proprietor?
The quickest way to see if the premises is in your name, you can carry out a search of the land registry (£3.00). You can either do this yourself or ask a law firm to do this for you. If you are not registered you can seek help from one of a number of Brading conveyancing specialists.
I was recommended by a number of estate agents in Brading to find a property lawyer using your seach tool. What’s the financial upside for Estate Agents to market your services over a competitor’s?
We don’t offer any referral fee for pointing buyers and sellers to this site. We found it would be just too difficult to pay a commission as home movers will think, ‘Why is the agent getting a kickback? Why am I not receiving any benefit too?’ So we decided to step away from that.
I am attracted to a two apartments in Brading which have in the region of fifty years unexpired on the leases. Do I need to be concerned?
There is no doubt about it. A leasehold apartment in Brading is a deteriorating asset as a result of the shortening lease. The nearer the lease gets to its expiry date, the more it reduces the salability of the premises. The majority of buyers and lenders, leases with less than 75 years become less and less marketable. On a more positive note, leaseholders can extend their leases by serving a Section 42 Notice. One stipulation is that they must have owned the property for two years (unlike a Section 13 notice for purchasing the freehold, when leaseholders can participate from day one of ownership). When successful, they will have the right to an extension of 90 years to the current term and ground rent is effectively reduced to zero. Before moving forward with a purchase of premises with a short lease term remaining you should talk to a solicitor specialising in lease extensions and leasehold enfranchisement. We are are happy to put you in touch with Brading conveyancing experts who will explain the options available to you during an initial telephone conversation free of charge. More often than not it is possible to negotiate informally with the freeholder to extend the lease. They may agree to a smaller lump sum and an increase in the ground rent, but to shorter extension terms in return. You need to ensure that the agreed terms represent good long-term value compared with the standard benefits of the Section 42 Notice and that onerous clauses are not inserted into any redrafting of the lease.
I invested in buying a ground floor flat in Brading, conveyancing was carried out in 2007. Can you please calculate a probable premium for a statutory lease extension? Equivalent properties in Brading with an extended lease are worth £190,000. The average or mid-range amount of ground rent is £65 levied per year. The lease finishes on 21st October 2080
With just 61 years left to run we estimate the price of your lease extension to be between £19,000 and £22,000 as well as professional fees.
The suggested premium range that we have given is a general guide to costs for renewing a lease, but we cannot give you the actual costs without more comprehensive due diligence. Do not use this information in a Notice of Claim or as an informal offer. There may be additional issues that need to be taken into account and you obviously should be as accurate as possible in your negotiations. Please do not take any other action placing reliance on this information without first seeking the advice of a professional.