Our lawyer has identified a a legal deficiency with the lease for the flat we are purchasing in Chelmsley Wood. The other side have suggested defective title insurance as a solution. We are happy with insurance and will pay for it. Our solicitor has advised that he must be satisfied that the lender is content 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 lender are the client. Your solicitor must comply with the UK Finance Lenders’ Handbook requirements. The UK Finance Lenders’ Handbook conditions require your lawyer to disclose issues such as defects with the lease so that the bank 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 conveyancer will have no choice but to discontinue acting for you.
I am currently in the process of buying my council flat in Chelmsley Wood. I have a mortgage offer with HSBC. Conveyancing is not something I have any knowledge of. Can I proceed without a solicitor easily? I think we can but we keep being told I should use one. Any advice?
It is not advisable to proceed with a house purchase without a solicitor. The council's solicitor are not acting for you. You need a solicitor for a number reasons. One of which is to verify what plans the Council have for repairs and refurbishment for the next five years. Many leaseholders have been stung for contributions of thousands of pounds. In any event, if you are getting a mortgage with HSBC, you will need to appoint a solicitor on the HSBC conveyancing panel.
It is not clear whether my bank obliges me to make sure the lease term for the flat is extended prior to the completion date. I have called my Chelmsley Wood building society branch on various occasions and was told it wasn't a problem and they would lend. My Chelmsley Wood conveyancing solicitor - who is on the bank conveyancing panel- called and was told they refuse to lend based on their specific requirements. Who do I believe?
Your property lawyer has to comply with the CML Handbook Part 2 requirements for your lender. Unless your lawyer obtains specific confirmation in writing that the lender will go ahead, your lawyer has no choice but to refrain from exchanging contract and committing you to the purchase. We would suggest that you ask the lender to contact your lawyer in writing confirming that they will accept the number of years remaining.
I had an offer accepted on a property in Chelmsley Wood on 30/5/2019, valuation was booked five days later, received a clean bill of health. Solicitor instructed, so all that was missing was my mortgage offer. Having made daily calls to Principality and chasing them on my offer, I have now been told that my offer will not be issued unless the lawyer is on the Principality conveyancing panel. Are Principality entitled to hold back the Mortgage pending the lawyer being on the approved list?
A lender would not issue a mortgage until they have details of a lawyer on their panel. It can take a few weeks for Principality to deal with your lawyer's application to be on the Principality conveyancing panel. There's no guarantee that your solicitor will be accepted.
Will our conveyancer be raising questions concerning flooding during the conveyancing in Chelmsley Wood.
The risk of flooding is if increasing concern for solicitors carrying out conveyancing in Chelmsley Wood. There are those who buy a property in Chelmsley Wood, fully aware that at some time, it may be flooded. However, leaving to one side the physical destruction, if a property is at risk of flooding, it may be difficult to get a mortgage, adequate insurance cover, or dispose of the property. Steps can be carried out during the course of a property purchase to forewarn the purchaser.
Lawyers are not qualified to give advice on flood risk, however there are a various checks that can be undertaken by the buyer or on a buyer’s behalf which can figure out the risks in Chelmsley Wood. The standard completed inquiry forms given to a purchaser’s conveyancer (where the solicitors are adopting what is known as the Conveyancing Protocol) incorporates a usual question of the vendor to find out if the premises has suffered from flooding. If the premises has been flooded in past which is not disclosed by the owner, then a purchaser may issue a compensation claim as a result of such an misleading response. The purchaser’s lawyers may also order an environmental report. This should reveal if there is a recorded flood risk. If so, additional inquiries should be made.
Over the last few months I have been searching for a ground for flat up to £195,000 and found one close by in Chelmsley Wood I like with a park and transport links in the vicinity, the downside is that it only has 51 years on the lease. I can't really find anything else in Chelmsley Wood in this price bracket, so just wondered if I would be making a mistake buying a short lease?
If you require a mortgage that many years will likely be an issue. Reduce the offer by the amount the lease extension will cost if not already taken into account. If the current owner has owned the premises for a minimum of twenty four months you may ask them to start the process of the extension and then assign it to you. An additional ninety years can be extended on to the existing lease with a zero ground rent applied. You should consult your conveyancing lawyer about this.
We're new to the buying process - agreed a price, but the agent advised that the vendor will only go ahead if we use the agent's preferred lawyers as they are insisting on an ‘expedited deal’. My instinct tells me that we should use a local solicitor who is accustomed to conveyancing in Chelmsley Wood
We suspect that the seller is not behind this ultimatum. Should the seller require ‘a quick sale', turning down a motivated purchaser is counter productive. Speak to the vendors direct and make sure they comprehend that (a)you are keen to buy (b)you are ready to go, with finances in place © you have nothing to sell (d) you intend to proceed fast (e)however you intend to instruct your own,trusted Chelmsley Wood conveyancing solicitors - rather thanthe ones that will give their estate agent a introducer fee or meet his conveyancing targets demanded by head office.