I purchased a freehold residence in Chelsea but still charged rent, why is this and what is this?
It is rare for properties in Chelsea and has limited impact for conveyancing in Chelsea but some freehold properties in England (particularly common in North West England) pay an annual sum known as a Chief Rent or a Rentcharge to a third party who has no other legal interest in the land.
Rentcharge payments are usually between £2.00 and £5.00 per year. Rentcharges date back hundreds of years, but the Rent Charge Act 1977 barred the generation of fresh rentcharges from 1977 onwards.
Old rentcharges can now be redeemed by making a lump sum payment under the Act. Any rentcharges that are still in existence post 2037 is to be extinguished.
A colleague pointed out to me me that in buying a property in Chelsea there could be various restrictions preventing external alterations to the property. Is this right?
We are aware of a number of properties in Chelsea which have some sort of restriction or requirement of consent to perform external changes. Part of the conveyancing in Chelsea should determine what restrictions are applicable and advising you as part of a ROT that should be sent to you.
My partner and I have arranged the release of further monies on our mortgage from Principality as we want to conduct improvements to our property in Chelsea. Are we obliged to appoint a local Chelsea solicitor on the Principality conveyancing panel to deal with the paperwork?
Principality don't usually instruct a member of their approved list of lawyers to deal with the formalities. If they do require any legal work then you would need to ensure that such a lawyer was on the Principality panel.
I am selling my house. I had a double glazing fitted in June 2010, but did not receive a FENSA certificate or Building Regulation Certificate. My purchaser’s lender, Skipton are being problematic. The Chelsea solicitor who is on the Skipton conveyancing panel is recommending indemnity insurance as a solution but Skipton are insisting on a building regulation certificate. Why do Skipton have a conveyancing panel if they don't accept advice from them?
It is probably the case that Skipton have referred the matter to their valuer. The reason why Skipton may not want to accept indemnity insurance is because it does not give them any reassurance that the double glazing was correctly and safely installed. The indemnity insurance merely protects against enforcement action which is very unlikely anyway.
I am looking for a ground for flat up to £195,000 and found one round the corner in Chelsea I like with open areas and transport links nearby, the downside is that it's only got 61 remaining years left on the lease. There is not much else in Chelsea suitable, so just wondered if I would be making a grave error purchasing a short lease?
Should you require a mortgage the shortness of the lease will be problematic. Discount the price by the expected lease extension will cost if it has not already been discounted. If the current proprietor has owned the property for a minimum of twenty four months you can request that they commence the lease extension formalities and pass it to you. An additional ninety years can be extended on to the existing lease term and have £0 ground rent by law. You should consult your conveyancing lawyer about this.
I'm remortgaging my existing house to a buy to let mortgage with The Royal Bank of Scotland and intend to use the remaining equity towards further house. The neighborhood we are talking about is Chelsea. Will your lawyers be able to act for both sets of lenders and tie in the two deals?
Do use our comparison tool on this site to check that the lawyers are on the relevant lender panels. Assuming that they are your conveyancer should be able to simultaneously deal with the two deals but you should have a chat with you conveyancer and make clear your expectations and requirements.
Do I cancel my mortgage payments with HSBC as soon as a completion date for my sale in Chelsea has been set?
No, you must maintain meeting any mortgage payments to HSBC pending the mortgage being redeemed on completion as part of your Chelsea conveyancing.