I am in the process of selling my maisonette in Croydon and the EA has just called to warn that the purchasers are switching law firm. The reason given is that the mortgage company will only engage with solicitors on their conveyancing panel. Why would a leading lender only deal with certain lawyers rather the firm that they want to appoint to handle their conveyancing in Croydon ?
Banks have always had panels of law firms that can represent them, but in recent years big names such as HSBC, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have represented them for more than 15 years.
Banks point to the increase in fraud as the reason for the reduction – criteria have been narrowed as a smaller panel is easier to oversee. No lender will say how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society claims that it is being contacted daily by practices that have been removed from panels. Some do not even realise they have been dropped until contacted by a borrower who has instructed them as might be the situation in your buyers' case. The purchasers are unlikely to have any impact on this.
We are about to sign contracts for a semi detached house in Croydon. We encountered a problem. Our loan offer with TSB expires on 11/4/2019 but the owners are insisting on a completion date of 15/4/2019. Can one prolong the mortgage offer?
The person best placed to address this question is your solicitors who will hopefully determine whether he or she is corresponding with the lender, owner’s lawyers, selling agents or possibly all three taking into account what has gone on in your conveyancing to date.
I have been told that property searches are the primary cause of delay in Croydon house deals. Is that correct?
The Council of Property Search Organisations (CoPSO) published conclusions of a review by MoveWithUs that conveyancing searches do not feature within the common causes of hindrances in the conveyancing process. Local searches are unlikely to be the root cause of delay in conveyancing in Croydon.
I have been on the look out for a leasehold apartment up to £195,000 and found one close by in Croydon I like with a park and transport links nearby, however it only has 51 years unexpired on the lease. I can't really find anything else in Croydon for this price, so just wondered if I would be making a grave error acquiring a lease with such few years left?
Should you need a mortgage the remaining unexpired lease term may be an issue. Reduce the offer by the expected lease extension will cost if not already taken into account. If the existing owner has owned the property for at least 2 years you may request that they commence the lease extension formalities and pass it to you. You can add 90 years to the current lease and have £0 ground rent by law. You should consult your conveyancing solicitor concerning this matter.
I today plan to offer on a house that appears to meet my requirements, at a reasonable price which is making it more attractive. I have since found out that the title is leasehold rather than freehold. I would have thought that there are particular concerns buying a leasehold house in Croydon. Conveyancing lawyers have are soon to be instructed. Will they explain the issues?
Most houses in Croydon are freehold rather than leasehold. In this scenario it’s worth having a local conveyancer who is familiar with the area who can help the conveyancing process. it is apparent that you are buying in Croydon so you should seriously consider shopping around for a Croydon conveyancing practitioner and be sure that they have experience in transacting on leasehold houses. As a matter of priority you will need to check the unexpired lease term. Being a tenant you will not be at liberty to do whatever you want with the house. The lease comes with conditions for example requiring the freeholder’spermission to conduct alterations. It may be necessary to pay a service charge towards the upkeep of the estate where the house is located on an estate. Your conveyancer will advise you fully on all the issues.
I am the registered owner of a ground-floor 1960’s flat in Croydon. Given that I can not reach agreement with the freeholder, can the Leasehold valuation Tribunal determine the sum payable for a lease extension?
Most definitely. We can put you in touch with a Croydon conveyancing firm who can help.
An example of a Freehold Enfranchisement decision for a Croydon flat is 29 Woodstock Road in April 2014. the Tribunal determined that the premiums to be paid into court in respect of the purchase of the freehold registered at HMLR under Title N0.SY3997 should be £7,217. This case affected 4 flats. The unexpired lease term was 98 years.