My wife and I are looking to purchase a property in Nechells and have instructed a Nechells conveyancing practice. Within the past 48 hours our property lawyer has sent a preliminary report and documents to look through with the expectation that exchange is imminent. Leeds Building Society have this evening contacted us to advise us that there is now an issue as our Nechells conveyancer is not on their conveyancing panel. Please explain?
When purchasing a property with the benefit of a mortgage it is normal for the purchasers' solicitors to also act for the mortgage company. In order to act for a bank or building society a law firm has to be on that lender's conveyancing panel. An application has to be made by the law firm to the lender to become a member of the lender's panel and there are increasingly strict criteria which the firm has to satisfy and indeed some lenders now require their panel members to be part of the Law Society’s Conveyancing Quality Scheme. Your solicitor should contact your mortgage company and see if they can apply for membership of their conveyancing panel, but if that is not viable they will instruct their own solicitors to act. You are not legally obliged to appoint a law firm on the lender’s conveyancing panel and you may continue to use your own Nechells solicitors, in which case your legal fees may increase, and it may delay matters as you have another set of people involved.
I am purchasing a house without a mortgage in Nechells. I have resided for the previous 15 years in Nechells. Conveyancing searches are expensive. As I have knowledge of the road and vicinity very well should I not bother getting the solicitor to do all the conveyancing searches?
Provided that you do not need a mortgage, then all but one or two of the Nechells conveyancing searches are non-obligatory. Your lawyer will try and sway you, perhaps strongly, that you should have searches completed, but he is duty bound to do this. One thing to take into account; if you are likely to dispose of the house at a future date, it will likely be be of relevance to your future purchaser what the searches reveal. On occasion premises with no practical issues can still show up unpredicted search results. A good conveyancing solicitor in Nechells will be able to give you some constructive guidance concerning this.
Over the last few months I have been searching for a leasehold apartment up to £195,000 and identified one near me in Nechells I like with open areas and station in the vicinity, however it's only got 51 years on the lease. There is not much else in Nechells for this price, so just wondered if I would be making a mistake buying a lease with such few years left?
Should you require a mortgage the shortness of the lease will be an issue. Reduce the offer by the expected lease extension will cost if not already taken into account. If the current owner has owned the property for at least 2 years you could request that they commence the lease extension formalities and then assign it to you. You can add 90 years to the existing lease with a zero ground rent applied. You should consult your conveyancing lawyer regarding this.
I am intending to rent out my leasehold flat in Nechells. Conveyancing solicitor who did the purchase is retired - so can't ask him. Do I need to ask my freeholder for permission?
Some leases for properties in Nechells do contain a provision to say that subletting is only allowed with permission. The landlord is not entitled to unreasonably withhold but, in such cases, they would need to see references. Experience suggests that problems are usually caused by unsatisfactory tenants rather than owner-occupiers and for that reason you can expect the freeholder to take up the references and consider them carefully before granting permission.
I own a ground floor flat in Nechells, conveyancing formalities finalised in 2010. Can you shed any light on how much the price could be for a 90 year extension to my lease? Corresponding flats in Nechells with a long lease are worth £202,000. The ground rent is £60 invoiced every year. The lease ends on 21st October 2074
With just 56 years remaining on your lease the likely cost is going to range between £29,500 and £34,000 plus legals.
The figure that we have given is a general guide to costs for extending a lease, but we are not able to provide a more accurate figure without more comprehensive investigations. You should not use this information in a Notice of Claim or as an informal offer. There may be additional issues that need to be considered and clearly you want to be as accurate as possible in your negotiations. Neither should you take any other action based on this information without first seeking the advice of a professional.
How and when do I incur stamp duty chargeable for my purchase in Nechells?
Your lawyer should complete a stamp duty return on your behalf as part of your Nechells purchase transaction for you to sign. On completion your lawyer will submit the STL Return Form to the Tax Authorities and - as long as they have the money - settle any tax bill payable on your behalf.