I am one month into the sale of my apartment in Swinton and the EA has just called to say that the purchasers are swapping conveyancer. The reason given is that the lender will only engage with property lawyers on their conveyancing panel. On what basis would a major lender only deal with specific law firms rather the firm that they want to choose to handle their conveyancing in Swinton ?
Banks have always had panels of law firms they are content to work with, but in the past few years big names such as Nationwide, have reviewed and reduced their conveyancing panel– in some cases removing conveyancing firms who have worked with them for over 25 years.
Lenders point to the increase in fraud by way of justification for the cull – criteria have been stiffened as a smaller panel is easier to monitor. No lender will say how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society claims that it is hearing daily from firms that have been removed from panels. Plenty of firms are unaware that 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 not going to have any impact on this.
I have an AIP. The bank mentioned the loan came with free conveyancing. Does this mean I have to appoint their panel solicitor as I would prefer to instruct a Swinton based conveyancing firm?
You should check but the the likelihood is that appoint one of their panel lawyers if you accept the "fee-free" incentive. Contact the mortgage company to ask if they allow a cash alternative. It is not unheard for a lender to give a £250 cashback as a further option in which case that money can go towards your preferred conveyancing solicitor in Swinton.
I'm purchasing a new build house in Swinton with a loan from Platform Home Loans Ltd. The builders refused to move on the amount so I negotiated £7000 of additionals instead. The estate agent advised me not inform my conveyancer about this deal as it may affect my loan with the lender. Is this normal?.
All lenders require a Disclosure of Incentives Form from the builder of any new build, converted or renovated property, It is available online from the Lenders’ Handbook page on the CML website. CML form is completed and handed to the lender's surveyor when the inspection is done.
Lenders have different policies on incentives. Some accept none at all, cash or physical, while others will accept cash incentives up to 5%.
Hard to understand why the representative of a builder would be suggesting you withold information from a solicitor when all this will be clearly visible on forms the builder has to supply to its solicitor, the buyer's solicitor and the surveyor.
How simple is it to use the search facility to select a conveyancing solicitor in Swinton on the panel for my lender?
1st pick a bank such as Birmingham Midshires, Leeds Building Society or Britannia then specify your preferred area such as Swinton. Conveyancing practices in Swinton and beyond will then be identified.
Should I go with a Swinton conveyancing lawyer based in the area that I am buying? I have an old university friend who can deal with the conveyancing however his firm is located approximately 350miles away.
The primary upside of using a local Swinton conveyancing firm is that you can attend the office to execute paperwork, present your ID and apply pressure on them where appropriate. They will also have local insight which is a plus. That being said nothing is more important than finding someone that will pull out all the stops for you. If you know people who instructed your friend and on the whole were impressed that should outweigh using an unfamiliar Swinton conveyancing lawyer just because they are local.