I plan on buying a ground floor flat in Warsash. My Conveyancer has never been on on the lender conveyancing panel. Am I still permitted to continue with my Warsash conveyancing solicitor even though they are not on the bank panel of approved conveyancing solicitors?
Various options include
- Complete the purchase with your existing Warsash solicitor but your bank will need to use a property lawyer from their approved list. This will result in additional fees and probable interruption.
- Get a fresh conveyancer to act in the purchase, obviously checking they are on the bank conveyancing panel.
- Convince your property lawyer to do everything possible to get listed on the lender’s conveyancing panel
I am being advised by my lawyer that restrictive coveneant insurance is required on my purchase. What is the typical level of cover needed for conveyancing in Warsash?
The appropriate level of restrictive coveneant indemnity insurance should be dictated by who who your lender is. It would differ for example between Lloyds TSB Bank and Leeds Building Society. Conveyancing lawyers as opposed to borrowers take out such policies.
It is unclear whether my lender obliges me to make sure the lease term for the flat is extended prior to the completion date. I have telephoned my Warsash building society branch on various occasions and was told it wasn't a problem and they would lend. My Warsash conveyancing solicitor - who is on the bank conveyancing panel- telephoned to say that they would not lend based on their published requirements. Who do I believe?
Your solicitor has to follow the CML Handbook Part 2 provisions for your lender. Unless your lawyer obtains specific confirmation in writing that the mortgage company 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 mortgage company to contact your lawyer in writing confirming that they will accept the number of years remaining.
HSBC have agreed my home loan in principle, my bid on a property in Warsash has been agreed to, what happens next?
Your property agent will wish to be informed of your property lawyer's details (be sure the conveyancing practitioners are on the lender’s approved list). Telephone HSBC or the financial adviser and finalise any appropriate forms. HSBC will sellect a valuer who will get in contact with the estate agent or seller to schedule a time for the valuation to take place. Once carried out (assuming no problems) it takes approximately ten days to receive the mortgage offer. HSBC will send the offer to you and your conveyancing practitioners. The transaction will then take it’s course according the nature and complexity of the conveyancing in Warsash.
I got the keys to my flat on 1 July and the transaction details is not yet registered. Any reason for this? My conveyancing solicitor in Warsash said it should be recorded in less than a month. Are properties in Warsash uniquely lengthy to register?
As far as conveyancing in Warsash is concerned, registration is no faster or slower than anywhere else in England and Wales. As opposed to being determined by geographic area, timescales can vary according to the party submitting the application, whether there are errors and if the Land registry must send notices to any other parties. As of today in the region of 80% of submission are completed within two weeks but occasionally there can be longer hold-ups. Historically registration occurs once the buyer has moved in to the premises thus post completion formalities is not always top priority but if it is urgent that the the registration takes place urgently then you or your lawyers should contact the land registry and explain the circumstances.
I decided to have a survey completed on a house in Warsash in advance of retaining solicitors. I have been told that there is a flying freehold element to the house. Our surveyor has said that some banks may refuse to issue a loan on such a property.
It varies from the lender to lender. HSBC has different requirements from Birmingham Midshires. If you contact us we can investigate further with the appropriate mortgage company. If you lender is happy to lend one our lawyers can help as they are used to dealing with flying freeholds in Warsash. Conveyancing can be more complicated and therefore you should check with your conveyancing solicitor in Warsash to see if the conveyancing costs will increase in light of this.
I am attracted to a couple of apartments in Warsash both have about forty five years unexpired on the leases. should I be concerned?
There is no doubt about it. A leasehold apartment in Warsash is a deteriorating asset as a result of the shortening lease. The nearer the lease gets to its expiry date, the more it reduces the marketability of the premises. For most purchasers and banks, leases with under eighty years become less and less attractive. On a more positive note, leaseholders can extend their leases by serving a Section 42 Notice. One stipulation is that they must have owned the property for two years (unlike a Section 13 notice for purchasing the freehold, when leaseholders can participate from day one of ownership). When successful, they will have the right to an extension of 90 years to the current term and ground rent is effectively reduced to zero. Before moving forward with a purchase of premises with a short lease term remaining you should talk to a solicitor specialising in lease extensions and leasehold enfranchisement. We are are happy to put you in touch with Warsash conveyancing experts who will explain the options available to you during an initial telephone conversation free of charge. A more straightforward and quicker method of extending would be to contact your landlord directly and sound him out on the prospect of extending the lease. They may agree to a smaller lump sum and an increase in the ground rent, but to shorter extension terms in return. You need to ensure that any new terms represent good long-term value compared with the standard benefits of the Section 42 Notice and that onerous clauses are not inserted into any redrafting of the lease.
I invested in buying a 2 bed flat in Warsash, conveyancing formalities finalised in 1996. Can you let me have an estimated range of the fair premium for a lease extension? Corresponding flats in Warsash with a long lease are worth £181,000. The ground rent is £55 charged once a year. The lease finishes on 21st October 2068
With 50 years left to run we estimate the premium for your lease extension to range between £31,400 and £36,200 plus legals.
The figure that we have given is a general guide to costs for renewing a lease, but we cannot give you a more accurate figure in the absence of comprehensive due diligence. Do not use this information in tribunal or court proceedings. There may be additional concerns that need to be considered and clearly you want to be as accurate as possible in your negotiations. Please do not take any other action placing reliance on this information without first seeking the advice of a professional.