I am selling my flat in Southwark and the EA has just telephoned to warn that the buyers are swapping law firm. The reason given is that the mortgage company will only engage with property lawyers on their conveyancing panel. Why would a leading mortgage company only work with certain law firms rather the firm that they want to select for their conveyancing in Southwark ?
UK lenders have always had panels of law firms that can act for them, but in recent years big names such as Nationwide, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have represented them for decades.
Banks justify this action to a rise in fraud as the reason for the cull – criteria have been tightened as a smaller panel is easier to maintain. Banks tend not to disclose 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. Your purchasers are not going to have any sway in the decision.
We're in Southwark, FTBs purchasing with a mortgage (lender is Aldermore , and our solicitor is on the Aldermore conveyancing panel). How long should the conveyancing process take?
The fact that your lawyer is on the Aldermore conveyancing panel is a help. It would almost certainly delay matters if they were not. However, no property lawyer should guarantee a timeframe for your conveyancing, due to third parties outside of your control such as delays caused by lenders,conveyancing search providers or by the other side’s solicitors. The time taken is often determined by the number of parties in a chain.
A relative advised me that if I am buying in Southwark I should ask my conveyancer to carry out a Neighbourhood, Planning and Local Amenity Search. What does it cover?
A search of this type is usually included in the estimate for your Southwark conveyancing searches. It is not a small report of about 40 pages, listing and detailing significant information about Southwark around the property and the people living there. It incorporates an Aerial Photograph, Planning Applications, Land Use, Mobile Phone Masts, Rights of Way, the local Housing Market, Council Tax Banding, the demographics of People living in the area, the dominant type of Housing, the Average Property Price, Crime statistics, Local Education with plans and statistics, Local Amenities and other useful data regarding Southwark.
Due to the input of my in-laws I had a survey completed on a property in Southwark in advance of instructing conveyancers. I have been told that there is a flying freehold element to the house. The surveyor advised that some mortgage companies tend refuse to issue a mortgage on such a home.
It depends who your proposed lender is. HSBC has different requirements from Nationwide. Should you wish to telephone us we can check with the relevant bank. If you lender is happy to lend one our lawyers can assist as they are used to dealing with flying freeholds in Southwark. Conveyancing may be slightly more expensive based on your lender's requirements.
How do I use the search facility to get a fee calculation from a conveyancing solicitor in Southwark on the authorised to act for my mortgage?
Step one is to select a lender such as Yorkshire Building Society, The Mortgage Works or Platform Home Loans Ltd then type in your location for instance Southwark. Conveyancing organisations in Southwark and nationally should be shown.
I am employed by a busy estate agency in Southwark where we have witnessed a few leasehold sales jeopardised as a result of short leases. I have been given conflicting advice from local Southwark conveyancing firms. Can you clarify whether the vendor of a flat can initiate the lease extension process for the buyer?
Provided that the seller has owned the lease for at least 2 years it is possible, to serve a Section 42 notice to start the lease extension process and assign the benefit of the notice to the purchaser. This means that the buyer can avoid having to sit tight for 2 years to extend their lease. Both sets of lawyers will agree to form of assignment. The assignment needs to be completed before, or simultaneously with completion of the disposal of the property.
An alternative approach is to extend the lease informally by agreement with the landlord either before or after the sale. If you are informally negotiating there are no rules and so you cannot insist on the landlord agreeing to grant an extension or transferring the benefit of an agreement to the buyer.
I have given up trying to purchase the freehold in Southwark. Can this matter be resolved via the Leasehold Valuation Tribunal?
Most definitely. We are happy to put you in touch with a Southwark conveyancing firm who can help.
An example of a Freehold Enfranchisement decision for a Southwark flat is 1-41 Royal Tower Lodge 40 Cartwright Street in April 2013. the tribunal adding the agreed value of capitalised ground rents and the reversion the price to be paid for the freehold was £1,187,000 This case affected 41 flats. The unexpired term was 107 years.