Applying for a joint divorce – no-fault divorce.
In April 2022, new provisions were introduced under the Divorce, Dissolution and Separation Act. Under the Act, ‘no-fault’ divorce was introduced. Before the legislation was passed in June 2020, it was commonly argued that the existing options for divorce were complicated and challenging to understand. It was claimed that the process was ‘outdated’ and ‘unnecessarily provocative’, so the update has been welcomed by solicitors and would-be divorcees alike.
What is No-fault divorce?
The legislation update aims to:
- Replace the historic ‘five grounds’ for divorce and allows couples to divorce without the need to assign fault.
- Remove the possibility of contesting a divorce.
- Introduce the option to apply for a divorce jointly.
- Update the language used throughout the divorce process to plain English.
Find out everything you need to know about no-fault divorce here.
Joint divorce application
Since the introduction of no-fault divorce in April 2022, most provisional applications were still sole applications. According to an article in The Law Society Gazette and HMCTS, there were 49,344 provisional divorce applications between April 2022 and July 2022, of which only 10,290 were joint applications.
We may see these figures increase with the ability to divorce jointly and without attaching blame which has likely simplified the process for many.
Family Law Solicitors South East London
At Beverley Morris & Co., our family solicitors in Blackheath understand how stressful the breakdown of a relationship can be; therefore, we are on hand to assist you with all aspects of your divorce, including financial and child arrangements.
Please contact our friendly team today on 020 8852 4433 or email enquiries@beverleymorris.co.uk. Alternatively, fill in this contact form, and we will get back to you.
Stamp Duty Land Tax September 2022 Update
What is Stamp Duty Land Tax?
Stamp Duty Land Tax (SDLT) is the tax paid when you purchase a property. The amount you pay differs depending on the type of property, when you purchased it, how much you paid for it and whether you or your spouse/partner/co-buyer already owned a property.
What are the SDLT updates?
On 23rd September 2022, Chancellor Kwasi Kwarteng announced measures to cut stamp duty in an attempt to grow the economy and also support first-time buyers purchasing a home. The announcement is effective immediately.
The changes for residential property purchases are as follows:
- Nil-rate band doubled for all buyers, up to £250,000.
- The level that first-time buyers start paying stamp duty has been increased from £300,000 to £425,000.
- The government is allowing first-time buyers to access relief when they buy a property for less than £625,000. The limit was previously £500,000.
- Stamp duty bills will be reduced for all purchasers by up to £2500. First-time buyers may now access up to £8750 in relief.
Stamp Duty Land Tax rates
The current SDLT rates and calculations are as follows:
| FIRST TIME BUYER – New SDLT Rate after 23rd September 2022 | ||
| Property or lease premium or transfer value | SDLT rate | Example |
| £0 – £425,000 | 0% | purchase price = £500,000
SDLT= £425,000 x 0% + £75,000 x 5% = £3,750 |
| £425,001 – £625,000 | 5% | |
| SINGLE PROPERTY (Inc. Replacing your main residence) – New SDLT rate after 23rd September 2022 | ||
| Property or lease premium or transfer value | SDLT rate | Example |
| £0 – £250,000 | 0% | purchase price = £500,000
SDLT = £250,000 x 0% + £250,000 x 5% = £12,500 |
| £250,000 – £925,000 | 5% | |
| £925,000 – £1,500,000 | 10% | |
| Over £1,500,000 | 12% | |
| ADDITIONAL PROPERTIES – New SDLT rate after 23rd September 2022 | ||
| Property or lease premium or transfer value | SDLT rate
(3% additional rate) |
Example |
| £0 – £250,000 | 3% | purchase price = £500,000
SDLT = £250,000 x 3% + £250,000 x 8% = £27,500 |
Please note that there is an additional 2% surcharge for overseas buyers that applies to purchases completing on or after 1 April 2021.
How will the changes impact the economy?
The update aims to bring job and social mobility since it should mean that more people are able to buy a home, particularly first-time buyers. The measures should assist in boosting the property market.
Although the update is set to boost the economy, there is the fear that rising interest rates might possibly outweigh the cuts.
Residential Property Solicitor Blackheath
Please speak to our team of experienced conveyancing solicitors at Beverley Morris & Co. if you have any questions regarding buying a property.
Please call 020 8852 4433, email enquiries@beverleymorris.co.uk or fill in this contact form.
How much does it cost to extend a lease?
Extending your lease will increase the value of your property and, at the same time, make it easier to sell. A lease extension adds years onto your lease and extends the time you have before ownership of your flat reverts to the freeholder.
The process of extending one’s lease can be lengthy and expensive. The price will vary depending on the property’s value, the number of years left on the lease, the property’s value after the lease extension, the ground rent payable and the attitude of the freeholder.
Cost guidelines for extending a lease
As mentioned above, the cost of a lease extension varies considerably depending on various factors and particularly the remaining lease term and the level of ground rental and any future escalations.
As an example, for a flat with 80 years left on the lease with an expected value of £400,000 once the extension has been completed and removing a present £100 per year ground rent rising to £300 per annum, the lease extension premium will be somewhere in the region of £7,000 to £10,000, plus the below-mentioned costs. Note the leaseholder also pays most of the freeholder’s costs.
For leases with a remaining lease term of fewer than 80 years, a premium for a lease extension can increase significantly as the freeholder/landlord is entitled to 50% of what is called “marriage value”, that being the increase in value of the flat due to the proposed lease extension. So, in the above example, but with only 79 years left on the lease, the overall premium could increase to approximately £24,000 and valuation and legal costs might also increase.
Please see the below table showing guidelines of costings (excluding VAT where applicable) for a lease extension premium of £10,000 as with the example above.
| Item | Typical Cost |
| Surveyor valuation | £900 (estimated) |
| Solicitor fees (for you) | Please contact Beverley Morris & Co. |
| Freeholder valuation | £900 (estimated) |
| Solicitor fees (for freeholder) | £1200 – £3000 (estimated) |
| Surveyor negotiation costs | £150-£220 per hour |
| Land Registry fees | £20-£45 |
Click here to use the Leasehold Advisory Service online calculator to calculate a rough estimate of the cost of your lease extension.
How to save money when extending a lease
Extending a lease can be an expensive process, so here are a few ways to help you reduce the costs.
- Ensure you instruct a specialist surveyor and specialist solicitor. Although it might seem a little ‘backwards’ to spend more money initially, it will likely save you money in the long run. Trying to save on professional costs could lead to your paying more than you should for your lease extension.
- Abandon any attempt to achieve an informal lease extension if your freeholder is protracting the negotiations unnecessarily. By following the process laid out in the 1993 Leasehold Reform Housing & Urban Development Act, your freeholder will be obliged to extend your lease by an additional 90 years and reduce the ground rent to “a peppercorn” which effectively means that no ground rent will be payable. A freeholder may no longer use an informal lease extension as a way of increasing the ground rent payable under your lease since recently introduced legislation prohibits a freeholder from charging any ground rent on the grant of a new lease.
- Always aim to extend your lease before it falls below 80 years. After this, you will be required to pay the freeholder an additional cost of ‘marriage value’, which means that extending your lease will become progressively more expensive.
Lease Extension Solicitor Blackheath
Typically, extending a lease takes between 3 and 12 months, depending on whether terms are agreed upon, or the formal procedure is followed. Where the formal procedure is followed, statutory guidelines apply, which set time limits for each stage of the process. The process is laid out in the Leasehold Reform Housing & Urban Development Act.
Always instruct a trusted solicitor to avoid unexpected costs or other issues arising out of your lease extension.
The team of lease extension solicitors at Beverley Morris & Co. will be happy to guide you through the process and ensure you receive the best outcome.
We will always ensure you are fully aware of any costs involved, providing clear information on our fees throughout the process. When we provide a quotation for you, we try to provide as much information as possible, so that you have a clear understanding of what the transaction will cost from the start.
Call us today on 020 8852 4433 or email enquiries@beverleymorris.co.uk. Alternatively, please fill in this enquiry form.
Can you make a Will without a solicitor?
It is possible to make a Will without a solicitor; however, it is not advisable. It is always best to instruct a reputable solicitor who will guide you through the Will writing process, helping to prevent any future issues that could lead to your loved ones not having access to your assets after you die.
Why do I need a Will?
Making a Will ensures that when you die, you have left instructions as to how your assets will be distributed. Your executor is legally required to distribute your assets according to your wishes as detailed in your Will.
Can I ask a solicitor to check my homemade Will?
A solicitor will not wish to accept professional responsibility for a document you have prepared yourself. In all likelihood, they will have to spend more time tidying up a self-made Will than if they had prepared your Will from scratch.
What does ‘intestate’ mean?
Dying without a Will is known as dying intestate. In this situation, your estate is divided in accordance with the UK Intestacy Rules. If you die without having made a Will, your loved ones may not be entitled to your property, assets or finances. The Intestacy Rules might result in your assets passing to persons you did not wish to benefit from your estate.
Can I make a Will without a solicitor?
Contrary to popular belief, it is possible to write your own Will without using a solicitor. Still, a lay person can easily make mistakes, which can be extremely time-consuming and costly to resolve later on.
Will writing can very quickly become complicated. A common mistake made by a lay person is that they leave a percentage of their estate to several people; however, there is no instruction as to what is to happen if one or more of those people predeceases them, which unintentionally results in a partial intestacy.
Sometimes homemade Will makers attempt to use legal jargon but misuse it because their Will is ambiguous, and their intentions are unclear.
What do I need to include in my Will?
In a homemade Will, the identity of a beneficiary may be unclear because there may be two family members (e.g., a father and son) with the same forename and surname. Had the beneficiary’s middle name been inserted, the identity of the intended beneficiary would have been made clear.
A solicitor is trained to look for a plethora of potential pitfalls when writing a Will on behalf of a client.
For example, if a party has children from a previous relationship, a solicitor might suggest that making provision for such children upon their death might leave their current partner in financial difficulty. They might suggest that the client and their partner make mirror wills with both parties’ children benefitting upon the second death.
Online Will Services
There are many online Will writing services, but they may cause extensive issues due to a lack of regulation.
It is always preferable for your Will to be prepared by a solicitor who will discuss your options with you and, depending upon your particular circumstances, set out your wishes in a clear, understandable way.
At Beverley Morris & Co., we recommend speaking to a trusted solicitor regarding your Will. It is important to ensure that your wishes are upheld, and, of course, you will want to do whatever is best for your family.
Validity of a Will
Ensuring that a Will is legally binding means that there are no complications when your executor comes to distributing your assets following your death.
No matter the complexity or otherwise of your Will, it is essential that it is correctly dated, signed, and witnessed for it to be legally valid.
If you draw up your own Will, you will still need to ensure that it is correctly dated, signed, and witnessed.
Any witness may not be a beneficiary under the Will or married to a beneficiary to prevent coercion or other related issues.
Writing a Will Blackheath
At Beverley Morris & Co., our team of private client solicitors will be more than happy to assist you through the Will writing process, from drafting a Will according to your needs to helping your executor distribute your estate according to your wishes.
We can also advise and assist with issues relating to Will disputes and other matters.
Do not hesitate to contact our experienced team today: call 020 8852 4433 or email enquiries@beverleymorris.co.uk.
Resolving a dispute outside of court: Commercial Dispute Resolution
In most cases, settling a business disagreement outside of court is preferable, using alternative dispute resolution. Often, it is mandatory to attend ADR (alternative dispute resolution) (usually mediation) to try to resolve the dispute before court attendance is required.
Generally, ADR is quicker and more cost-effective than traditional litigation. It also offers the chance for the parties to repair a relationship.
What is Commercial Dispute Resolution?
Commercial Dispute Resolution is the process of ending a disagreement between businesses or within a corporate environment. This could involve legal discussions between the two parties, mediation and ADR, and if these methods fail, court proceedings whereby a judge will decide the issue’s outcome without providing room for negotiations.
There are different types of alternative dispute resolution:
- Arbitration
- Mediation
- Expert Determination
- Neutral Evaluation
- Other
What can be resolved using Commercial Dispute Resolution?
Commercial Dispute Resolution can be used to resolve a variety of issues, including:
- Commercial
- Legal
- Diplomatic
- Workplace
- Community
- Family Matters
Furthermore, the Beverley Morris & Co. team can assist with disputes involving the confiscation and restitution of works of art.
The Litigation and Dispute Resolution team at Beverley Morris & Co. would be more than happy to assist you with Alternative Dispute Resolution and County and High County Court actions. Please call 020 8852 4433 or fill in this contact form.
What is Arbitration?
Arbitration involves submitting a dispute, agreed by the parties involved, to one or more arbitrators who then make a binding decision regarding the dispute. An Arbitration decision is legally binding on both sides and enforceable in court unless the parties stipulate that the decision is non-binding.
Commercial Mediation
Mediation is structured and interactive. It involves introducing an impartial third party to assist in resolving conflict through specialised communication and negotiation techniques.
Mediators tend to use a wide variety of techniques to guide the parties constructively.
More generally, mediation is any time a third party helps others reach an agreement.
What are the benefits of Commercial Dispute Resolution?
Generally, negotiation and alternative dispute resolution methods are quicker and cheaper for ending a legal disagreement than litigation. This allows the parties to focus on their respective businesses rather than a lengthy and potentially damaging dispute.
Moreover, mediation gives the parties involved a chance to reconcile and repair the broken relationship, sometimes even resuming doing business together.
Finally, mediation often leads to a mutual agreement between parties, without any unwanted results imposed on them, which might happen in a court case.
Commercial Dispute Resolution in Blackheath
At Beverley Morris & Co., our experienced team of solicitors is on hand to assist you with your commercial dispute, alternative dispute resolution, court action or county court action today, as well as any other dispute you may have.
Contact our team today on 020 8852 4433 or email enquiries@beverleymorris.co.uk.
Commercial Litigator Near Me
Huw Jones, Head of Litigation at Beverley Morris & Co., has considerable experience in dealing with mediations and negotiations. Feel free to contact him using this email address to discuss your dispute.
Why do I need a pre-nuptial agreement?
A pre-nuptial agreement is a legal document drawn up by a couple before marriage. The document deals with how each asset will be handled and possibly divided in the case of a relationship breakdown and subsequent divorce.
The assets might include property and income. It aims to prevent any nasty surprises from arising should the relationship break down and provides clarity for both parties in the event that the relationship should break down.
What is typically included?
It is important to note that pre-nuptial agreements vary depending on the parties’ individual and joint assets as well as their personal feelings about the distribution of their assets.
Typical agreements include:
- The protection of inheritance
- The protection of assets
- The protection of savings
- Protection from a partner’s debts
- Other factors relating to the couple’s circumstances.
What are the benefits of having a pre-nuptial agreement?
Pre-nuptial agreements can help protect your or your spouse’s individual wealth in the event of a separation or divorce.
They can also help determine how property and finances will be dealt with during the marriage.
For those in civil partnerships, pre-registration agreements can be drawn up similarly.
What should I include in my pre-nup?
A pre-nuptial agreement tends to include an inventory of each partner’s assets. It then goes on to state how each party would wish their assets to be dealt with should the marriage end in separation or divorce.
The agreement should outline any assets the parties would prefer not to be divided between them.
Generally, it may include:
- Any property held jointly or solely
- Savings
- Premium bonds
- Any expected inheritance
- Stocks and shares
- Pensions
- Income
- Business interests
- Spousal maintenance
- Belongings
- Any other relevant assets
Some things cannot be accounted for in a pre-nuptial agreement.
These might include:
- Child custody arrangements, including visitation and preferences relating to religious upbringing or schooling
- Child support arrangements
- Illegal matters
- Lifestyle arrangements
How do I amend my pre-nuptial agreement?
Unfortunately, it is not possible to amend a pre-nuptial agreement once it has been agreed upon or one is married.
If you find that you wish to amend a pre-nuptial agreement, for example, if your financial situation should drastically change, you can create a post-nuptial agreement. Find out how Beverley Morris & Co. can help you with your post-nuptial agreement here.
How do I write a pre-nuptial agreement?
Always seek advice and assistance from an expert family solicitor when writing your pre-nuptial agreement.
When drafting the agreement, you should always seek legal advice independently from your partner to reduce the risk of a conflict of interest.
Both parties should also ensure they fully understand and willingly sign the agreement.
Pre-nuptial Agreement Solicitors Blackheath
Contact the brilliant family law team at Beverley Morris & Co. in Blackheath for assistance with writing your pre-nuptial agreement. We have extensive experience drafting and finalising pre and post-nuptial agreements to fit your and your partner’s needs perfectly.
Please call 020 8852 4433 or email enquiries@beverleymorris.co.uk today.
Discrimination in the workplace – Long COVID
Discrimination in the workplace can originate from various prejudices leading to unfavourable treatment based on someone’s gender, sexuality, race, religion, pregnancy, maternity or disability. Recently, there has been a case whereby an employee with long-COVID deemed disabled under the Equality Act 2010 brought a discrimination claim against his employer.
Since 2020, many aspects of the law have had no choice but to adjust or transform to house the new world that the pandemic has created.
What is long-COVID?
Long-COVID has affected many people who contracted the illness since its global outbreak in March 2020. There is a lot of speculation surrounding long-COVID, its symptoms, effects and victims.
Public Health England estimates that:
- 3% of people experience long-COVID one month or longer after infection
- 5% of people experience long-COVID three months or longer after infection and
- more than 30% of people hospitalised with the illness experience long-COVID.
Burke v Turning Point Scotland
In the case of Mr Burke, who was employed as a caretaker at Turning Point Scotland for around 20 years, he did not return to work after contracting COVID-19 in November 2020 due to the severity of his short and long-term symptoms. His symptoms included:
- Headaches
- Fatigue
- Loss of appetite
- Joint pain
- Difficulty sleeping
- Exhaustion
Many of these symptoms meant that Mr Burke could not stand for long periods of time.
In April 2021 and June 2021, Turning Point Scotland obtained two occupational health reports that concluded it was “unlikely” that the disability provisions outlined in the Equality Act 2010 would apply to Mr Burke. Shortly after this, in August 2021, Mr Burke was dismissed by Turning Point Scotland on the ground of ill health.
In his letter of dismissal, it was stated that due to the uncertainty of a date when Mr Burke would be able to return to work, it was with regret that he was dismissed.
Mr Burke later claimed disability discrimination.
Disability Discrimination Claims
In the employment tribunal, it was found that Mr Burke had a physical impairment that affected his ability to carry out normal day to day activities. This impairment was found to be more than minor and likely to last longer than 12 months.
The ruling found that Mr Burke was experiencing symptoms that met the relevant tests of the definition of disability, according to the Equality Act 2010.
Employment Tribunal for Discrimination
Although not all disability means that an employee cannot be dismissed for capability reasons, an employer should always ensure that their decision surrounding a dismissal does not discriminate against the employee in question.
It is highly likely that following Burke v Turning Point Scotland, there will be an increase in discrimination claims from employees suffering from long-COVID.
Moreover, ACAS has issued sickness and absence advice for employers and employees dealing with ‘long-COVID’.
Employers should always be cautious when managing suspected cases of long-COVID or any disability in the workplace.
Solicitor for Employment Tribunal
At Beverley Morris & Co., we provide specialist guidance surrounding workplace discrimination issues, as discussed in this article.
We have extensive experience helping employers comply with their obligations under the Equality Act. Our employment and dispute resolution teams also help bring or defend any Equality Act complaints brought by employees.
To speak to a team member today, please call 020 8852 4433, email enquiries@beverleymorris.co.uk or fill in a contact form, and we will get back to you.
What is a lasting power of attorney?
A lasting power of attorney is a legal document that allows one person to make decisions on another person’s behalf, if necessary. An LPA would come into action if the person in question lost mental capacity or developed an illness that stopped them from making decisions (e.g., dementia or a brain injury).
Are there different types of power of attorney?
There are different types of power of attorney, and the suitability of each one depends on the situation a person is in. The different types include:
- Ordinary power of attorney
- Lasting power of attorney
- Enduring power of attorney
You can set up more than one power of attorney to cover all potential outcomes.
Ordinary powers of attorney
Ordinary powers of attorney allow one or more person (the attorney[s]) to make financial decisions on your behalf.
Reasons for setting up an ordinary power of attorney include:
- Needing someone to temporarily act for you, such as if you are on holiday or in hospital
- You struggle to go out to the bank, post office or similar, so you want somebody to access your account on your behalf
- You supervise someone whilst they make decisions on your behalf.
This type of power of attorney allows you to limit the ability somebody has, to make decisions on your behalf. Therefore, you might decide that they only can make decisions regarding your bank account but not your home.
Ordinary powers of attorney are only valid if you have mental capacity. If you want someone to make decisions on your behalf when you do not have mental capacity, you should consider a lasting power of attorney.
Lasting powers of attorney
There are two types of LPA, one for financial decisions and one for care and health decisions.
LPAs allow your attorney (someone close to you and whom you trust) to make decisions on your behalf if you lose mental capacity or no longer want to make decisions for yourself.
Financial lasting powers of attorney
Financial LPAs can cover issues such as:
- Buying/selling property
- Mortgage payments
- Investments
- Bill paying
- Arranging property repairs
The attorney making your decisions must keep accounts and ensure your money remains separate from theirs.
Health and care decisions LPA
In this case, an attorney can make decisions about issues including:
- Where you should live
- Medical care
- What you should eat
- With whom you should be in contact
- Your social activities
- In some cases, life-saving treatment
What is an enduring power of attorney?
An enduring power of attorney covers decisions about both your property and financial affairs if you want someone to act on your behalf. It needs to be registered with the Office of the Public Guardian if you lose mental capacity.
LPAs replaced EPAs in 2007. If you made and signed an enduring power of attorney before 1 October 2007, it should still be valid.
Does my spouse have power of attorney?
You should never assume that your spouse or civil partner will automatically be able to deal with your finances and possessions if you lose the ability to do so yourself. Without an LPA, your partner has no authority.
Lasting Power of Attorney Solicitor
At Beverley Morris & Co., in Blackheath, our experienced team of solicitors are on hand to support you when you wish to put in place your power of attorney.
Writing and signing a power of attorney can seem daunting, so we are on hand to guide you throughout the process.
To ensure your finances and possessions are dealt with according to your wishes should you lose the ability to make decisions for yourself, please get in touch with Beverley Morris & Co. Solicitors in Blackheath today on 020 8852 4433 or email enquiries@beverleymorris.co.uk.
Family Law Court Backlog from Covid-19
The Law Society has cautiously welcomed a £5.4 million investment into an existing mediation voucher scheme to help families resolve legal issues outside court. However, the Law Society did warn that more is needed to address the family courts’ backlog brought on by the Covid-19 pandemic.
Since the scheme was set up last year by the Family Mediation Council on behalf of the Ministry of Justice, 8,400 vouchers have been used. Each voucher provides £500 towards the cost of mediation for families in England and Wales. Of the 8,400 vouchers that have been used so far, 65% reached a whole or partial agreement. It is expected that around 10,200 more families will be helped in 2022/23 because of this investment.
John Taylor, chair of the Family Mediation Council, said: “The voucher scheme also brings financial savings for the government as people do not need to go to court, but the main benefit is that it results in happier, healthier children and families.”
Avoiding Court
In an ideal instance, court will be avoided, especially where children are involved. However, court cannot be avoided in 100% of family law cases. There are currently an estimated 58,762 new family cases waiting to be heard.
There have been calls for different kinds of help alongside the voucher scheme to further reduce the backlog.
The Law Society is currently investigating ways of helping people address problems before they escalate in order to prevent cases going to court unnecessarily.
Family Law Solicitor Blackheath
At Beverley Morris & Co., our experienced solicitors can help you with your family litigation needs to avoid court where possible.
Our service offering includes child arrangements, residence orders, contact orders and more.
Please get in touch today. Call us on 020 8852 4433 or email enquiries@beverleymorris.co.uk.
What is conveyancing?
Conveyancing refers to the legal element of moving home. It is the process by which you transfer the ownership of a property from one person to another.
A conveyancer is a lawyer that specialises in the legalities of moving home. This person will go through the process of transferring ownership of the property.
Whether you are a first-time buyer or more seasoned in property, the process can sometimes feel overwhelming and confusing. Below we outline the conveyancing process, so you know exactly what to expect.
What is the process of conveyancing?
Memorandum of Sale
A Memorandum of Sale is a document that records the details of a property sale. This will be sent to your conveyancer by your estate agent. It includes details like the agreed price, the address of the property, the names of the sellers and the buyers and their conveyancers. As a buyer, you will be asked to provide your details alongside a valid piece of ID (driving licence or passport) and proof of residence.
1. Mortgage
Ideally, you should already have a mortgage offer agreed upon in principle. Tell your mortgage lender that you have made an offer and how much that offer was. Your mortgage lender will also expect to receive details of the property.
2. Provide instructions to your conveyancer
Your conveyancer will now ask you for details and instructions. Meanwhile, the seller will complete a fittings and contents form and an information form providing specific property details. The seller’s conveyancers will get details of any existing mortgages on the property. If there is an existing mortgage, the conveyancers will obtain information regarding how much of the mortgage is outstanding so that this can be paid out of the sale proceeds when the transaction completes.
3. Arrange Surveyor
A surveyor is a highly trained professional. Their job is to offer expert advice on the value and condition of a property.
Aside from the basic mortgage valuation, there are two options for survey reports. The latter is recommended if the property being investigated is old or listed.
- Basic survey. Also known as a homebuyer’s report.
- Full structural survey.
4. Property Search
Next, a contract pack is sent to your conveyancer. This includes the contract, the seller’s property information form and land registry documents of title from the seller’s conveyancer.
Once the contract pack has been received, any relevant searches should proceed. This could be Local Authority, Drainage, Environmental or similar. Many mortgage providers require you to have some searches, particularly Local Authority, so be sure to keep this in mind.
5. Contract
If necessary, your conveyancer will raise any concerns or queries with the seller’s conveyancer. You will then receive a legal report containing legal information about the title to the property and a preliminary draft of the contract and transfer (legal document signed by both buyer and seller to transfer property ownership) to be signed. You should read the contract carefully before signing, as with any legal document.
The transfer document must be signed in the presence of an independent witness, and the originals of both documents returned to your conveyancer.
6. Sign the Mortgage Deed
After making an offer, your mortgage lender will send your solicitor a copy of it. When this is done, your conveyancer will act on their behalf and yours to ensure any special conditions can be met, and they will also verify whether the details your mortgage lender holds about you are correct.
Following this, you will receive a mortgage deed to be signed. As with the transfer document, the mortgage deed should be signed in the presence of an independent witness over the age of 18 years.
7. Pay Deposit
Provided that any issues with the searches, mortgage and enquiries are resolved – and, also, if you are “in a chain”, all the other parties in the chain are ready – your conveyancer will ask you for the deposit. The deposit usually equals ten per cent of the purchase price of the property.
(Subsequently, you will be sent a financial statement showing the money required to complete your transaction. This figure considers the mortgage funds coming from your lender and all the fees and disbursements.)
8. Final Checks
Your conveyancer and the seller’s conveyancer now begin agreeing on a completion date, ready to exchange contracts.
Your solicitor will check over all the documents, and your seller’s solicitor will obtain final redemption statements for any existing mortgages on the property.
9. Protect your investment
Buildings insurance is essential. Your mortgage lender will most likely make it a condition that you must have buildings insurance by the date of exchange of contracts. Buildings insurance protects your investment in the property and the interests of your mortgage lender.
10. Exchange
Upon exchange, both you as the buyer and the seller are contractually bound to complete on the agreed completion date. Typically, the conveyancers exchange contracts over the telephone and then send the signed contracts by post. Exchange of contracts legally binds both parties to transferring the property. Therefore, you can be confident that the seller must vacate the property on the day of completion.
At this point, all relevant paperwork will be collated ready for the day of completion.
11. Completion
On this day, your conveyancer will send the outstanding balance of the purchase price, part of which will be the money you have received from your mortgage lender to the seller’s solicitor in the form of a bank telegraphic transfer.
Once this stage has been completed and confirmed by the seller’s side, the estate agent can release the keys.
Congratulations, the property is now legally yours!
12. Inform Land Registry
Next, your conveyancer will pay stamp duty land tax on your behalf. They will also inform the Land Registry that you are the property’s new owner and that your mortgage lender is also involved.
13. Deed Of Title
Finally, after a few weeks, you will receive a copy of the title information document, which shows you as the owner.
Conveyancing Solicitors Blackheath
At Beverley Morris & Co. Solicitors, based in Blackheath Village, SE3, we have an excellent team of Residential Conveyancers ready to support you through your property purchase (or sale).
For more information about our residential property services, please click here.
Alternatively, call us today on 020 8852 4433 or email enquiries@beverleymorris.co.uk.