LandlordZONE

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Oct, 2014

Saturday

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  1. #1
    Join Date
    Oct 2009
    Location
    East Yorks
    Posts
    2

    Default solicitor is holding up completion/purchase

    Can anyone help me. I have been given a residential mortgage on the basis of having released money from my buy to let mortgages. (2) The buy to let mortgages have been ready to release the money and complete for awhile now, but my solicitor keeps writing to the Woolwich(well he has written twice) asking if they are aware of the buy to lets. He has a copy of my mortgage application clearly showing the basis of my residential application and indidcating the funding coming out of the buy to lets. His first letter was to check they knew of the first buy to let. He has now at this late stage wriitten to ask if they know of the second buy to let. All of this information was sent in the application by my mortgage broker and he has copies of that. Recently I questioned the neccessity for all of this and feel he is not really representing my interests but that of the lender. This did not endear me to him. Suffice to say I still havn't completed and leave for a longish trip at thet end of Oct. Can anyone tell me if this a legal obligation or just back covering on the part of my solicitor. Thanks for any advice. V

  2. #2
    Join Date
    Jun 2008
    Location
    Andalucía
    Posts
    9,709

    Default

    The fact is that your solicitor is acting for both you and the Woolwich. This is permitted in conveyancing transactions as it cuts down costs and there is generally no conflict of interest as both borrower and lender have the same aim. Even so, the solicitor does have specific duties he owes to the lender. If there is a conflict that cannot be resolved he must cease to act. There is no conflict here, but without knowing all the details it is impossible to say if the solicitor is being over fussy. Why don't you just take it your solicitor likes to pay attention to detail and do things properly? The sort of solicitor you want, surely?

  3. #3
    Join Date
    Oct 2009
    Location
    East Yorks
    Posts
    2

    Default solicitor holding up completion/purchase

    Yes I appreciate a steady and thorough solicitor is an asset, however I felt that this double checking which has happened two or three times was a little over pedantic, and was introduced at a very late stage in the proceedings. I suppose that each solicitor decides to what extent he/she will pursue a single issue with a view to satisfying or fulfilling what he/she sees as an obligation, therein lies the rub, some will over egg the pudding others will accept enough has been done. However your point is well taken, a thorough Solicitor is worth their weight in gold. Thanks for the response

  4. #4
    Join Date
    Jul 2008
    Location
    Yorkshire
    Posts
    24,592

    Default

    Quote Originally Posted by vickster View Post
    Yes I appreciate a steady and thorough solicitor is an asset, however I felt that this double checking which has happened two or three times was a little over pedantic, and was introduced at a very late stage in the proceedings. I suppose that each solicitor decides to what extent he/she will pursue a single issue with a view to satisfying or fulfilling what he/she sees as an obligation, therein lies the rub, some will over egg the pudding others will accept enough has been done. However your point is well taken, a thorough Solicitor is worth their weight in gold. Thanks for the response
    You would wish any professional whom you employed to do a job, to do it thoroughly rather than in a hurry, wouldn't you?

    Having said that, I was once advised, when being trained to decorate, that you should always apply paint (whether by roller or brush), as if you are being paid by the hour (even if you aren't)...but this approach has implications for 'professionals' whom you are paying by the hour, I suppose!

  5. #5

    Default

    I can appreciate your frustration Vickster, and I say that as a solicitor myself.

    What I would say is that mortgage fraud has been on the increase (although has it been to the extent we are led to believe when paying our PI premiums!?) and it is a possibility that documents may be put together by a third party which show certain details that are not necessarily entirely correct.

    The solicitor is not necessarily able to verify every detail, and isn't generally expected to. For example the property will have been surveyed, and if a surveyor has given a report stating 3 bedrooms then the solicitor wouldn't be expected to have to visit the property and confirm 3 bedrooms.

    However, the solicitor might have information suggesting that the property has 2 bedrooms, and so he would be expected to look into that discrepancy.

    This is a slightly different aspect, I appreciate, but the principle is the same. If the solicitor were to accept at face value that the mortgage is a buy to let product, simply because the documents say so, then he/she might be opening themselves up to a claim if that information is incorrect and the means to verify that information were readily at their disposal. It may well be that other parties (eg a surveyor, broker or estate agent) might also be liable to differing extents, but that's little comfort.

    If the solicitor has a simple way to check that the mortgage is supposed to be on a buy-to-let basis, and wants to ensure that there is no mistake (or worse, fraud) in that respect, then I suppose it is reasonable to expect him to check, and accordingly not unreasonable of him to delay the matter while he does so.

    If of course this process is taking an exceptionally long time, then you ought to find out why. It may be the bank dragging its feet in which case you can contact the bank and press them on why they are being slow to respond to a simple point.

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