Mortgages

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Mortgages guidance:

Solicitors Regulation Authority Code of Conduct 2011 In residential conveyancing the buyer's conveyancer often will also be instructed by the lender to act for the lender...

Practice Note

What additional searches should be undertaken? More specific searches and enquiries may be required depending on the property location, its surrounding area and the...

Practice Note

Introduction to the Agricultural Credits Act 1928 The Agricultural Credits Act 1928 (ACA 1928) created a bespoke form of security that allows a farmer to grant a single...

Practice Note

Reasons for amending security documents and key risks Reasons for amending a security document There are situations where parties may consider amending security...

Practice Note

Sale by a mortgagee destroys the equity of redemption in the mortgaged property. The sale defeats the rights of all subsequent incumbrancers, whose remedy then is only...

Practice Note

Date[insert date of appointment] Parties 1 [insert name of Lender] of [insert address][incorporated in England and Wales with company registration number [insert company...

Precedents

Assignments by way of security can take different forms and it is important to understand how they are created and their effect. Security over choses in action such as...

Practice Note

Lenders' risk exposure Lenders are increasingly concerned with environmental risk in their day to day secured lending businesses. All major UK banks now have to make, to...

Practice Note

When a bankruptcy order is made, a bankrupt’s property normally automatically vests in the Official Receiver/trustee in bankruptcy. However, property owned by the...

Practice Note

Equity of exoneration Where the property of a spouse is charged in order to raise money for the payment of the first spouse’s debts or otherwise for his or her benefit,...

Practice Note

When an individual is adjudicated bankrupt, his property (with the exception of an interest in various short-term residential tenancies in certain circumstances) vests in...

Practice Note

The Building Societies Association (BSA) is a trade association which represents mutual lenders and deposit takers in the UK including all 45 UK building societies. The...

Practice Note

Land Charges searches are not required for dealings with registered land, but if you are acting for a lender in connection with a charge over an interest in property,...

Practice Note

What is chancel repair liability? Chancel repair liability is an ancient interest which potentially benefits pre-Reformation churches in England and Wales. It enables...

Practice Note

Joint and several liability Where a covenant is given by two or more persons, they may be liable: • jointly • severally, or • jointly and severally The applicable...

Practice Note

Repayment covenant A claim under the repayment covenant in the principal mortgage can be made against any covenantor, whether principal or surety. Whether or not a...

Practice Note

TO BE PRINTED ON THE HEADED PAPER OF THE SELLER’S LENDER’S SOLICITORS To: [insert details of the buyer’s solicitors] (the Buyer’s Solicitors) [insert details of the...

Precedents

TO BE PRINTED ON THE HEADED PAPER OF THE SELLER’S LENDER’S SOLICITORS To: [insert details of the buyer’s solicitors] (the Buyer’s Solicitors) [insert details of the...

Precedents

The key feature of a floating charge is that, until it crystallises, the chargor is entitled to deal with the charged assets in the normal course of business without any...

Practice Note

This Practice Note considers the issues which can arise when dealing with individuals in the context of a finance transaction. It looks at the types of actions an...

Practice Note

Compulsory first registration The buyer of an unregistered freehold or lease with more than seven years unexpired (ie a qualifying estate) has a statutory duty to apply...

Practice Note

Stamp duty Check that each document prior to 1 December 2003 has been correctly stamped. Where necessary, ask the seller to apply for late stamping at his own cost....

Practice Note

Defective title insurance policies, or policies covering breach of restrictive covenants, usually contain conditions relating to the disclosure of the policy to potential...

Practice Note

Release of a surety The mere fact that a creditor accepts further security from the principal debtor does not release a surety. A release of the collateral security will...

Practice Note

Nature of mortgages and charges Mortgages and charges are distinct forms of security. A mortgage can be legal or equitable and involves the transfer of a legal or...

Practice Note

See Practice Note: Legal mortgages and legal charges. Equitable mortgages Certain historical advantages to an equitable mortgage over a legal mortgage no...

Practice Note

A valuer estimates or assesses the worth or value of, or fixes a price for, a property. This note does not cover the liability of a valuer acting as an arbitrator. Margin...

Practice Note

There are four main types of security available under English law: • mortgage • charge • pledge, and • lien This Practice Note explains: • the nature of a charge...

Practice Note

Brexit impact As of exit day (31 January 2020) the UK is no longer an EU Member State. However, in accordance with the Withdrawal Agreement, the UK has entered an...

Practice Note

The Law Society first issued its practice note on flood risk on 23 May 2013 due to the increasing risk properties face from flooding and the knock on effects it can have...

Practice Note