HSBC Clause on my first mortgage

tenpac

Hi All,

I am a first time buyer and I was looking through my mortgage document and I have the following restriction that will be entered into the land registry. My legal advisor says he does not know why this is included as I would need to have authorisation before selling my home in the future anyway. The restriction is worded as the following:

3. restriction
you, and if there is more than on of you, each of you, apply to the chief land registrar to enter the following restriction against the title mentioned above:
"no disposition of the registered estate by the proprietor of the registered estate is to be registered without a written consent signed by the proprietor for the time being of the charge dated........... in favour of the hsbc bank plc referred to in the charges register"

Any idea what this means?

Many thanks
tenpac

TEDDYRUKSPIN

Erm.... have you cut the whole section down with ...............?

I suggest you phone them up and ask them to explain what this term means.

From just reading the above and without all the information - it means that HSBC will always have first charge on the property. If you decide in the future to obtain a secured loan from somewhere else, you will need approval from HSBC.

Just to say, I've been wrong before. So just phone them up.