Legal Charge On The Property

gaznolan

Hi New poster here and I would like to pick your brains if possible. Situation is as follows :
Other half inhetired her Mums property 3 years ago. There was a charge on the property in respect of her Dad, Her Mum and Dad divorced around 20 years ago and rather than buying him out of the property his 11% was put on the land registry as a charge. We have spoken to her Dad who doesnt want anything from the property and is happy for his 11% to be removed. O/H is currently re mortgaging the property and the solicitors have said they can not remove the charge we need to find someone else, We are either going to have to pay through the nose to another legal firm to do this or leave the charge , which none of us want to do. Is there a way we can remove the charge ourselves and how would we go about it ?

Shere mortgaged when she inherited the property and the title is in sole name but a deed of postponement was done for the charge if that helps anybody or makes sense

The_J

Forgive me, I'm still getting used to this website. When you say, "pay through the nose", do you mean a few thousand pounds? Or a few hundred?

If it's the latter, then yes, I can see how this would happen as often solicitors that deal with remortgaging, especially if they are the free solicitors of the lender, do not do anything outside of the norm.

gaznolan

Thre free legals solicitors for the remo are refusing to do it, others we have approched to do the charge removal are all saying its not worth their while doing it and minimum charges of £300 plus VAT .. we are happy to pay but if it can be done ourselves then we will do that

The_J

That's what I thought. Personally I'd pay the £300 to save the time and hassle of sorting it out myself. Can you do it yourself? Probably but no idea how you would go about this.

holly_hobby

Hi there,

Your quickest solution to this is to ring Land Registry, exlain what you want to do and they will advise if you need a licensed conveyener to administer the release/discharge, or if you/Dad can do it directly, whereby they will provide you with the appropriate forms for completion (which will be ID1 for identity, AP1 and DS3 I think - which are both to do with change of the register, but LR will correctly advise you when you call) - there are no charges for removing an charge entry as far as I am aware - BUT I am not a conveyencer or Solicitor so do take the above as general chat and check with LR. (NB - even though there is no release charge, your Sols fee is to take account of their administration of the matter - so may well be money well spent even if you are permitted to affect the release without channelling through a conveyencer).

Here's LR (member of public) contact number for you .. 0844 892 1111

Good luck and hope this helps

Holly

Thrugelmir

gaznolan wrote: »

Shere mortgaged when she inherited the property and the title is in sole name but a deed of postponement was done for the charge if that helps anybody or makes sense

Was the mortgage discharged when the property was inherited?

gaznolan

The property was unencumbered when it was inherited

holly_hobby

Its only Dads 2nd charge (2nd as result of the deed of postponement) that requires removal by the chargees consent>

The current mortgage lenders 1st charge is unrelated to the matter, as removal of Dads charge won't alter their position of 1st registration (1st registration only achieved in any event, if any existing mortgage or non-postponed charges, had been fully discharged on the OPs acquistion & remortgage - as a mortgage lender always demands 1st charge - therefore there are no issues re whether it was mortgaged or not when it was bequeathed to the OP (or indeed subsequently) )

As I say, contact LR who will advise if you have the option of removing Dads charge without utilising a conveyencer.

As a side issue - I know this is a free legals deal, but baring in mind the situ you have, have you compared non-free legal deals too ?

If you get a cost for the total conveyencing (inc removal of Dads charge) and compare the overall costings of this and a legal paying deal, to the current one on the table, you may actually be better off paying all the remge legals, and taking the alternative deal - killing 2 birds with one stone. Have your broker search out the most suitable fee paying rmg deals, and see how the 2 options inc all costs compare over all. You may be surprised at what you find.

Hope this helps

Holly