Land Registry questions

kingstreet

Hi, L_R.

Our client purchased a newbuild in January 2022 and is looking to make an overpayment to the existing mortgage, remortgage to a new lender and undertake a TOE to add her partner. According to the website, it may be eight to twelve months before the first registration is done.

Although the delay won't cause hardship it will ensure any chance of a lower rate mortgage is removed as no lender is willing to lend nor permit the TOE before the first registration is completed. there any way of asking for the registration to be expedited on that basis - future higher mortgage costs?

Land_Registry

kingstreet said:

Hi, L_R.

Our client purchased a newbuild in January 2022 and is looking to make an overpayment to the existing mortgage, remortgage to a new lender and undertake a TOE to add her partner. According to the website, it may be eight to twelve months before the first registration is done.

Although the delay won't cause hardship it will ensure any chance of a lower rate mortgage is removed as no lender is willing to lend nor permit the TOE before the first registration is completed. there any way of asking for the registration to be expedited on that basis - future higher mortgage costs?

If it’s holding up a proven linked/dependent transaction then we can consider expediting it 
We can’t be definitive re what’s a hardship or urgency but we can ask you to prove the need with any request made 

J66998821

Hi, hoping you can help with a land registry question. We are buying a house and the vendors have discovered that they don’t legally own a large amount of land in the garden. This land was given to the previous owners (family X) through deed of gift in the 1970s. When family Y bought the house in 2000s they were told by their solicitor that they had bought the house, garden and additional land as a separate title. However now family Y and trying to sell they’ve discovered that the additional land was never registered with the land registry in their name. In fact it doesn’t have its own title either. Just looks like a part of a blank field on land registry map. So either the solicitors or land registry made a mistake.l, or family y never owned this land. Family y have had the land enclosed within their garden for over 20 years and Family X claimed ownership decades before that. What are the chances of family y getting full ownership of the land? (So they can legally sell it) And what timescales might we be looking at? Thanks 

Land_Registry

J66998821 said:

Hi, hoping you can help with a land registry question. We are buying a house and the vendors have discovered that they don’t legally own a large amount of land in the garden. This land was given to the previous owners (family X) through deed of gift in the 1970s. When family Y bought the house in 2000s they were told by their solicitor that they had bought the house, garden and additional land as a separate title. However now family Y and trying to sell they’ve discovered that the additional land was never registered with the land registry in their name. In fact it doesn’t have its own title either. Just looks like a part of a blank field on land registry map. So either the solicitors or land registry made a mistake.l, or family y never owned this land. Family y have had the land enclosed within their garden for over 20 years and Family X claimed ownership decades before that. What are the chances of family y getting full ownership of the land? (So they can legally sell it) And what timescales might we be looking at? Thanks 

Chances are good if over 12 years. Possessory title likely outcome. Long wait time but if onward purchase it can be expedited so wait time reduced significantly.
However 3 stages to pass which take time. Claim stacks up. Survey completed that backs up claimed facts. Wider checks with neighbours for example. Each takes time so as a very best timescale estimate 2 months but everything has to align perfectly. 

J66998821

Thanks. We’ve been told that possessory title is a bit dodgy. We might not get a mortgage and might struggle to sell the house on. Any advice please? 

babyblade41

J66998821 said:

Thanks. We’ve been told that possessory title is a bit dodgy. We might not get a mortgage and might struggle to sell the house on. Any advice please? 

Just sold my house where half of the garden has possessory title.  Couple bought with a 75% mortgage no problem at all.  The only thing needed is an indemnity policy which the seller will usually pay for 

Land_Registry

J66998821 said:

Thanks. We’ve been told that possessory title is a bit dodgy. We might not get a mortgage and might struggle to sell the house on. Any advice please? 

Bit dodgy? Whilst it’s a lesser title than Absolute it’s not what I would refer to as dodgy. For example the same class of title is awarded to an owner whose registered their ownership for the first time but lost their deeds. Far from dodgy. Just a different class of title to deal with and still a lot ‘better’ than no title at all. 

Lenders offer a range of mortgage products. Some may not be available for a Possessory only title but you’ve got a mix of both so the lending door is never closed. 

Same with selling as the buyer’s mortgage usually dictates whether Yes or No re purchase/mortgage. 

If it’s just the buyer/conveyancer who thinks it’s ‘dodgy’ then the conveyancer may consider asking for indemnity insurance against the risk of someone coming forward and disputing ownership. Someone coming forward is very rare in such cases but indemnity insurance is very common. 

So best ask whoever told you it’s dodgy the same Q - why do they say that and what’s their suggested remedy for making it less dodgy? Their answer to that second part may reassure you but ultimately if your having a mortgage 5hen it’s not your choice anyway. It’s your lender’s 

Land_Registry

babyblade41 said:

J66998821 said:

Thanks. We’ve been told that possessory title is a bit dodgy. We might not get a mortgage and might struggle to sell the house on. Any advice please? 

Just sold my house where half of the garden has possessory title.  Couple bought with a 75% mortgage no problem at all.  The only thing needed is an indemnity policy which the seller will usually pay for 

Much better answer - thank you 

tommo2007

We have been given notice on a new build house (2 weeks to complete), it's on a part-ex, and on the latest land registry search there's an "Application Enquiry" from HSBC BANK.

HSBC say it's a "change of registered address of HSBC" and no impact on the title, but solicitors say if it's not "closed" (it's currently showing "DEALING"), then we can't complete and would be in breach of contract if not resolved within the 2 weeks.

Any ideas what it is and how to get it removed?! (Both bank and solicitor less than helpful!)

Really, really stressed by it, and no idea what to do!!

Title LT463528 HMLR Ref Y700JKS

Land_Registry

tommo2007 said:

We have been given notice on a new build house (2 weeks to complete), it's on a part-ex, and on the latest land registry search there's an "Application Enquiry" from HSBC BANK.

HSBC say it's a "change of registered address of HSBC" and no impact on the title, but solicitors say if it's not "closed" (it's currently showing "DEALING"), then we can't complete and would be in breach of contract if not resolved within the 2 weeks.

Any ideas what it is and how to get it removed?! (Both bank and solicitor less than helpful!)

Really, really stressed by it, and no idea what to do!!

Title LT463528 HMLR Ref Y700JKS

If it’s an application to change the lender’s address then it wouldn’t usually be an issue as it’s not adversarial but simply a positive update to the register. The pre-completion search would reveal what it was but very much your solicitor/lender decision whether to complete or not. 

If they won’t and the application is preventing a linked/dependent transaction from completing then they need to ask us to expedite it