unregistered house

Francis118

I am in the process of buying an old house and it turned out that it has never been registered with Land registration. To make the things worse, on the 1986 conveyance, it seems that there is 80 years restrictions. All my friends worried for me, is it leasehold or freehold. My solicitor (online company) told me that it is freehold but he is not able explain why there is 80 years clause in it. Any expert or seasoned house buyer can advice me on this please? Many thanks!!! Francis
Here is the page , especially the near the bottom of the page, paragraph 2





Between D and A both of the 1 cherrywood crescent, Eastleigh, Hants (hereinafter called “the Vendors”) of the one part and B and C both of 1 Lily Drive, Reading Berks (hereinafter called “the purchasers”) of the other part
Whereas
The vendors are seised of the property hereinafter described for an estate in fee simple subject only as hereinafter appears but otherwise free from incumbrances;

• The Vendors hold the said property upon trust to sell the same and to stand possessed of the net proceeds of sale thereof and of the net rents and profits thereof until sale upon trust for themselves as beneficial joint tenants;
• The Vendors in execution of the said trust for sale have as beneficial owners agreed with the Purchasers for the sale to them of the said property for the said estate at the price of Eight-nine thousand pounds (£89000).

NOW THIS DEED WITNESSETH as follows:

• In consideration of the sum of Eighty-nine thousand pounds (£89000) paid by the Purchasers to the Vendors (the receipt whereof the Vendors hereby acknowledge) the Vendors as beneficial owners hereby convey unto the Purchasers AL THAT piece or parcel of land situate in the Parish of Ampfield in the county of hants having a frontage of Fitty feet or thereabouts to 1 Cherrywood Cresent as the same is for better identification thereof delineated on the plan hereto annexed and thereon edged red together with the messuage or dwellinghouse erected thereon or some part thereof and known as 1 cherrywood crescent together with all rights and other matters referred to in a Conveyance dated the 12th August 1937 and made between E and F of the other part in so far as the same are still subsisting in relation to the property hereby conveyed and capable of being enforced. To hold the same unto the Purchasers in fee simple as beneficial joint tenants
• It is hereby declared that the Purchasers or other the trustees for the time being of this deed shall have full power until the expiration of the period of eighty years from the date hereof (which period shall be the perpetuity period applicable hereto) to mortgage charge lease or otherwise dispose of all or any part of the said property with all the powers in that behalf of an absolute owner.
• In witness whereof the said parties to these presents have hereunto set their hands and seals the day and year first above written .

G_M

1) the lack of registration is unimportant. Many properties are unregistered and any half-decent solicitor can convey an unregistered property.

2) that said, using an online one is never my advice. Far better (as here!) to be able to sit down face to face if an issue arises or you need an explanation.

3) I'm not a licenced conveyancer, but that looks like an 80 year lease which expires in 2017. Not worth a lot if that's the case!

4) Have you got a copy of the Conveyance dated the 12th August 1937?

5) I suggest you edit your post to remove the names & addresses.

AdrianC

ITYM expired three months ago.

Francis118

Many thanks G_M!
It is very helpful. Thank you for reminding confidentiality. All names and address are pseudo.
I do have a copy of the conveyance dated 1937, and there is nothing serious there and not mentioned about 80 years restrictions. You are right, unregistered is not a problem but this paragraph worried me


"It is hereby declared that the Purchasers or other the trustees for the time being of this deed shall have full power until the expiration of the period of eighty years from the date hereof (which period shall be the perpetuity period applicable hereto) to mortgage charge lease or otherwise dispose of all or any part of the said property with all the powers in that behalf of an absolute owner."


this conveyance was dated 1986 and I understand that 80 years started in 1986 (which period shall be the perpetuity period applicable hereto). why do they put 80 years restriction? Is it any lease ? My solicitor told me that nothing to do with me and will not apply to me. But did not explain why. Who will be the absolute owner after I bought?
Silly me! Online solicitor has never been my things but this time, my agency highly recommend it and I was in a rush. Poor decision making of me.
Any further comment will be highly appreciated.
Many thank
Francis

Francis118

Hi, Adrian
Thank you for your reply! I do not understand "ITYM expired three months ago."
Can you kindly explain a bit more please?

davidmcn

AdrianC wrote: »

ITYM expired three months ago.

No, the 1937 deed is being referred to for description. 80 years is (apparently) from 1986.

LandyAndy

Francis118 wrote: »

Hi, Adrian
Thank you for your reply! I do not understand "ITYM expired three months ago."
Can you kindly explain a bit more please?

It was a comment to G_M.


I Think You Mean

lika_86

Who are you buying from? D and A or B and C?

AdrianC

davidmcn wrote: »

No, the 1937 deed is being referred to for description. 80 years is (apparently) from 1986.

Ah, that's clearer.

Richard_Webster

The 1986 buyers were 2 or more people? If so they held the property on an implied trust to sell it. There were some interesting academic arguments (the details of which I can't now remember having heard about them when studying conveyancing for my degree in the 1960s) that said that joint owners might not be able to mortgage etc a property.

So some solicitors would insert these express powers to do these things but could only do so for 80 years (for another technical reason I won't go into):

It is hereby declared that the Purchasers or other the trustees for the time being of this deed shall have full power until the expiration of the period of eighty years from the date hereof (which period shall be the perpetuity period applicable hereto) to mortgage charge lease or otherwise dispose of all or any part of the said property with all the powers in that behalf of an absolute owner.

They only apply to the people who bought the property in 1986 and will not/would not continue after they sell it, so the 80 years will not affect a buyer at all.

Francis118

I buy from B and C
Thanks