Desperately seeking remortgage advice after after passing of mother

zn09

Hello everyone,

My mother passed away in 2013 and I am the sole executor of her house and hold the grant of probate. I live on my own and suffer with anxiety and depression, made worse currently by what I will talk about. I would therefore be extremely grateful if people could offer me advice on my situation.

The house is still with the existing lender (Brittania/CoOp) who have made an exception to allow me to remain living in the property with the mortgage still in her name and me paying the monthly payments, but now its time for me to sort out a new mortgage and pay them off.

I have been going through the Mortgage Advice Bureau (MAB), having being referred to by friends and have subsequently secured a mortgage with a new lender (Coventry). However now I’m not sure using the MAB was the best idea. They’re charging £295 for ‘their advice’, have tried to sell me home insurance that I think was worse than the one I currently have (to get commission) and have found me a solicitor to deal with the remortgage proceedings (commission again). It is information regarding a solicitor that I would like advice on.

They want £500 to do everything and it seems like I can do some of these things on my own. I have been told I need the following:

1) Transfer of title deeds
2) Equity transfer
3) The actual remortgaging process

I have spoke to Land Registry who told me it is a straight forward process of a few forms and a fee of £40 to update the land registry (what they called an assent). This is what I need for a transfer of title deeds, correct?

After ringing up the new lender’s solicitor to ask if I could do this, they said I could, and that I might not even need someone to do an equity transfer if I can just update the deeds. Not sure on this one, but I’m getting more information from them as soon as I can.

Also, the lender’s solicitor can do the remortgage free of charge.

I have attached a breakdown of the costs associated with the solicitor that has been appointed to me by the MAB. I haven’t signed anything off yet, so I don’t have to go through with it. This is copied from their document, as I can't post an attachment or link.

"Total costs for your transaction 314.40

VAT 78.60
Telegraphic transfer fee (including VAT) 30.00
ID Verification (Including VAT) 15.00
On-line registration fee (Including VAT) 30.00

Total charges 468.00

Disbursements

Land Registry Searches 16.00
Land Registry fees for registration of purchase 20.00
Brokers Fee 295.00

Total disbursements 331.00

GRAND TOTAL 799.00"


Could people please tell me what’s going on and what I need? Do I even need a solicitor if I can transfer the title deeds on my own very easily and use the lender’s solicitor to do the remortgage for free? Does anyone know anything about equity?

I imagine I will also have to speak to Britannia to see what they say.

I much appreciate your help, very worried I might be getting ripped off in all this and look forward to hearing from anyone who can offer some advice.

ACG

Unless your name is already on the Mortgage/deeds, it is not a remortgage, it is a purchase.

£800 solicitors fees for a purchase is not too bad, if you are not happy ring around and find your own solicitors. Check they can act for Coventry before instructing them.

zn09

I think the mortgage adviser at the MAB told me its a remortgage.

The land registry said they could change it over in around a week if I sent off the forms.

Stressful!

Sarastro

I think it comes down to how much you are willing / able to do yourself and how much you are willing / able to pay the solicitor to do it for you. If you don't want the stress, just make the decision to get the solicitor to do it all, at least you will have peace of mind that it's been done properly. Given the history; it might be a good investment in ensuring it is in your name, etc.

If you want to save some money, you will have to do some or all of it yourself. Have you spoken to Coventry (new lender) they may do some of this inclusive in their fee.

hcb42

personally i would pay a solicitor to have the headache removed but we are all different

ACG

Is your name on the current mortgage/deeds?

The other thing is that many solicitors would not take the work on if you are doing bits of it yourself. Their insurance would probably be invalid and they have a process for every other customer they follow.

zn09

Thanks for the replies so far.

ACG, no, I don't think they are.

Are mortgage deeds and land registry two separate things?

Also the quote for the solicitor to do everything is 500, 800 when you include the MAB's fee.

ACG

Chances are MAB have got you some cheap and "cheerful" solicitors which when they bang on their commission still isnt too bad if you compare it to a local high street solicitors.

If you are not happy with them earning £300 from it (and why would you be) then why not do some ringing around and find another solicitor?

I am all for earning for the work we do, but £300 to give a company your name and address is OTT.

zn09

MAB get their £300 commission regardless of which solicitors I use, so long as I take up the new mortgage. They'd only get even more if I use the solicitor they found me.

Any advice on whether or not I'm thinking that title deeds and land registry are the same thing when they're not?

ACG

Sorry, I am getting a little confused by your posts, but it sounds like:

The solicitors are charging their fee (and rightly so).
MAB are charging their fee (and rightly so).

MAB have added their fee to the Mortgage and the solicitors will deduct that fee from the mortgage when it comes in and pay MAB, the remainder will be used to presumably pay off Co-op.

It does not sounds like you are paying 2 lots of £295. The upside to this is that you do not need to pay anything upfront and £295 added to the mortgage will likely be pennies a month. The downside is that you are paying interest on the £295.

The broker should have discussed this with you really.

silvercar

Firstly sorry for your loss and sorry that you seem to be bearing the burden of all this on your own.

Are mortgage deeds and land registry two separate things?

Deeds to a property are registered with the Land Registry. (Unless the property has not changed hands or been remortgage for over 30 years, in which case it may not be registered.) The Land Registry is a company that holds the deeds (ownership records).

Everything is now held digitally by Land Registry, as opposed to holding physical deeds.

I have spoke to Land Registry who told me it is a straight forward process of a few forms and a fee of £40 to update the land registry (what they called an assent). This is what I need for a transfer of title deeds, correct?

Land Registry will answer the question you asked.

What you are doing here is transferring ownership of the equity and taking out a new mortgage at the same time. You need to do the Assent and the remortgage at the same time.

Clearly there is legal work to be done and (if the lender doesn't offer a deal that pays your legal fees) then that needs paying for.
MAB will get some commission from the lender. They have also charged you a fee. I assume this was explained at the outset.

For their money they have found you a mortgage. Possibly you could have found that for yourself, depending on your abilities, and saved yourself £300.