Form P Restriction

arashtrip

Hi,

I recently remortgaged my property and found a new restriction on the title deed (there was not such thing on the previous title deed):

RESTRICTION: 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 XXX in favour of The XXXX
referred to in the Charges Register.

I did some research and it seems it is a kind of standard restriction called form P. However, I am not still sure about its actual meaning and application.

Does it mean that if I want to remortgage in future I need a permission from the current lender or if the current mortgage is repaid in full (by the new lender) this restriction will be automatically removed?

Is it something common?

Thanks

davidmcn

If you remortgage (or complete a "normal" sale) then you redeem your current mortgage and you're entitled to get a discharge from the lender. The restriction is to prevent you from trying to change ownership while keeping the mortgage in place (which your mortgage conditions almost certainly prohibit you from doing anyway). It has no practical effect otherwise.