Selling/buying a house with a charging order restriction

Tiglet2

It could be, but it depends on whether this is acceptable to the solicitors and any lender (is sister purchasing with the aid of a mortgage?).

smithyj1986

She is yes. Halifax I beleive

Tiglet2

That could complicate matters.  Sister's solicitor acts for the lender as well and will need to report this.  What does your sister's solicitor advise?

smithyj1986

She’s adamant that the RX3 document is sent now and that the restriction needs removing before the same goes ahead (without it being paid off)

user1977

smithyj1986 said:

She’s adamant that the RX3 document is sent now and that the restriction needs removing before the same goes ahead (without it being paid off)

And has she explained why?

smithyj1986

Nope. She said she rang Santander to query the process and they said the RX3 is needed

what I thinks happened is that she rang santander and used the term ‘estate of’ and they’ve asked her to send the RX3 to send the document to have it physically removed now my dads passed away

Legally that’s correct I beleive as the debt hasn’t passed onto my Mum and instead is passed my my sister and I as we are the executors of my dads estate but my mams agreed to pay it off

her Solicitor is point blank refusing and is wanting to progress normally (he says to complete, he will keep the funds from my Mum and send them to santander himself) then send off to have the restriction removed and then have the land registry put into my sisters name

theyre having another chat tomorrow as they’re at logger heads. My sisters fed up and just wants the sale pushed through whichever way is possible 

Land_Registry

It may help to clarify precisely what the register reveals both re registered ownership and the charging order/restriction.
For example is the property in Dad’s sole name or joint with your Mum? If the CO is a restriction is it a form K as the CO was against Dad only? 

Whilst it reads like you are getting somewhere with the lender you may find it helpful looking at another MSE thread Charging order - the myth as well as eggbox may be able to assist if you can share th3 specifics 
https://www.gov.uk/government/publications/charging-orders

smithyj1986

Hi. This is what it says. It’s just in my dads name but my mums paying it all off 

Land_Registry

smithyj1986 said:

Hi. This is what it says. It’s just in my dads name but my mums paying it all off 

Many thanks. So a form K restriction and property still registered in both their names and sole legal ownership has passed to Mum as the sole surviving registered owner. 

The Practice Guide section 4 assists and something to discuss with solicitor and compliance with the restriction on a sale for example 

smithyj1986

I’ve read it and it makes no sense to me haha sorry! My mums willing to pay it herself, even if it’s not legally hers to pay

my mums solicitor has basically turned around this week and said hes putting his foot down and will only continue if my Mum can sign an undertaking document promising it’ll be paid on completion - he will also hold onto the £8000 himself and pay it on completion day 

so will see what comes back from my sisters solciitor. She’s already spent £20-£30k on house renovations so she can’t walk away from the sale so it’s in her interest to persuade her solicitor to complete whichever is the quickest way