Re-Mortgage Application After Transfer of Equity

Land_Registry

There seem to be three stages here. Firstly asking a lender to consider/make a mortgage offer for you so you have evidence of what you are working towards
Secondly, and if the lender won’t lend until you are registered, get your application in 
And thirdly if they won’t lend until stage two is completed, request expedition using the time-sensitive mortgage offer. 

Your solicitor refers to 18 months, which presumably includes the conveyancing. Expedition if approved hastens matters to a few weeks wait and everything depends on it being in order.

[Deleted User]

It is a remortgage as they can be done on unencumbered properties.  It was the Transfer of Equity that confused me as thats 99% of the time done when you are removing or adding someone to a property and there is still at least 1 constant owner.

If you are talking to lenders I would just say that you have inherited a property that has been transferred to your name but the registration has not yet been completed.  You want to remortgage this to capital raise for home improvements.   
You can at least get the application done just now and get a mortgage offer but the legal process will come to a halt until registration has been done. 

My client was asked to provide the mortgage offer for his remortgage to the original olicitor in order to evidence that it needed to be expedited.   The person who has sent off the paperwork to land registry can log in to their portal and request it be expedited so you'll need to speak to them to find out what they need from you to satisfy that.  

Some solicitors are funny about it which to be fair is a good thing as if everyone escalated every case then you'd just end up with 2 massive queues rather than 1 big queue and 1 fasttrack queue

bubby08

Ok so as long as it is possible for the land registry to be expedited that would be workable. 

In terms of what the Land Registy has advised on this thread,
Why would it be advantageous to make a mortgage application before submitting the AS1 form and what is meant by 18 months for conveyance? 

To my knowledge the conveyance solicitor has completed their work and I have provided all the information required, the only thing remaining is for me to hand over the AS1 form and for them to send it to Land Registy. I understood that the 18 months, is the delay relating to the backlog of requests from covid and the stamp duty allowance. 

Also Do I need to I struct a standard solicitor after the conveyance solicitor has sent the form in at this point?

Again thank you, I believe I am now getting closer to understanding the situation. 

Snookie12cat

Some lenders allow remortgages from day one for various reasons such as inheritance, so there must be exceptions to the rule. 

[Deleted User]

Snookie12cat said:

Some lenders allow remortgages from day one for various reasons such as inheritance, so there must be exceptions to the rule. 

there isnt.  Day1 remo means they will take an application on day 1. They still need the land reg to match the applicant when the legal work is going through  Day1 remo used to be so much easier before the queues are the way they are now.  

The non day1 remo lenders wouldnt even make an offer if it was owned less than 6 months so it doesnt even get as far as the legal process with those ones. 

Snookie12cat

This seems to suggest otherwise. What do people with bridging loans do etc?

https://www.revolutionbrokers.co.uk/day-one-remortgaging-explained

Land_Registry

bubby08 said:

Ok so as long as it is possible for the land registry to be expedited that would be workable. 

In terms of what the Land Registy has advised on this thread,
Why would it be advantageous to make a mortgage application before submitting the AS1 form and what is meant by 18 months for conveyance? 

To my knowledge the conveyance solicitor has completed their work and I have provided all the information required, the only thing remaining is for me to hand over the AS1 form and for them to send it to Land Registy. I understood that the 18 months, is the delay relating to the backlog of requests from covid and the stamp duty allowance. 

18 months isn’t a timescale I recognise hence the questions re first registration/registered and whether it included time for the conveyancing. You’ve answered the second point but not the first 

bubby08

Hey land registry thank you. I understand the what you mean by recognising the 18th month timescale, I can only assume because of the delay the my covenyance solicitor is being extremely cautious. But as I said as far as I know there is nothing left to do other than give the AS1 form the solicitor asked me to sign back and for them to sign it.

Which is the first point that I haven’t answered?

in summary now that you have helped me clarify my situation, put simply I need to remortgage part of the value of the house as soon as possible for the renovation work, so In short in order to do this,


I believe the questions I have remaining are:

Can I proceed with asking the solicitor to submit the AS1 form, prior to making a mortgage application and is that advisable?

Assuming I managed to get approved for a (re)-mortgage can the land registry be fast tracked on the basis of the application, or can I not even submit application until land registry is updated?

Snookie & JMA I don’t really follow what you are saying about a Day 1 remo and if it’s applicable or available to to me ?

and a final consideration as you have mentioned matching record is the conveyance solicitor has said the form has to be completed with my full names on my birth certificate, however my employment and bank accounts which I would use for my mortgage application use just my first and surname is problematic or relevant? 


Thank you hopefully I can get to the bottom of this, I would love to buy you all a drink for your help if I could!!!

Snookie12cat

bubby08 said:

Hey land registry thank you. I understand the what you mean by recognising the 18th month timescale, I can only assume because of the delay the my covenyance solicitor is being extremely cautious. But as I said as far as I know there is nothing left to do other than give the AS1 form the solicitor asked me to sign back and for them to sign it.

Which is the first point that I haven’t answered?

in summary now that you have helped me clarify my situation, put simply I need to remortgage part of the value of the house as soon as possible for the renovation work, so In short in order to do this,


I believe the questions I have remaining are:

Can I proceed with asking the solicitor to submit the AS1 form, prior to making a mortgage application and is that advisable?

Assuming I managed to get approved for a (re)-mortgage can the land registry be fast tracked on the basis of the application, or can I not even submit application until land registry is updated?

Snookie & JMA I don’t really follow what you are saying about a Day 1 remo and if it’s applicable or available to to me ?

and a final consideration as you have mentioned matching record is the conveyance solicitor has said the form has to be completed with my full names on my birth certificate, however my employment and bank accounts which I would use for my mortgage application use just my first and surname is problematic or relevant? 


Thank you hopefully I can get to the bottom of this, I would love to buy you all a drink for your help if I could!!!

As I understand it, some lenders will allow you to remortgage it straight away (the day after completing) providing a few conditions are met. They differ by lender and its normally for things such as inheriting a property, paying for a bridging loan etc. They would normally require the same solicitor who did the purchase or transfer to also do the remortgage (so no free legals). I would ask a broker about this and see if they can help.

Land_Registry

An 18 month timescale is more than cautious. But the Q is whether the property registered or not? 

If it is then the 18 months is way off the mark and the other suggestions may well work for some lenders 
But from a purely registration perspective the timescale is irrelevant as the key factor will be your having a mortgage offer to support the request to expedite