Restriction preventing refinance.

matthewk84

In 2011 I bought a property which was an estate repossession, I took out a mortgage with the mortgage works.

The following restrictions were put on the title documents.

#3 (12.12.2011) RESTRICTION: Until 23 March 2012 no disposition of the
registered estate (other than a charge) by the proprietor of the
registered estate is to be registered without a certificate signed by
Southern Pacific Mortgage Limited (Co. Regn No. 3266119) of St Johns
Place, Easton Street, High Wycombe HP11 1NL that the provisions of
clause 12.1 of the Transfer dated 23 November 2011 and made between (1)
Southern Pacific Mortages Limited and (2) Myself **** and My-Wife ******* have been complied with.

#4 (12.12.2011) 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 23 November 2011 in favour of The Mortgage Works (UK) PLC
referred to in the Charges Register.

I paid off the mortgage a few years later and restriction #4 and the associated charge were both removed.

I don't understand why I have restriction #3, I've never heard of Southern Pacific Mortgage Limited, this restriction is still on the title and my conveyance solicitor is holding up the refinance of the property due to this.

This company doesn't seem to exist anymore, I don't know what to do.

Rodders53

matthewk84 said:

This company doesn't seem to exist anymore, I don't know what to do.

Companies House seems to think differently...

https://find-and-update.company-information.service.gov.uk/company/03266119

Your conveyancing firm are useless if they cannot find that information as easily as I can... from the Company number in the restriction.

Which seems to be 'timed out' ("Until 23 March 2012") so no longer applies anyway?

matthewk84

If you look through the company accounts it only exists as a zombie company, owned by another company that is in administration.

GrumpyDil

But the main point is to ask your conveyancer why he thinks it is outstanding considering it says Until 23 March 2012 so appears to have expired. 

penners324

Southern Pacific were a sub prime mortgage lender.

Thought they'd gone bust years ago.

propertyrental

matthewk84 said:

#3 (12.12.2011) RESTRICTION: Until 23 March 2012 no disposition of the
registered estate (other than a charge) by the proprietor of the
registered estate is to be registered without a certificate signed by
Southern Pacific Mortgage Limited (Co. Regn No. 3266119) of St Johns
Place, Easton Street, High Wycombe HP11 1NL that the provisions of
clause 12.1 of the Transfer dated 23 November 2011 and made between (1)
Southern Pacific Mortages Limited and (2) Myself **** and My-Wife ******* have been complied with.

Don't 'do' anything. I don't understand the problem?

sheramber

It looks like Mortgage Works arranged some finance through Southern Pacific Mortgages.

What does clause 12.1 say?

 that the provisions of
clause 12.1 of the Transfer dated 23 November 2011 and made between (1)
Southern Pacific Mortages Limited and (2) Myself **** and My-Wife ******* have been complied with.

matthewk84

sheramber said:

It looks like Mortgage Works arranged some finance through Southern Pacific Mortgages.

What does clause 12.1 say?

 that the provisions of
clause 12.1 of the Transfer dated 23 November 2011 and made between (1)
Southern Pacific Mortages Limited and (2) Myself **** and My-Wife ******* have been complied with.

I don't know, this is the first I have heard of them, I don't remember signing anything and don't have any paperwork as I paid this off in 2018.

 penners324 said:

Southern Pacific were a sub prime mortgage lender.

Thought they'd gone bust years ago.

I'm pretty sure they stopped selling mortgages in 2008.

I wondered if this was anything to do with the previous owner of the property, she had a sub prime mortgage and was in negative equity when she died, we bought it as a repossession from the estate.

sheramber

But your link shows you and your wife's names on the restriction.

Southern Pacific Mortgages are now operated by by Acenden.  Maybe they can provide some information about the restriction.

propertyrental

RESTRICTION: Until 23 March 2012

I still don't understand the problem. Can someone explain?

user1977

I think we've heard about this sort of restriction before in repossessions, and it's designed to stop the lender being embarrassed (and face a claim by their borrower) by the buyer immediately flipping the property. So the buyer can't sell for a certain period after completion.