Taylor Rose MW Your Guide To Conveyancing

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So you’re buying

a new home…

It’s one of the biggest

decisions you’ll ever make.

It can also be an exciting adventure. But things

can quickly get complicated and stressful if

they’re not handled in the right way.

What you need is a trusted, knowledgeable

advisor to guide you and sort out the legal side.

And that’s where your conveyancer comes

in, by offering legal assistance with the

purchase of your property.




You have plenty of options when it comes to choosing

a solicitor to help with your purchase.

At Taylor Rose MW, we offer something

completely different.

We’re an independent firm of solicitors who

specialise in conveyancing.

We’re a well-established and professional

firm, who we also take a fresh, client-centred

approach to service. We’ll do our best

to ensure your transaction goes through

smoothly, with no surprises and minimum


We only use experienced personnel with

specific expertise in conveyancing. We also

have plenty of experience of the complicated

legal issues involved in purchasing newly built


We always put your best interests first,

making sure you know about every cost

that we know about from the outset, and

do everything we can to make buying your

property simple and stress-free.

We’ll help you ask all the right questions at

each stage, so you’re fully informed about

the property and the deal before you commit

yourself. We’ll also make sure all relevant

searches are carried out as part of our


If you’re getting a mortgage, we’ll work with

your agent, mortgage broker and surveyor to

get your purchase done as quickly and easily

as possible.

Finally, if you’re selling a property, we can

help with that too – preparing the contract,

dealing with the buyer’s solicitors, answering

their questions and staying in touch with

everyone involved to keep your sale moving


We’ll be there to offer help and advice every

step of the way, until the transaction is

completed. We’ll answer every call and email

as promptly as we can.






Clients can log in and complete at their own

convenience and information given is sent straight

back into our system

Clients will no longer need to come into the office

at the beginning of the transaction as the AML

checks are all done online

Terms and Conditions signed electronically

Payment online

Speeds up transaction


We use two factor authentication, this means

a more secure log in process for our clients. A

“hacker” would need to get into their emails

and steal their mobile phone in order to log in to

their portal

All details of their transaction will ONLY be

shared through the portal which means that

emails cannot be intercepted and confidential

documents kept secure at all times

The portal is within our own environment and

is not stored “in the cloud”, which for the client

means that we never lose control of documents/

information stored within our environment.





SlothMove is home setup service where you can

tell everyone you’re changing address and set-up

your new home within 5 minutes. Save hours of

time, hundreds of pounds and even get rewards

for moving.

SlothMove’s award-winning change of address

service takes care of your entire home move and

address updates in one place. Update your address

with all your companies (at the same time), set-up

services in your new home and even get rewards

for doing so.

From your postcode, we’ll show you your new

council, water & sewerage provider. At the click of

a button, you can let them know you are moving in

(we’ll tell your previous ones too). Then, we’ll help

you setup and find market leading deals on your

energy and broadband. From cleaning & removals

to texting us your move-out meter reads, our

Sloths have you covered.

Select all of the companies and institutions that

you would like to tell about your home move. Our

Sloths will help you update your address across all

of your accounts at the same time in one place. No

more repeating yourself & no more hold music.

Moving home wouldn’t be complete without a

house warming gift. From a free case of craft beers

to 3 months free tastecard, enjoy something on

us to help get you settled in your new home. We’ll

take care of the rest, leaving you to focus more on

the things that matter. And if there’s anything else

you need to do, well email you.

“We enjoy a good relationship with both the New Business team and

the conveyancers at Taylor Rose MW. It’s important to us that we are

able to use solicitors with local offices and that we can have a good

line of communication with them. Taylor Rose MW provides just that!

It’s also a bonus that they are a modern, forward-thinking firm as is

with our approach at Mischon Mackay.”

– Steve Neocleous, Business Development Director, Mischon Mackay

“We have worked closely with the Taylor Rose MW team for nearly 5

years. The key to the relationship is the high levels of customer service

and general approachability of the conveyancers. Everyone takes the

time to talk to us which is not always the case with some other firms.

Rebecca is always at hand to deal with any challenges and it was her

can-do attitude that helped get my team to buy in to her and the

Taylor Rose MW company.”

– Gareth Overton, Head of Residential Sales, Henry Adams

“We have built a great relationship with Taylor Rose MW; they support

us with conveyancing for our clients and buyers. Working with Taylor

Rose MW has been seamless, they are personable and approachable,

with a sustained can-do attitude.”

– Alastair Cochrane, Regional Sales Director, Stirling Ackroyd

“Taylor Rose MW is our preferred solicitor. They offer a local solution

with dedicated solicitors that take sole responsibility for each individual

case. We wanted a company that reflected our own professional service

as well as getting the job done with effective communication and

efficiency. The Taylor Rose MW team provides this service consistently.”

– Justin Gordon, Company Director, Glyn-Jones




Here’s a quick guide to the process of buying a property.

Over the next few pages are more details of how we help you with the later stages.

1 2 3 4 5

6 7 8 9 10

Check your


Make the offer

Fill out the


Payment for


Apply for a


Obtaining the



Checking the


Exchange of



First, take

an in-depth

look at your

finances. Can

you really

afford the



interested in?


the cost

isn’t just the


price. You also

need to factor

in legal fees,


stamp duty (if



and other

costs. For

new builds,

you need to

consider fees

charged by

your developer

e.g document


You make an

offer to buy

the property

from the seller

or developer

at a particular

price. You may

decide to get

a survey done

to check the


structure and


Once the seller

or developer

accepts your

offer, the legal

process of


the purchase

begins, so we’ll

get involved

from this point


Before we

start work,

we’ll send you

an estimate

of our fees

and invite you

to complete



on our client

portal so you

can give us

all the details

we need. We

also need to

check your


We’ll ask you

for some

money up

front to cover


costs. This is

part of the fee

we’ve agreed

at stage 3,

not an extra


If you need

a mortgage,

this is the time

to apply (if

you haven’t


You can apply

through a


broker, who

will help you

find the best

deal from

a range of

lenders, or

simply go

direct to the

lender you


If you’re

buying a new

build, you’ll

probably be

able to get

a mortgage

from the




We’ll contact

the seller’s or


solicitor and

ask for a copy

of the contract

which will also

include other



about the


Before you

commit to

buying a

property with

a mortgage,

we have to

check out the

legal title and

find out some


facts about

the property.

We do this

by carrying

out searches

with different


who collect


about the


The work

involved varies



sellers and



We’ll report

back to you on

the contract

and answer

any queries

you may have.

We may also

ask you to sign

the documents

at this stage

to save any

delays in

getting these

signed later.



is agreed


the parties


we’ll set a


date with your


and exchange


contracts with

the seller’s or



On the


date, money

is transferred

to the seller’s

or developer’s

solicitors and

you become

the legal owner

of the property.


You can now

collect the keys

and move into

your new home!





Searches give you important information about the legal status of the

property, so you can decide if you’re completely happy with your purchase

before you go ahead. They are obtained through third party suppliers or the

local authority.

You must have searches done if you’re buying a property with a mortgage.

However, it’s still advisable to get them done even if you don’t need a

mortgage to buy.

You may need different searches depending on the location of the property

or the requirements of your mortgage lender. There may also be some

additional searches you can have if you wish. The most commonly required

searches are included in our estimate.

You’ll receive information on the results of your searches when we receive


Once the seller’s or developer’s solicitor releases the contract package to

us, we’ll carefully check it, along with the property documentation and

title deeds.

We’ll clear up any queries you have with the seller’s or developer’s

solicitors. There may be follow-up enquiries to sort out too.

We will often ask you to sign documents at this stage, so that we can be

prepared as much as possible in advance. However, you’re not committed

to the purchase until all searches and enquiries are dealt with and you are

happy to go ahead.

If you’re getting a mortgage, we’ll check over the offer from the lender for

you. We’ll also make sure that the seller is happy with the deposit you’re

offering, particularly if it’s less than the usual 10%.

Our cases were

handled smoothly with

an extremely personal

service. We would find

it hard to use anyone

else now.




We’ll prepare a final completion statement showing how much money you

need in order to complete the purchase. You should put this aside so you can

access it quickly. Under anti-money laundering regulations, we will need to

see evidence of where the money came from before we can accept it.

Once the contracts, searches and mortgage offer are all in place and the

deposit is ready to be paid, you can sign the documents (if you haven’t

already) and we can exchange contracts with the seller’s solicitors and agree

a completion date.

Until contracts have been exchanged, neither you nor the seller are legally

bound to go through with the transaction. If you withdraw from the purchase

between exchange of contracts and completion, the seller may be able to

keep the deposit you’ve paid, or even sue you for a full 10% deposit if you

paid less than 10%.

Just before the completion date, we’ll request the mortgage money from

your lender and collect the rest of the money from you. This usually happens

the day before completion at the latest.

Once all of the money is with us, we’ll send it to the seller’s solicitors by

electronic bank transfer. It’s difficult to say how long the transfer will take, as

it’s under the control of the banks involved. They’ll phone us to confirm that

it’s arrived, at which point the transaction is complete.

New build properties

New-build transactions involve the sale/purchase of a completely new property.

Usually, the developer owns the whole site and is selling it bit by bit, in the form of housing

plots. Sometimes, they use a slightly different conveyancing procedure from the normal one, to

make it easier to deal with a large number of sales at the same time.

On new-build properties, we’ll prepare a final completion statement showing how much money

you need in order to complete the purchase. This will include any extra payments that you

have agreed with the developer as well as any discounts they may have offered to you. We’ll

need this money from you as soon as we know the completion date from the developer, so you

should put it aside so you can access it quickly. Under anti- money laundering regulations, we

will need to see evidence of where the money came from before we can accept it.

Sometimes, new properties aren’t finished by the time contracts are exchanged. In this

situation, the completion date is described as ‘on notice’, which means you can move usually

around 10 working days after the house has been inspected and signed off as structurally

complete. The developers will let you (and us) know the completion date as soon as they can.

Normally, the developer will be able to give an estimated date for when the property will be

built. They will also provide a ‘termination date’, which is the latest date when they can finish

the building




The seller’s or developer’s solicitors

send the signed deeds to us. This

confirms that your property now

legally belongs to you.

We will pay any stamp duty and

receive a certificate from HM

Revenue and Customs confirming

that the Stamp Duty Land Tax

form has been submitted. This

certificate is required to register the

transaction at the Land Registry.

We’ll send you all the necessary

documents once the Land Registry

stages have been completed.

Genuinely the

best service

I have ever

received from a


Taylor Rose MW

exceeded my





What is Shared Ownership?

With shared ownership, a house or flat is intended to be owned partly by the buyer and partly

by a developer or housing association. The buyer would pay rent on the share they do not own.

Sometimes, the share owned can be increased by buying more of it, and then paying less rent.

Mortgage providers will lend for shared-ownership properties, but there are strict criteria. The

mortgage must also be approved by the developer or housing association.

What are Restrictive Covenants?

Restrictive covenants are legal promises to do (or not do) certain things on a property. They are

usually set up by the former landowner or developer. Restrictive covenants are very important

as they bind whoever owns the property, even if that person was not the original person who

entered into the covenants. You need to consider how they will affect your use of a property,

and make sure you get permission in writing for anything that needs it.

How long will the purchase take?

It will ultimately depend on the type of transaction being dealt with, but most transactions

should go through to exchange within 12 to 16 weeks from receipt of the draft contracts on

a purchase. If you are selling as well as purchasing, or purchasing from the bottom of a large

chain of transactions then this timescale will be dependent on the whole chain being ready, but

we aim to have everything ready as soon as possible.

What is meant by a deposit?

A deposit is a down payment on the purchase of a property. Many buyer’s pay a deposit of

10% of the purchase price, and get the rest from a mortgage lender. Sometimes deposits are

less but this is agreed between buyer’s and seller’s on an individual basis. Deposits are usually

offered to the seller or developer when contracts are exchanged. The money is either paid on

exchange or held by the buyer’s solicitor and passed over, along with the mortgage money, on

completion. Deposits have to come from buyer’s own resources – in other words, not from a

mortgage secured on the property or other loans. In some situations, buyer’s can lose their

deposit if they pull out of the purchase after contracts are exchanged.

Why is conveyancing for a new build different from an ordinary purchase transaction?

New-build transactions involve the sale/purchase of a completely new property. Usually,

the developer owns the whole site and is selling it bit by bit, in the form of housing plots.

Sometimes, they use a slightly different conveyancing procedure from the normal one, to make

it easier to deal with a large number of sales at the same time.

What is ‘completion on notice’?

‘Completion on notice’ is where a fixed completion date is not available, usually because the

property is still being built by the developer. Normally, the developer will be able to give an

estimated date for when the property will be built. They will also provide a ‘termination date’,

which is the latest date when they can finish the building.

What are ‘Section 38’ and ‘Section 104’ agreements?

Normally, roads and sewers are ‘adopted’, which means they are maintained at the

taxpayer’s expense. Under these agreements, usually between a developer and the local

authorities, the developer commits to look after them until they can all agree on the best

way for them to be adopted.

What is a ‘Section 106’ agreement?

This type of agreement covers areas of open space. When a developer applies for planning

permission for a new developer, the council will usually require them to create communal areas

for the community to use, such as children’s play areas and green space, they may also provide

for things like bus services to new areas etc.

What is a coachhouse?

A coachhouse is usually a specially designed property that is an apartment situated above

garages or open accessways. Sometimes the property will still be described as freehold even

though others will have leasehold or other rights over the areas below it.

What is exchange of contracts?

Exchange of contracts is where the seller or developer and buyer formally commit to the sale

and purchase and a completion date is agreed. The two solicitors send each other contracts

to buy and sell the property, and the arrangement is then legally binding. Contracts are not

exchanged until both the seller, developer and buyer are definitely ready to go ahead. After this

point, neither side can pull out without suffering a financial penalty.




We know that legal language can be confusing & daunting, so we’ve put

together this handy guide to clear things up for you:



where it is believed that the sale price of a property is

“below market value”

the legal definition of the limits of the property being

bought or sold. Boundaries are usually hedges, walls

or fences, and will be marked clearly on the deeds

Absent Freeholder:


a missing landlord

Bridging Loan:

a loan taken over a short period to bridge a gap

between the purchase of one property and the sale of


Abstract of title:

Adopted highway:


a chronological summary of relevant title deeds

proving history of ownership

a road or path which is maintained by the local

authority at their expense. Distinct from an

unadopted or private road which is not maintained at

public expense

the mortgage money when it is paid by the lender

Building regulations:

Buy to let:

quite different from planning permission. These

rules set standards for the design and construction

of buildings to safeguard the health and safety of

occupiers or visitors to those buildings, and can cover

other issues such as access for the disabled

property usually bought by a person with the aim of

renting it out rather than living in it

Adverse possession:



Assured shorthold tenancy:

Balance outstanding:

acquiring property through continuous occupation,

without the permission of the legal owner. Often

called “squatters rights”

when buying a leasehold flat, you will become

responsible for ground rent and service charges.

Apportionments cover the situation where the vendor

has paid for some of these charges upfront and in

advance. There will therefore will be a need for the

buyer to reimburse the seller on completion for those

costs that would be due for the post completion


the process of transferring a lease

also known as AST. A standard form of tenancy



the total amount of a loan outstanding at any one


Capped Rate:

Capital Gains Tax:

Certificate of title:


a variable mortgage interest rate which has a

maximum capped upper limit, and is usually only

available for a limited period

for landlords this means the tax paid when selling a

property that is not your main home. It applies to any

profit you have made on the increase in the property’s

price. The rate currently stands at 28% for higher rate

taxpayers and 18% for those paying basic rate income


the document the conveyancing solicitor gives to

the lender to confirm certain statements about the

property. It confirms to the lender:

1. that the property has a “good and marketable

title” i.e. that there are no legal problems

with the property, so the lender can lend the

mortgage monies safely

2. who own the property after completion

3. the completion date

Bankruptcy Search:

a check your solicitor will carry out with the Land

Charges Register to make sure that there are no

existing or imminent bankruptcy proceedings against

the vendor

Chancel repair liability:

a financial obligation imposed on some property

owners to pay for certain repairs to a church, often

the local parish church







a sum of money for which the property is being used

as security. Banks or Building Societies will register a

charge against a property if you are buying it using

mortgage funds

items of personal property left at a property after

someone moves out and which are included in the

purchase price. They are set out in the Fixtures,

Fittings and Contents form. However there is a

difference between chattels and fixtures. In general

terms, chattels are movable, such as furniture. In

contrast, fixtures are permanently attached to the

land and cannot be moved

an item up as security when taking out a loan

an alternative way of holding property and different

from both freehold and leasehold. It only applies to

flats or apartments. Commonhold provides a different

way for flat owners to share ownership of their block

Conservation area:

Contents insurance:

Conveyancing protocol:

Court Appointed Manager:

a geographical area where there are extra local

planning restrictions meant to ensure the safety of

the area’s architectural history

an insurance policy which covers all movable contents

inside a property against accidental damage or theft.

As distinct from buildings insurance which covers the

actual building

The Law Society Conveyancing Protocol provides

guidelines to follow when conveyancers act in the

sale and/or purchase of a home for an owneroccupier.

The Protocol aims to help standardise

the conveyancing process, make that process more

transparent and efficient as well as improve the

experience for solicitors, lenders and client

All owners of leasehold flats have the right to apply to

the First-tier Tribunal (Property Chamber) to appoint a

new manager of their block

Common Land Search:

Common parts:

Completion statement:

a search the conveyancer will carry out to establish

whether there are rights of fishing or grazing affecting

a property

those parts of the building enjoyed by everyone but

which do not form an exclusive part of any individual’s

flat e.g. communal gardens and stairs

a financial document detailing all the costs associated

with the purchase of the property. This is usually sent

out after contracts are exchanged, but before the sale


This document is particularly important as it sets out

the costs due to the conveyancer, including VAT and



Deed of Guarantee:

Any restrictions and obligations which are associated

with the purchase of a property. An obligation means

you are legally obliged to take responsibility for the

upkeep of something on the property. A restriction

means you are forbidden from erecting certain

buildings or undertaking certain renovations


a type of binding legal contract under which one

person agrees to be responsible for another’s debt or

mortgage obligations if that other person fails meet

their own obligations. These type of agreements are

common with loans and commercial finance, as they

provide the lender with protection from a borrower

failing to pay as agreed

Compulsory Purchase:

where property is acquired usually by a public body

under an Act of Parliament, using an appropriate

Compulsory Purchase Order. This will often enable

the buyer to purchase the property regardless of the

wishes of the current owner

Deed of Postponement:

an agreement, normally between two lenders, where

they agree that one loan should be “postponed”

behind the other lender’s loan. Often this means

that one mortgage will become a 2nd charge ranking

behind the 1st charge registered at the Land Registry

Condition of sale:

the legal terms of the contract for the purchase of a



the legal paperwork setting out who owns a property.

This is kept by the owner, or by the mortgage




Delayed completion:



failing to make agreed mortgage payments

when you agree a purchase price and exchange

contracts with an agreed deposit in the usual way, but

completion of the sale is delayed for a period – which

can be years

Expenses incurred by the conveyancer or solicitor

when working for the buyer. The conveyancer will

pass these costs along to the buyer, but might add an

additional service charge

where the valuation provided (often by the lender’s

surveyor) is lower than expected or needed for the

mortgage application


Exchange of Contracts:

First Tier Property Tribunal:

the difference between the market value of a

property, and the amount outstanding on a mortgage

this is stage when solicitors acting for both the buyer

and seller swap signed contracts and the deposit is

paid over. At this point in the conveyancing process,

the agreement between seller and buyer becomes

legally binding


the tribunal responsible for making decisions in a

number of property disputes – ranging from setting

the level of lease extension and enfranchisement

premiums to service charge disputes. Previously

known as the Leasehold Valuation Tribunal or LVT

Drainage search:


Endowment Mortgage:

Epitome of title:

one of a number of searches carried out by your

solicitor – to check whether your property is

connected to mains water and drainage


legal term for the right to use someone else’s

property for a particular purpose. They include rights

of way, which are easements that allow the holder the

right to travel across another’s property

an interest only mortgage where you also pay for an

insurance premium on an endowment policy – in

place to pay off the original loan amount at the end of

the mortgage term

see abstract of title above

Fixed Rate Mortgage:

Fixtures and Fittings:

Flying freehold:


a loan with a rate that doesn’t change for a fixed

period (often 2, 3 or 5 years)

items in the property which can sometimes be

included or excluded from the property sale

where part of the property either overhangs or lies

beneath another person’s property – which gives

rise to the ‘flying’ part of the name. It does not apply

where a block is owned on a leasehold basis

a type of property ownership in which not only the

property is owned, but also the land on which it

stands. The freehold title owner will be registered at

the Land Registry, and the freehold can be bought and




Environmental search:

the process under which the owners of residential

long leasehold flats come together to jointly buy

the freehold of their block from the freeholder. Also

applies to the freehold purchase of a house

the final version of a document which is the one all

parties sign

another of the searches carried out by your solicitor.

It will reveal such issues as whether or not there is a

flood risk or if the land your property is built on could

be contaminated


Freehold Company:

Further advance:

person or persons owning a freehold property

a company that owns the freehold, usually of a block

of flats, following the process of enfranchisement.

One share is normally owned by each individual

leaseholder who participated in the freehold

purchase. Members are often described as ‘having a

share of the freehold’

taking on more borrowing from your existing

mortgage lender. This may be at a different interest

rate to your main mortgage




Ground rent:

Help to Buy:

HMO (House of Multiple


Indemnity Insurance:


happens when you accept an offer on your property

but then agree to accept a better offer from a

different buyer. Provided the price changes before

exchange (when a legal contract is created), this is

perfectly legal. It was very common in the 1980s but

largely died out. It tends to creep back in whenever

house prices start rising rapidly

the opposite of gazumping i.e. is when a buyer

reduces their initial purchase offer on a property,

before contracts have been exchanged. Much less

common when the housing market is strong and

prices are rising

a sum of money which has to be paid by a leaseholder

to their landlord each year. The amount of ground

rent will be stated in the lease. It could however be

subject to change at certain intervals. Ground rent

only applies if you have a leasehold property


a government scheme to assist first time buyers

A single property with at least three people living

together who are not from the same household

and share certain facilities (a family counts as one



a policy taken out to give the owner insurance cover if

problems should be discovered with the legal title e.g.

a breach of covenant or there’s not enough evidence

to confirm the building regulations approval

Joint tenants:

Land charges search:

Land Registry:


Lease extension:



Leasehold information form:

Legal pack:


If a property is owned by two people who are “joint

tenants”, this means that if one of them dies, their

share in the property will pass to the surviving tenant.

A joint tenancy trumps anything that is stated in a will


a check carried out by purchaser’s solicitor to make

sure that the vendor is actually the legal owner of the

property you are buying. It involves checking the ‘Title

Register’ and ‘Title Plan’ at the Land Registry

the official body which keeps records of property

ownership in England and Wales

an agreement between a tenant and freeholder,

setting out the deal for the occupation of a property,

often for a specific duration or term

the process by which owners of residential long

leasehold flats can individually compel or negotiate an

extension of their lease term with the freeholder

the owner has the right to live in a property for the

term given on the lease, but never becomes the

owner of the land where their property stands

person or persons owning a leasehold property

a standard Law Society form used where the property

involved is leasehold. Form TA7 asks a serious of

questions specific to leasehold properties. The

seller needs to complete this form in addition to the

Property Information Form

the set of documents prepared by the vendor’s

solicitor if the property is to be sold at auction

Index Map Search:

Japanese Knotweed:

a search of the Land Registry records to identify if a

particular piece of land is registered or unregistered


described by the Environmental Agency as

“indisputably the UK’s most aggressive, destructive

and invasive plant”. It can cause significant damage to

property and is difficult and expensive to eradicate


Lender’s Arrangement Fee:


the person or company lending money to a purchaser

or owner. Usually a building society or bank

a fee charged by a lender to the purchaser for

arranging a loan

also known as a landlord – i.e. someone who grants a

lease to another, who is known as the lessee



Licence to assign:

this is the formal permission granted by the landlord

to the leaseholder to buy the property’s leasehold

recover any losses from the person taking out the


Limited Title Guarantee:

Listed building:

Local Searches:

LTV or Loan to Value.:

used where the seller of the property has no personal

knowledge of the property – as is often the case when

the sale is being made by the executor of an estate.

The vendor is not guaranteeing whether or not there

are any rights or covenants over the property because

of their lack of knowledge

a property included on a list of buildings which are

considered to have historic or architectural interest.

Listed status can limit alterations to the building

your conveyancer will conduct searches at your local

Council covering services and planning. This is done

early on in the property purchase, and is designed to

make you aware of any plans the Council might have

which could affect your property once you’ve moved

This refers to the % of a loan in comparison to the

purchase price of a property

Mortgage offer:



Negative equity:


this sets out the terms on which your mortgage

lender is prepared to loan to you – will include the

sum to be borrowed, the interest rate and the period

of repayment

the institution lender the money, which is usually

a bank or building society. A mortgage is secured

against the property

the person borrowing the money


a situation where the amount of your mortgage or

other loan on the house is more than the house is

currently worth on the property market

abbreviation of National House Builders Council. They

give a ten year guarantee and insurance protection on

new build properties. Other similar insurance policies

are available – but NHBC is probably the best known



Managing Agents:

Mining search:

Modern Method of Auction:

a company appointed to manage the block of flats

and collect service charges – and appointed by the

freeholder, residents’ management company or right

to manage company

a search carried out by your solicitor to check if there

is any chance of mining activity having been carried

out underneath the property you are looking to buy

or in the nearby area. Most important in areas where

there is current, or has been historic, coal mining.

Intended to deal with the risk of subsidence

a variation on the traditional property auction, held


Off plan:

Office copies:

Open Market Value:


buying a property, based on plans, before it’s been


this is the legal document which sets out ownership

of your property. It is kept filed at the Land Registry.

When conveyancing starts, your solicitor will ask for

office copies to be sent to him or her

the likely value of any particular property in the

current housing market

an additional sum which may be due to the vendor

after completion if a specified condition is satisfied

e.g. grant of planning permission, or sale of properties

subsequent built on that sold land


money given to you to buy a property, using that

property are security. If you don’t pay, the lender

usually has the right to sell the property

Part Exchange:


where one property is used as part payment for the

purchase of a property, usually a new build

Mortgage Indemnity Policy:

A lender will take out this sort of policy to cover their

losses if a property has to be repossessed. The insurer

providing the policy usually has the right to try to

Participation Agreement:

a formal document used in the enfranchisement

process committing those involved to jointly buying

the freehold of their block



Party wall:

Periodic Tenancy:

Property Information Form (PIF):

Possessory title:

Quiet enjoyment:


Redemption penalty;

Registered land:


a wall built on the property boundary which gives

support to the structures on both sides of the

boundary. Can be the cause of disputes between

neighboursthe freehold of their block

a lease that runs from week to week, or month to

month. As distinct from a fixed tenancy or a long

leasehold (where the lease was originally granted for

a minimum of 21 years). This includes a fixed term

tenancy that has expired without a new fixed term

tenancy having been entered into

officially known as form TA6, this is a series of

questions which the seller must complete. It is part

of the contract pack, and the purchaser is entitled to

rely on the information contained in it. That means it

must be accurately completed. It covers issues such as

boundaries, any existing guarantees and information

about work completed at the property

a category of ownership where an owner is unable

to provide documentary evidence of their title to

the land or where someone has claimed ownership

through adverse possession


A covenant that provides a tenant or landowner with

the right to the undisturbed use and enjoyment of

property. Please note that courts routinely accept that

any tenant has the right to quiet enjoyment of the

leased premises regardless of whether the tenancy

agreement contains such a covenant


the act of paying off your mortgage

a penalty payment charged under some loan

agreements by a lender if a loan is paid off before the

end of the term

any piece of land for which the Land Registry holds

details about its ownership

the process of clearing one mortgage with the

proceeds from a fresh mortgage with the same or

a different lender and using the same property as


Repayment Mortgage:


Requisition on title:

Residents’ Management Company (or


Residents’ Association:

Reservation fee:


Right of way:

Right to manage:

a loan where a share of both interest and capital debt

is repaid by monthly instalments. Often referred to as

a Capital and Interest Mortgage

the process whereby a mortgage company will take

over possession of your property if you fail to keep

up with your mortgage payments. This can lead

to eviction and the subsequent forced sale of the

property by the mortgage company

questions which the conveyancer might about the

legal ownership of the property, and how that should

be transferred

a company set up by residents to manage a block of

flats on behalf of the freeholder under the terms of

the lease. Each leaseholder is usually a shareholder,

with the RMC company often a party to the lease

an informal representative body of flat owners and

sometimes their tenants). It is fundamentally different

from a Residents’ Management Company, even

though its membership could be the same

a payment to a builder as deposit to reserve a

property not yet built

any money which is held back when buying a new

property until that property is fully completed

the legal right, established by use or grant, to travel

over someone else’s land to get from one point to


the process under which the owners of residential

long leasehold flats are legally entitled to come

together to jointly take over responsibility for

managing their block from their freeholder. This

is carried out under an RTM or Right to Manage



Sealed bids: where potential purchasers are asked to submit

their offer for the property in a sealed envelope by a

particular date. Each bidder has no idea how much

other participants have bid. The highest bidder wins




standard questions carried out at the beginning of the

conveyancing process for buyers by your solicitor to

find out important information about the property.

They include a local authority search, environmental

search and drainage search. In some parts of the

country there will also include more specialist

searches – such as mining or radon gas searches

Subject to Contract:


An agreement which has not yet become legally

binding. In terms of property purchase, the deal is

“subject to contract” until contracts are exchanged


can refer to a lease term, which is the unexpired

length of the lease. Can also refer to a mortgage term

– the period of time agreed for repayment of the loan

Service Charge:

Shared driveway:

Shared ownership:

Sinking Funds:


money payable to a freeholder to cover maintenance

and repairs to a property

either a drive owned equally by all those who use it

or, alternatively, a private access road owned by one

person with permission for others who need access

to use it

a unique type of home ownership where you own

part of the property and rent the rest. The other

party is normally a Housing Association, and there is

usually the option to increase your ownership share

or by your property outright. It sometimes known as

“shared equity” or “Part rent, part buy”

monies collected from the leaseholders towards

maintenance of the building, including “future major

works”. These monies are held in trust, on behalf of

the building, so that cash is available when any work is

needed. Also known as Reserve Funds

checking a new build property for minor faults that

need to be corrected. Often contained in a “snagging


Tenants in common:



Title deeds:

Title plan:

Title splits:

An arrangement made by two or more people who

own a property. If one of them dies, their share of

the property is passed on according to what their will

says. If they haven’t made a will, the normal laws of

intestacy apply

this refers to how property is held – freehold or


the ownership of a property

the documents which prove your legal right or title to

your property. They include conveyances, contracts

for sale, mortgages and leases. You no longer need

these title deeds to prove ownership if the property

has been registered with the Land Registry

a plan held by the Land Registry showing the physical

extent of any registered land

technically title splits do what they say on the tin i.e.

they split or divide the title deeds of one building

or piece of land. As a result, there will be 2 or more

separate properties with their own separate titles


Stamp Duty:

Statutory Lease Extension:

the process of increasing your ownership of the

shared ownership property (see above) – usually

through buying extra shares

the government tax on the purchase of property.

Sometimes referred to as SDLT (stamp duty land tax)

the legal right of leaseholders to compel their

freeholder to extend the lease on their property by

an extra 90 years, under S42 of the Leasehold Reform

Housing and Urban Development Act 1993 . This

formal route is quite different from an informal or

voluntary lease extension

Tracker Mortgage:


However when property investors refer to title splits

they often mean something which is technically

different – the division of a freehold building into a

number of separate leasehold units

a loan with a rate that moves up or down in line with

either the lenders or the Bank of England’s own base

interest rate

the legal document for the exchange of ownership of

the property



Transfer of equity:

Tree Preservation Order:

where one or more of the existing legal owners agrees

to transfer ownership of a part share in the property

to another person. Commonly used for a transfer of

the former matrimonial home following divorce

often referred to as a TPO, these are usually made

by the local council to protect a specific tree or trees

from any deliberate damage and destruction. This

makes it a criminal offence to cut down, top, lop,

uproot, or wilfully damage any specified trees without

prior written consent from local council

Variable interest rate:


when the rate of interest on a loan is liable to changes

over time which are broadly in line with general

interest rates


a personal contract under which the owner or

occupier of land allows another to access their

privately owned land to carry out specified activities

in exchange for some form of compensation

Unadopted highway:


a private road or path. It is not necessarily a road

offering public access

a lease which is not held directly from the freeholder,

but from a tenant. This often arises when a tenant

creates a lease below their own existing lease. Many

leases will not allow an underlease


a lease which is not held directly from the freeholder,

but from a tenant. This often arises when a tenant

creates a lease below their own existing lease. Many

leases will not allow an underlease

Unexpired term:

the remaining term on a lease e.g. a lease originally

granted for 125 years, will have an unexpired term of

100 years after 25 years

Unregistered land:

land or property that is not yet been registered for the

1st time with the Land Registry. The title deeds (see

above) will be required to prove ownership


services provided to any property, including gas,

electric, water, phone land line and internet

Vacant possession:


where a property is sold without any occupiers – and

without any possessions belonging to the previous

owner being left in the property

Valuation Survey:

a mortgage lender will require this sort of survey to

be done to assess the value of the property they are

lending on

If you would like more advice regarding buying your

new home, please contact:

By telephone

0845 0341 555

By email


Visit our website


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