What protects solicitors in the event of claim for negligence
All solicitors carry professional indemnity insurance against claims for negligence.
In what circumstance is it essential that a property buyer uses a solicitor or suitably qualified professional to carry out the legal formalities?
It is essential that a property buyer uses a solicitor or suitably qualified professional to carry out the legal formalities where they are applying for a mortgage.
Can a re mortgage be carried out without the necessary searches?
Indemnity insurance is done on a remortgage.
What are fixtures and fittings?
Fixtures are generally those items that are permanent additions to the fabric of the property – ie screwed in, nailed down, plumbed in and so on. Examples would be laminate flooring, fitted kitchen units and built-in appliances. It is normal, unless the agreement specifies otherwise, for fixtures to be included in the sale, whereas personal items (chattels) are not.
What is a mortgage deed?
The mortgage deed forms the contract between the lender and the borrower and the buyer’s solicitor will carry out the work necessary on behalf of the lender to have the deed ready for completion
What is the purpose of a Bankruptcy search
To check whether the vendor is entitled to receive the proceeds of the sale.
A vendor who is an undischarged bankrupt would not be entitled to receive the proceeds of a sale. True or false?
True. A vendor who is an undischarged bankrupt would not be entitled to receive the proceeds of the sale as their assets are controlled by an insolvency practitioner.
The legal charge for the mortgage takes effect:
The legal charge for the mortgage takes effect from completion as this is the point where the ownership of the property changes hands.
Town planning schemes will be highlighted by a Land Charges Registry search. True or false?
False. They would be shown in enquiries of the local authority.
Once in force, the contents of a mortgage deed can be varied:
a) on the instruction of the mortgagee without the consent of the mortgagor.
b) on the instruction of the mortgagor without the consent of the mortgagee.
c) only with the consent of both parties to the contract.
C) Neither party can vary the contents or terms of an existing deed without the agreement of the other party to the contract.
Which of the following can be protected by defective title insurance?
a) The purchaser only.
b) The lender only.
c) Both the lender and purchaser.
C) Defective title insurance can be arranged to protect the lender, the purchaser or both.
What is meant by fixtures?
White goods, free standing furniture.
What is meant by fittings?
Anything screwed/plumbed in cannot be moved easily.
