Frequently asked questions relating to the Capital Home Loans Conveyancing Panel from members of the public
I am selling my house and the estate agent has just texted me to warn that the purchasers are swapping conveyancer. The excuse is that Capital Home Loans will only work with solicitors on their approved list. Why would a big named mortgage company only work with specific law firms?
Lenders have always had panels of law firms they are willing to work with, but in the past few years big names such as Santander, have reviewed and reduced their conveyancing panel– in some cases removing conveyancing firms who have worked with them for more than 25 years.
Lenders point to the increase in fraud as the reason for the cull – criteria have been tightened and a smaller panel should be easier to keep an eye on. No lender will say how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society says it is being contacted daily by practices that have been removed from panels, or have other concerns about them. Some do not even realise they have been dropped until contacted by a borrower who has instructed them as might be the situation in your buyer’s case. Your purchasers are unlikely to have any sway in the decision.
Please assist. For no fault of my lawyer but, my purchase conveyancing has been going on for months. The Local Authority Search from Capital Home Loans was dated random date and we have agreed a date for me to move into the property on 10 days inc Day of week eg. Mon. My lawyer informs me that as she is on the Capital Home Loans conveyancing panel she needs to redo the searches as they are no longer valid.
One of the many conditions to being on the Capital Home Loans approved panel is to comply with the CML Handbook Part 2 obligations (last updated for this lender on Capital Home Loans)which specifies that a local authority search be not more than 6 months old. You should nevertheless ask your lawyer to check whether something called ‘search validation’ indemnity insurance is acceptable to Capital Home Loans.
Do lenders provide you with an approved list of solicitors? How do you know who is on the Capital Home Loans conveyancing panel?
The law firm practices themselves provide us confirmation that they are on the Capital Home Loans conveyancing panel as opposed to being supplied with a list from Capital Home Loans directly.
I am considering mortgaging my flat does my lawyer need to be on the Capital Home Loans Conveyancing panel?
In theory, you could use a solicitor that is not on Capital Home Loans conveyancing panel, but Capital Home Loans would require one of their panel solicitors to be instructed to act in their interests, and you'd have to pay for this - so most people instruct a panel solicitor. It's also easier, as otherwise you'd have to deal with two solicitors for the same conveyancing matter.
We are getting a further advance on our mortgage from Capital Home Loans as we wish to carry out alterations or improvements our home. Do we need to appoint a solicitor on the Capital Home Loans conveyancing panel to deal with the paperwork?
Capital Home Loans would not normally instruct a member of their conveyancing panel to deal with such a matter. If they did require any legal work then you would need to ensure that such a lawyer was on the Capital Home Loans panel
I have paid off my mortgage with Capital Home Loans. I assume I don't need a solicitor on the Capital Home Loans panel to remove the mortgage at the Land Registry. Please confirm
If you have finished paying off your Capital Home Loans mortgage they may send you evidence showing that you have paid it off. Alternatively they may notify the Land Registry directly. The Land Registry need to see this evidence before they will remove the Capital Home Loans mortgage from the register. Capital Home Loans,and any evidence they send you, will determine the action you need to take. In cases where no conveyancer is acting for you and you have paid off your mortgage:
but are not moving to another property
where the Capital Home Loans has sent the Land Registry the discharge electronically, and
the Capital Home Loans has instructed the Land Registry to do so
The Land Registry will send you a letter confirming that your Capital Home Loans mortgage has been paid off.
I have decided to exercise my right to buy my property off the council. I have a mortgage agreed with Capital Home Loans. Conveyancing is new to me. Can I proceed without a solicitor easily? I think we can but we keep being told I should have one. Any advice?
It is not advisable proceed with a house purchase without a solicitor. The council's solicitor are not acting for you. You need a solicitor for a number reasons. One of which is to verify what plans the Council have for repairs and refurbishment for the next five years. Many leaseholders have been stung for contributions of thousands of pounds. In any event if you are getting a mortgage with Capital Home Loans you will need to appoint a solicitor on the Capital Home Loans conveyancing panel.
