Frequently asked questions relating to the Precise Mortgages Conveyancing Panel from members of the public
I am selling my flat and the estate agent has just e-mailed to say that the purchasers are swapping law firm. I am told that this is due to the fact that Precise Mortgages will only work with solicitors on their approved list. On what basis would a major mortgage company only work with specific law firms?
Banks have always had an approved set 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 15 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.
I am buying a new build duplex and my conveyancer is advising me that she has to disclose incentives from the developer as her firm is on the Precise Mortgages conveyancing panel. The Estate Agents are hassling me to exchange contracts and my preference is not to delay deal. is my lawyer taking the correct approach?
You should not exchange unless you have advised to do so by your lawyer. A precondition to being on the Precise Mortgages approved panel is to comply with the CML Handbook requirements (last updated for this lender on Precise Mortgages). The CML Conveyancing Handbook requires that your lawyer have the appropriate Disclosure of Incentive form completed by the developer and accepted by your lender.
I am planning to acquire a flat and need a conveyancing solicitor in who is on the Precise Mortgages solicitor. Could you point me in the right direction as regards a solicitor?
Our service is a directory service for firms who wish to be listed as being on the approved conveyancing panel for Precise Mortgages . We don’t recommend any particular firm.
My conveyancers in Newcastle have advised me that no longer have my conveyancing file. At the time of my purchase I took out a mortgage with Precise Mortgages. Is it case that being on the Precise Mortgages conveyancing panel they need to have retained the file for a prescribed period?
It very much depends from lender to lender but many of the Terms and Conditions of Conveyancing Panel Appointment require the file to be held for a period of 6 years. That being said we have not seen a copy of the Precise Mortgages Conveyancing Panel Terms. It might be worth you contacting Precise Mortgages directly.
I am about to exchange contracts on a purchase with a mortgage from Precise Mortgages. The report from my solicitor mentions that Precise Mortgages could withdraw their offer before completion. Is this right?
Lenders such as Precise Mortgages can revoke their mortgage offer although this is unusual. If Precise Mortgages withdraw their offer they may or may not inform you or the lawyer as to their reasoning. There are many potential reasons but here are a number of examples:
- Where information comes to Precise Mortgages ‘s attention regarding the customers or the security that they were not aware of prior to offer that affects their original decision to lend
- Situations where information provided by the borrower that enabled the lender to make a lending decision is fraudulent, incorrect or misleading.
- Where the purchase price and borrowers direct contribution differ to details on the mortgage application form completed by the borrower
- Where to proceed with the Mortgage offer would be unlawful
- Following advice from the property assessor on their lender panel or If the lender has doubts about the effectiveness of the valuation as a result of subsequent events or information received post valuation but pre completion
I was told two weeks ago that my mortgage has been agreed
to by Precise Mortgages. Is it usual for Precise Mortgages to only issue the offer once my
solicitor is approved on their conveyancing panel?
A lender would not issue a mortgage until they have details of a lawyer on their panel. It can take a few weeks for Precise Mortgages to deal with your lawyers application to be on the Precise Mortgages conveyancing panel. There's no guarantee that your solicitors will be accepted.
After shopping around on the internet I have found a solicitor having made sure that they are on the Precise Mortgages conveyancing panel. Does my lawyer arrange the survey of the property?
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Having read lots of mortgage guides,I note that they all recommend that you should get your house surveyed prior to buying it. When I asked my solicitor - who is on the Precise Mortgages conveyancing panel - on this she said they don't do this and I need to contract an independent surveyor. Is that normal?
Precise Mortgages will need an independent valuation of the property. Your lawyer will not arrange this. Usually Precise Mortgages will appoint their own surveyor to do this, and you will have to pay for it. Remember that this is a valuation for mortgage purposes and not a survey.
You may wish to consider appointing your own surveyor to carry out a survey or prepare a home buyers report on the property. It is up to you to satisfy yourself that the property is structurally sound before you buy it. If the survey or report reveals that building work is needed, you should tell your solicitor. You may wish to renegotiate with the seller.
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Your lawyer will not organise the survey but they may be able to put you in touch with a local one that they recommend. RICS offers a find a surveyor service (just google it) where you can search for a qualified surveyor by postcode. As you are getting a mortgage with Precise Mortgages you could contact your them to see if they have a list of approved surveyors.
