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Archive for the: Conveyancing category

Notice to Quit: The Devil Really is in the Detail

Posted by on July 3rd 2017 in Blog Posts, Conveyancing

Notice to Quit: The Devil Really is in the Detail

The first few pages of a properly drafted lease should identify the address of the parties, and include express provision for the service and deemed service of notices, including where notices must be served.  One would imagine in a lease that did not contain express words to the contrary, that it would not be unreasonable to use the addresses detailed in the lease to contact the parties.  What address however should be used if you do know of an alternative address?  This was the question that faced the Court of Appeal in  Grimes v The Trustees of the Essex Farmers...

The New Residential Nil-Rate Band

Posted by on May 11th 2017 in Blog Posts, Conveyancing

What is it?

Together with the current transferable nil rate band of £325,000, the new Residential Nil Rate Band (“RNRB”) may add an additional tax-free allowance of £175,000 to your estate by 2021. This allowance will also permit married and civil partnership couples to potentially leave assets with a value of up to £1 million free of inheritance tax (subject to certain provisions as detailed below). 

The “RNRB” started at £100,000 on 6th April 2017 and will be increase by £25,000 each year up until 2020 where the maximum allowance of £175,000 will be available. See the table below for a...

The Pitfalls of Property Guardians

Posted by on April 26th 2017 in Blog Posts, Conveyancing

The Pitfalls of Property Guardians

Due to the rise of so called “professional squatters”, property guardians are often enlisted to live in property, which would otherwise be left empty. Guardians are offered low rent accommodation, their presence deterring squatters, arson and vandalism. To reflect a temporary living arrangement, licences rather than a lease is given. Licences are granted as licences are believed to not offer the tenant the same protections of a lease. Recently, however the decision by the Bristol County Court in Camelot Property Management v Roynon (unreported) has shown that property guardianship schemes may not be a risk free temporary arrangement for landowners!

Bristol...

E-Conveyancing - a Move with Times?

Posted by on April 26th 2017 in Blog Posts, Conveyancing

E-Conveyancing - a Move with Times?

A Digital signature has made its first appearance in a residential property transaction.

An electronic signature was used for the first time to exchange contracts in a residential property transaction on the 6th April 2017 at exactly 15:39. This marked the beginning of E-conveyancing and potentially laid down the first brick for the path of the future. 

Solicitors acting on both sides uploaded the agreed contract onto one of the registered secure systems, which was then sent to the respective seller and purchaser to electronically sign. The system was then able to confirm that the document was read and signed,...

Stamp Duty on Second Homes

Posted by on February 20th 2017 in Blog Posts, Conveyancing

Stamp Duty on Second Homes

What is Stamp Duty Land Tax?

Stamp Duty Land Tax (‘SDLT’) is payable to H M Revenue & Customs where chargeable consideration is given in return for property or land – this is not limited to purely monetary consideration. 

SDLT on main residence:

In general, for residential property purchases, SDLT is payable at the following rates on your MAIN home or residence:

  • Up to a price of £125,000.00: 0% of the purchase price
  • The next £125,000.00 (the portion from £125,001.00 to £250,000.00): 2% of the purchase price
  • The next £675,000.00 (the portion from £250,001.00 to £925,000.00): 5% of the purchase price
  • The next...

New Leasehold Houses: The Trap

Posted by on February 2nd 2017 in Blog Posts, Conveyancing

New Leasehold Houses: The Trap

When a buyer purchases a freehold property, they own the property outright, including the land it lies on. The purchaser of the freehold property is responsible for maintaining the property and the land.

With a leasehold property, a purchaser enters into a lease of the property with the freeholder for a defined period of time. In respect of leasehold houses, the term is usually between 250 and 999 years. In theory, when the lease ends, ownership returns to the freeholder. However, in reality this rarely happens as leaseholders have legal rights to extend their lease term or to purchase their freehold.

As...

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