Chapter 10 revision tips Flashcards
What are the pre-completion steps for transfer of Freehold land?
- OS1 priority search (use ‘search from date’ in official copies
If UNREGISTERED: CLC search required
n.b. if buyer is taking out mortgage = search in name of mortgagee!!! - Companies House search if seller is a company (ensure not insolvent)
- Completion information TA13 - e.g. undertakings n.b. DO NOT undertake to ‘discharge’ mortgage
- Draft purchase deed TR1 and send to seller’s sol for execution by seller
- Finances: financial statement to buyer - request balance to complete; signed form of certificate of title to ensure release of mortgage funds; ensure buyer has signed loan agreement and registered charge!
If buyer is taking out mortgage what must you remember to do re OS1?
- Conduct search in name of mortgagee in order that they have priority over any new charges
What are the pre-completion steps for a Grant of Lease (acting for tenant)?
- OS2 priority search (freeze L’s title and highlight new entries) n.b. if lease of whole would be OS1
- Companies House search to ensure LL not insolvent
- TA13 (obtain consent?)
- If required obtain consent from LL’s mortgagee (or ensure avail at completion)
- Ensure cleared funds from tenant for first rent etc
- Arrange for engrossed counterpart lease to be executed by T
What are the pre-completion steps for Assignment of a Lease (assignee/ buyer)?
- Check that licence to assign has been completed (LLs consent)
- If lease registered priority search - OS1?….
- Check LL’s title! Is mortgagee’s consent required?
- Companies House search against assignor if company
- Completion info via TA13
- Draft TR1 or Deed of Assignment - send to assignor
- Finances - if purchase price for lease - financial statement to assignee and request balance; if assignee entering into mortgage - finalised cert of title; assignee signs loan agreement and charge…
What are the post-completion steps for Freehold, Leasehold and Assignment in respect of Companies House and HMRC?
Applicable where buyer/ assignee/ tenant is a company and taking new mortgage:
- Register new mortgage
- Within 21 days of completion
- Form MR01 (form for companies to register particulars of a charge or mortgage) plus fee
- Send certified copy of mortgage to Land Reg
HMRC
- Pay any SDLT
- Within 14 days of effective date (usually completion)
- Submit Land Transaction Return Form SDLT1
- Obtain SDLT5 Certificate of payment
What form is required for a company that has a new charge against a prop or a new mortgage? Time limit for submission?
- MR01
- 21 days
What must be applied for at Land Registry upon completion of transfer of registered freehold?
What must also be ‘lodged’ at LR?
- Using form AP1
- Within 30 WORKING days of OS1 search
- Apply to register: discharge of seller’s mortgage (if applicable); TRANSFER TO BUYER and if applicable buyer’s new charge over property
- Check updated official copies after application made
Documents to be lodged (Land Registry prefers certified copies - best practice due to LR destroying originals after a time):
- Land registry fee
- Certified copy DS1/eDS1 (evidence of discharge of seller’s mortgage)
- Certified copy TR1
- Certified copy SDLT5 (evidence buyer has paid SDLT)
- Cert copy of mortgage deed for new charge over property if applicable
- Any other copies of proof of title (death cert/ change of name cert)
What other docs might be necessary to lodge with AP1 to prove title?
- Certified copy of death certificate
- Certified copy of change of name
- Marriage certificate
What application needs to be made with LR on purchase of Unregistered Freehold land?
- First registration of title to the property in name of buyer (if mortgage - this too)
- Within two months of completion
- Forms FR1 ‘First Registration’ and DL ‘Document List’ (to list docs that accompany 1st registration)
- Check has been done correctly - check new official copies once application accepted!
What application needs to be made to LR on grant of lease that is over 7 years long (LL title registered)?
What needs to be lodged at LR (note: this is the same for LL title unregd)?
- Form AP1 (change of register form)
- Within 30 WORKING DAYS priority period of OS2 search
- First reg of lease (and if app’ new charge)
(Basically similar to freehold)
- Land reg fee
- Cert copy of lease
- Cert copy of SDLT5
- If L has mortgage cert copy of consent from lender
- Cert copy of T’s new mortgage if any
- Cert copies of any other docs
What are the names of the purchase deeds/ documents for each type of property interest covered in PLP?
- Freehold reg’d = TR1
- Freehold unreg’d = TR1 or conveyance
- Leasehold grant (LL title reg’d) = lease
- Leasehold grant (LL title unreg’d) = lease
- Assignment of reg’d lease = TR1
- Assignment of unreg’d lease = TR1 or deed of assignment
What application needs to be made to LR on grant of new lease, that is over 7 years long, where Landlord’s title is Unreg’d?
- Forms FR1 and DL
- Within TWO months of grant
- First reg of lease (and charge if any)
- Check new official copies for errors made by LR!
- Land reg fee
- Cert copy of lease
- Cert copy of SDLT5
- If L has mortgage cert copy of consent from lender
- Cert copy of T’s new mortgage if any
- Cert copies of any other docs
Do grants of leases under 7 years long need to be registered against title in property register?
No….
What application needs to be made on ASSIGNMENT of a registered lease?
What needs to be lodged?
REGISTRATION IS ALWAYS REQUIRED.
- Form AP1
- Within 30 WORKING day priority period of OS2 search
- Registering transfer of lease (and if app’ discharge of outgoing T’s charge and reg of assignee’s new one)
- Check updated official copies
To be lodged:
- Fee
- Certified copies of: TR1; SDLT5 (if app’ what is minimum?); if L has mortgage - consent of lender; evidence of outgoing T’s discharge (DS1); assignee’s new mortgage if any; death certs etc…
What must be applied for at the Land Registry on Assignment of unregistered lease with more than seven years remaining?
What must be lodged?
Where LL’s freehold is unregistered:
- Form FR1 and DL within TWO MONTHS of assignment grant
Where LL’s freehold is registered:
- AP1 within 30 working day priority period of OS2
- Check correct once app made
To be lodged:
- TR1 where reg’d freehold
- Deed of assignment where unreg’d freehold???
- Cert copy of SDLT 5
- If L has mortgage consent of lender
- DS1 if needed
- Cert copy of new mortgage if needed
- any other docs…
