Property 4: Stage 2 Investigating Title Flashcards
What should you look for when inspecting title of registered land?
- does title number match contract
For Exam
- class of sellers title
- encumbrances
EG
- seller mentions driveway over neighbours land -look for easement in Property register
- seller had mortgage - look at charges register
What to look for in title deed of unregistered land?
- Valid good root of title
- is chain of ownership unbroken
- previous triggering event (after 1st December 1990)
- Have docs been stamped (SDLT)
- Third Party Rights
Which pre contract searches are always performed?
- Local Search
- info from local authority - Drainage and Water Search
- to local water company
- for information on supply, metering etc. - Environmental Search
- to avoid being liable for cost of clean up for contaminated land
What is included in a local search?
Search for:
- local charges
- enquiries of local authority
- optional enquiries
What types of local charges are there?
General and Specific Financial Charges
- will be in relation to property (may be used as security)
- might not appear on Charges Register
Planning Charges
- any agreement or restrictions on expansion etc.
- Tree Preservation Order (cannot cut down without consent)
Listed Building Charges
- reveals if listed building
What standard inquiries should be made of local authority as part of local search?
- Roads
- if road fronting property is adopted by local authority
- proposed road or traffic schemes - Public Right of Way
- that cross the property
- cannot refuse this - Planning
- detailed planning information, planning entries and regulation consent
- outstanding planning or enforcement notices
What are optional enquiries that can be made in local search?
Must pay a fee for local authority to answer
- road proposals by private bodies
- major gas lines affecting property
- if environmental pollution notices have been served
- if property abuts common land or green
What should you do if property is next to town common area or village green? What is this search called?
Commons Registration Search
Optional inquiry to local search
- may include restricted access over common land
- restrictions on developing
When must it be asked
- new build property on previously undeveloped land
What are transaction specific searches?
- Search of the Index Map
- unregistered property
- to HMLR to reveal if it is partially registered - Bankruptcy Search
- if buyer is getting mortgage
- must be reported to the lender - Company Search
- via CH if seller is a company
- reveals any charges or insolvency proceedings
What are location specific searches?
- Coal mining serach
- if mining has been done on the property - Chancel Liability Search
- basically as to pay church tithe
- solution can be indemnity insurance
Who conducts physical inspection of the property? What should they look for?
Buyer themselves
Look for:
- evidence of easement
- evidence of person in occupation
- physical condition of property
- fittings and contents they expect to pass with property
What should you raise enquiries about?
- title defect that needs to be remedied
- issues contained in title
- issues in PIF
- issues from search results
- issues from physical inspection
Process for raising inquiries?
- buyers solicitors to ask seller solicitors
- copy of enquiries and answers to be given to buyer before exchange
- should not exchange before all are answered (and dealt with)
What is the process for raising enquiries in commercial transactions?
CPSE - equivalent to PIF
This has list of preprinted enquiries that are sent from buyers solicitor to sellers solicitors at beginning of transaction
Includes:
- boundaries
- rights befitting/encumbering property
- physical conditions
etc.
