When remortgaging a property you own, there are various checks and searches that need to be carried out, as well as other important legal and financial details that need to be handled correctly.
This process is referred to as conveyancing, the same as the process for buying or selling a property, and will normally be carried out on your behalf by a qualified conveyancing professional.
By using a conveyancing solicitor or licensed conveyancer for this process, you have the peace on mind that all the details have been accounted for, protecting you legally and financially, while ensuring the remortgage goes ahead quickly and smoothly.
What is involved in conveyancing for remortgaging?
There are various steps involved in the remortgaging process that a conveyancing solicitor or licensed conveyancer can take care of for you.
Checks and searches – This includes verifying your identity, money laundering checks, checking the title deed and property searches e.g. checking for any planning, building control or environmental issues affecting your property. Your new mortgage lender will need to see evidence of these checks before releasing funds to you.
Redemption statement – Your conveyancer will give your existing mortgage lender notice that you intend to pay off the outstanding balance on your mortgage and ask for a redemption statement, which details how much you owe, plus any penalties, exit fees or other costs for early repayment.
Reviewing your mortgage offer – When your new mortgage lender has carried out a valuation of your property, they will make a formal remortgage offer and send a copy of this to both you and your conveyancer. Your conveyancer will talk through the details of this offer with you to make sure you are entirely clear what you are agreeing to.
Transfer of funds – When your new mortgage lender is ready to transfer funds, these will be sent to your chosen conveyancing professional. They will then use the funds to pay off your old mortgage and any fees, then deposit any balance left over into your nominated account.
Land Registry – Once your old mortgage lender confirms that your previous mortgage is paid off, your solicitor or licensed conveyancer will contact the Land Registry and have them update the title deed for your property with details of your new lender.
Conveyancing for leasehold property remortgages
The conveyancing process for remortgaging a leasehold property involves a few additional steps which your conveyancing solicitor or licensed conveyancer can assist you with.
Firstly, they will need to check that the length of time remaining on the lease meets your new mortgage lender’s requirements. Many lenders will be reluctant to offer a mortgage on a leasehold property with 80 years or fewer left on the lease.
Your conveyancer will also need to collect details of your service charges and ground rent from your landlord or their agent, as well as a copy of the property’s buildings insurance documents.
You will also need to provide a copy of your lease (which you should have) to your new mortgage lender. If you do not have a copy of your lease, your conveyancer can request one from the Land Registry.
Find a reliable conveyancing team for your remortgage
Bird & Co Solicitors is a Conveyancing Quality Scheme accredited law firm offering conveyancing services for homeowners across England and Wales from our 3 offices in the East Midlands.
We provide a fast, reliable and cost-effective conveyancing service for remortgaging and all other residential property transactions, making the process as smooth and stress-free as possible.
To find out more about our conveyancing for remortgaging, call us today on 01476 591711 or use our contact page for details of your nearest Bird & Co office.