I am progressing with the sale of my home in Rhayader and the estate agent has just called to warn that the purchasers are appointing a new solicitor. The reason given is that the mortgage company will only work with solicitors on their conveyancing panel. On what basis would a leading mortgage company only engage with certain law firms rather the firm that they want to appoint to handle their conveyancing in Rhayader ?

UK lenders have always had panels of law firms they are willing to work with, but in recent years big names such as HSBC, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have acted for them for more than 15 years.

Lending institutions blame a rise in fraud as the reason for the reduction – criteria have been stiffened as a smaller panel is easier to oversee. Banks tend not to disclose how many solicitors have been dropped, claiming the information is commercially sensitive, but the Law Society claims that it is hearing daily from firms that have been removed from panels. Some are unaware that they have been dropped until contacted by a borrower who has instructed them as might be the situation in your buyers' case. The purchasers are unlikely to have any sway in the decision.

Finally the sale completed on my house in Rhayader last February yet the purchaser is e-mailing daily to say their conveyancer is waiting to hear from mine. What are the post completion sale formalities now that I have sold?

After completion of your disposal your solicitor is obliged to send the transfer deeds and all supplemental paperwork to the purchaser's solicitors. If applicable, your conveyancer must also send confirmation that the mortgage has been discharged to the buyers lawyers. There is unlikely to be post completion tasks specific conveyancing in Rhayader.

I am considering applying for a mortgage for purchase of a newly converted (under development) in Rhayader with 70% LTV. Is it compulsory to choose a solicitor on the conveyancing panel for ?

There is nothing to stop you using your solicitor, but will insist on their interests being represented by a firm on their conveyancing panel. There is much more potential for delays and confusion with two solicitors involved, and it will undoubtedly be more expensive too.

Rhayader Conveyancing for Leasehold Flats - Sample of Questions you should consider Prior to Purchasing

How many of the leaseholders are in arrears for their service charge payments? How much is the yearly service fee and ground rent? In the main the outlay for major works are not included within maintenance charges, although some managing agents in Rhayader ask leaseholders to contribute towards a sinking fund and this is used to offset against larger works.

Should I stop the direct debit for my mortgage with once a completion date for my home sale in Rhayader has been agreed?

You would be well advised to maintain meeting any mortgage payments to pending the mortgage being discharged on completion as part of your Rhayader conveyancing.