I am one month into the sale of my home in Lydiate and Melling and the estate agent has just called to warn that the buyers are swapping law firm. The excuse is that the bank will only engage with solicitors on their conveyancing panel. On what basis would a leading lender only engage with specific lawyers rather the firm that they want to choose to handle their conveyancing in Lydiate and Melling ?

Mortgage companies have always had an approved set of law firms that can represent them, but in the past few years big names such as Lloyds Banking Group, have considered and reduced their conveyancing panel– in some cases removing conveyancing firms who have worked with them for many years.

Lenders blame a rise in fraud by way of justification for the reduction – criteria have been narrowed as a smaller panel is easier to oversee. No lender will say 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. Plenty of firms do not even realise they have been dropped until contacted by a borrower who has instructed them as might be the situation in your buyers' case. The buyers are unlikely to have any sway in the decision.

My solicitor has uncovered a defect with the lease for the property we are purchasing in Lydiate and Melling. The seller’s lawyers have offered defective title insurance as a solution. We are content with insurance and will cover the costs. Our has advised that he must ensure that the mortgage company is willing to move forward with this solution. Are we the client or is the bank?

The short answer to your last question is that, notwithstanding the risk of a conflict of interest, you and the lender are the client. Your must comply with the UK Finance Lenders’ Handbook provisions. The UK Finance Lenders’ Handbook conditions require your lawyer to disclose issues such as defects with the lease so that the lender can be afforded the opportunity to check with their valuer as to the extent that the value of the property is affected. Should you refuse to allow your lawyer to make the appropriate notification then your will have no choice but to discontinue acting for you.

I am considering applying for a mortgage for purchase of a new build (under development) in Lydiate and Melling with 60% 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.

Are there restrictive covenants that are commonly picked up as part of conveyancing in Lydiate and Melling?

Restrictive covenants can be picked up when reviewing land registry title as part of the process of conveyancing in Lydiate and Melling. An 1874 stipulation that was seen was ‘The houses to be erected on the estate are each to be of a uniform elevation in accordance with the drawings to be prepared or approved by the vendor’s surveyor…’

Is it best to instruct a Lydiate and Melling conveyancing solicitor in close proximity to the house I am buying? I have an old university friend who can handle the legal work but his firm is located 400kilometers drive away.

The primary upside of using a high street Lydiate and Melling conveyancing practice is that you can drop in to sign documents, present your ID and apply pressure on them if necessary. They will also have local knowledge which is a benefit. However it's more important to get someone that will pull out all the stops for you. If if people you trust used your friend and in the main were impressed that must surpass using an unknown Lydiate and Melling conveyancing lawyer solely due to them being local.