Remortgage Solicitor Belfast top advice – The main reasons why a remortgage can be delayed. (Part 1)

Mark Kelly LLB guides us through in a 2 part series…

A remortgage can be a very daunting experience, especially if you are coming to do one for the very first time. You will have a lot of questions and uncertainties about the process, timescales and what is actually required. At RG Sinclair Solicitors & Co we take all the stress and make the process clear, concise and hassle free for you. We pride ourselves in providing an excellent service, keeping the borrower informed at each step. Here are some easy guides to follow to get the process started:

What is a remortgage?

A remortgage is when you end your current mortgage with your current provider and take out a new mortgage with a different lender. When the process is complete, your old lender is paid off in full by the new lender who then takes over as your mortgage provider.

Top reasons why a re-mortgage can be delayed (Part 1)

Following on from our successful and well received publication detailing some of the most common reasons why a re-mortgage can be delayed, we have been asked to put together more of the most common reasons as to why it might take a little bit longer to complete a re-mortgage than what would be usual in the majority of cases.

Northern Ireland Housing Executive Property

If you purchased your home at a discount from the Northern Ireland Housing Executive (NIHE) there is a 5-year period in which you will be unlikely to get a re-mortgage. This is because there will be a charge registered against your property in their favour and no other lender will be able to place their charge above NIHE. If there is a small amount of time left on the 5 year period, there are instances, that NIHE will postpone their interest to allow the remortgage to complete. This is something that you should discuss with your broker/financial advisor before proceeding.

Transfer of Equity

When someone is taking their name off the title deeds/transferring their share of the equity of the property to another party, or another party is coming on to title, whilst usually straightforward, there is additional paperwork that needs to be drafted and signed by the borrower(s). This can take time to draft and get executed, in particular if there are third party solicitors involved. It is usually best to make us aware at the beginning of the process if a transfer of equity (TOE) will be involved, as we will require additional information in order to draft the necessary documents.

Northern Ireland Co-Ownership

The most common case in this instance is when the borrower is buying out Co-Ownership and purchasing 100% of the equity. There is additional legal paperwork that is required to be drawn up and executed by the borrowers which can take time to complete as we need to wait for all the information to be provided to us by Northern Ireland Co-Ownership.

Classification of title

For the most part, land is classed as absolute, leasehold and good fee farm grant which are all sufficient for a re-mortgage to proceed as normal. However, there are two other classes that come up occasionally, which can cause small delays and result in additional fees to the borrower. These two are qualified and deemed possessory title. Both of these require two separate forms of additional legal work which we will talk the borrower through.

Borrower Error

On occasion, a delay can be caused by the borrower(s) not completing certain pieces of paperwork. The most common examples are:

1

Failure to sign the mortgage offer acceptance and direct debit mandate forms and returning to the new lender. Depending on lender requirements, if these are not returned to them, they will not release funds. It is important to make sure that you have signed and returned these if required. If you are unsure, you should contact your lender and check.
2

Some lenders such as Atom Bank, are digital, and as such require you to download their app to accept everything that is required. Again, failure to do so results in a delayed completion.

What do I do when I have a mortgage offer?

Once you have the offer that best suits you, contact Mark at RG Sinclair through phone (02890231770) or email (m.kelly@rgsinclair.co.uk) and he will give you a quote for the firm to do the legal work. When you are happy to proceed, let your new lender know and return the initial paperwork to the person handling your case at RG Sinclair and they will do the rest. At RG Sinclair, we pride ourselves in providing an excellent service, making every step clear and hassle free for the borrower.

remortgage delayed

Mark Kelly LL.B

Legal Manager

Mark Kelly studied at the University of Ulster at Jordanstown and graduated with an LL.B in Law and Government in 2003.

After graduating, Mark worked for 10 years in the charity sector as a Local Area Director, later being promoted to Manager and Team Leader in 2016. In addition to this, Mark played a key role in in the finance department, while maintaining and developing the Charity’s website and IT infrastructure. Mark joined the re-mortgaging Department at Robert G Sinclair Solicitors in January 2017. Outside of work, Mark is a keen rugby player and enjoys spending time with his family.

Mark also sits on the Board of Governors for a primary school and is a trustee for Abaana, a charity which works with disadvantaged children in Uganda.

About Belfast Solicitors and Law Firm Robert G Sinclair Solicitors

Our purpose is to provide you with legal advice that is clear, simple and transparent to you about your legal needs. You can feel reassured from your very first consultation, when all expectations and fees are made crystal clear before we proceed.

You will be kept informed throughout the process and you will benefit from our vastly experienced team who are experts in many areas from Personal Injury claims to Property to Business Legal Services and Banking. Please contact us on info@rgsinclair.co.uk or call 028 9023 1770.

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