Bank's consent to release title deeds

Discussion in 'Mortgage arrears & negative equity case studies' started by Stephen101, May 17, 2017.

  1. Stephen101

    Stephen101 New Member

    I've gone sale agreed on a property off market a few months ago. The vendor owns a number of properties including this one. The vendor's solicitor said he was waiting for the consent of the bank to release the title deeds, then he would send contracts for sale. Last update he said he had oral consent from the bank and now awaits the written consent, at which point things can move on. I'm guessing the vendor is either getting some sort of write off and/or there are cross charges on the property which are being released, charges in respect of money borrowed on other properties.
    1. Why would he need consent of the bank? Am I right in my guess?
    2. Does the fact oral consent was given mean written consent will follow? How long does written consent take?
    Many thanks.
  2. GetLost

    GetLost New Member

    Hi Stephen 101
    For 7 years I have consented to the sale of a property (holiday home) jointly in my name. The Bank will not provide consent until there is an offer on the property - which is vacant since the appointment of a Receiver in 2013. I cannot put the property on the market - in the main because I can not afford to do so I am currently in MARP on family home. Also - I signed a Deed of waiver to my rights to the (holiday) property when I separated from my husband - his circumstances diminished subsequent to our separation - he is not in a position to engage. I am not prepared to enlist the the services of an Estate Agent / Solicitor / BER Assessor with no means to pay and no agreement in place prior to doing so. An Estate Agent who valued the property advised that he would be unwilling to market the property without the consent to sell up front from the bank. It would seem to me (and believe me I have no real experience in this field) that the bank either have sold the loan to a fund or they are waiting for the values to increase. I have done EVERYthing possible to engage, solicitors mabs and 7 years later I'm still in the same position. My advise to you - sorry for the above - move on. I think the banks want the leverage of an interested party - it could take years for a solution.
  3. MrEarl

    MrEarl Frequent Poster

    Hello Stephen101,

    I would think much the same as you, with regards to the likelihood that the property is crossed secured over other debts, given you've mentioned that the vendor owns a number of properties. Assuming that to be the case, there is quite possibly a change in the Bank's Loan To Value (perhaps there's negative equity, perhaps not) so it will require a Bank to make a credit decision (hence, someone has to submit a recommendation, someone else sign off on it etc.). This takes time, not least because it's not a priority within a Bank most of the time.

    It's also possible that the Bank, or the solicitors who acted for the Bank and perhaps store the legal documents for the Bank, have misplaced documents. Likewise, it's possible that some work has been carried out on the title behind the sceenes (remedial work, possibly separation of a folio etc.) and needs completion, before the deeds can be released on ATR.

    As for the oral consent, you'd expect a the oral confirmation to be reliable, but never say never. If it has only been given the last couple of days, hopefully you'll see written confirmation in the next week or so, but if it's a couple of weeks ago, then I'd get my solicitor back on the phone immediately.

    If you can get direct contact with the vendor, no harm asking them if they know whats delaying it (they may or may not tell you, but if you mention a couple of gentle things like title work, or properties being cross secured without seeking details, they might tell you).