A–Z Conveyancing Terminology

A

ADOPTED HIGHWAY
An adopted highway is a highway that was a privately owned road, but has become a public road.

ASSENT
The name of the document used to transfer legal ownership of property or land from someone who has died to the new owner.

ASSURED SHORTHOLD TENANCY
A form of tenancy agreement which permits the landlord to secure possession of the property at the end of the agreed tenancy period.

B

BREACH OF CONTRACT
If either party does not complete the conveyancing process or decides to pull out after the point of exchanging contracts, they are liable.

BASE RATE
The base rate is the interest rate that banks and lenders pay when they borrow from the Bank of England.

BUILDING REGULATION APPROVAL
Approval that is granted by the local authority to the construction and materials used in building work.

C

CHAIN
A position in which there are multiple buyers and sellers creating a chain of connected transactions.

COMMONS REGISTRATION SEARCHES
A search to ensure the property is not registered as common land or part of a village green. If it is, members of the community may have rights over the land.

CONSERVATION AREA (CA)
Areas designated for their special architectural or historic interest where owners must adhere to exterior planning restrictions to retain heritage.

D

DEED OF COVENANT
A legally binding document that the buyer will sign to confirm they agree with the lease terms.

DEED OF GIFT
A deed used to transfer ownership of a property from one person to another without any payment or monetary value being made.

DRAINAGE SEARCH
A check carried out to ensure that the property being purchased is connected to fresh and foul water sewers.

E

ENCUMBRANCE
In property, an encumbrance is an issue that reduces the value of a property or makes it less marketable.

ENVIRONMENTAL SEARCH
A search carried out to identify whether the property may be affected by contamination, flooding, or other environmental risks.

EQUITY
The difference between the value of a property and the remaining amount owed on a mortgage to a lender.

F

FLYING FREEHOLD
Will arise if part of one property is built on top of part of another property and the legal structure of the block is not leasehold.

FIXTURE, FITTINGS AND CONTENTS FORM
A standard document from the seller which specifies items in the property which are included in the sale at the agreed price.

FREEHOLD
Absolute ownership of the property and the land it stands on. There is also no time limit on the period of the ownership.

G

GAZUMPING
Is when a seller accepts a verbal offer on the property from one buyer, but then accepts a higher offer from someone else. It generally happens in a seller’s market when they ask for more money last minute.

H

HIGH LOAN TO VALUE FEE
The ratio between the value of mortgage loan you take out and the value of the property as a whole. The remaining value is then paid as a deposit.

I

INDEX MAP SEARCH
A search at the Land Registry to see if a property is registered or unregistered.

L

LAND REGISTRY
The HM Land Registry is where the ownership of land and property in England and Wales is registered since 1862.

M

MINING SEARCH
A search to check whether the property may be affected by past or present coal mining and, in particular, the risk of subsidence.

P

PARTY WALL
A party wall is a dividing partition between two adjoining buildings that is shared by the occupants of each residence.

PLANNING PERMISSION
Approval by the planning local authority to the construction and/or the extension of a property or to allow for business use.

PRIVATE ROAD
A road which is privately owned and not part of Highways England or maintained at public expense. Property owners with documentation can deny public access.

R

RADON GAS SEARCH
To check the property is not affected by naturally occurring radioactive gas. If it does, then additional ventilation may be required.

STAMP DUTY LAND TAX
You must pay Stamp Duty Land Tax (SDLT) if you buy a property or land over a certain price in England and Northern Ireland.

S

SUBSIDENCE
When the ground beneath a property sinks, pulling the property's foundations down with it. This process can cause the walls and floors to shift or crack.

SOLICITOR’S REGULATION AUTHORITY (SRA)
The independent regulating body of the Law Society of England and Wales where you can make a complaint about a solicitor.

T

TREE PRESERVATION ORDER (TPO)
A Tree Preservation Order is an order made by a local planning authority in England to protect specific trees, groups of trees, or woodlands in the interests of amenity.

TRANSFER OF EQUITY
A change in the co-ownership status of a property or a document that transfers the ownership of a property from one person to another.

TENURE
The conditions under which land or buildings are held or occupied, e.g., freehold or leasehold.

U

UNREGISTERED TITLE
A title to a property which has not been registered at the Land Registry. The title will consist of old-style conveyances and other documents.

V

VACANT POSSESSION
On completion, the seller must leave the property empty of people, possessions, and rubbish, as well as having immediate and exclusive access, control, and occupation of the entire site/land.

W

WAYLEAVE AGREEMENT
An agreement giving a right for a power company to install and place their equipment over your property for the purpose of providing power to the United Kingdom for all to use.