The Veyo revolution is a non-starter

I read recently that the Law Society joint venture Veyo intends to bring residential conveyancing into the 21^st century.    A revolution is on its way?  Well, this is what the Law Society would like us to believe.

So much so Veyo has and continues to spend a vast amount of money on its attempt to convince professionals and the homeowner that despite working within the tight constraints of an archaic conveyancing system, which has more or less remained untouched since the average weekly wage was about £5, its online portal with functions to allow a client to communicate with his or her solicitor without picking a phone up, will magically speed up the conveyancing process.

I am not sure whether its naivety or sheer arrogance on the part of those behind Veyo, but one thing is for sure, the product which has yet to materialise, is not, despite the claims to the contrary, a magic bullet to cure what are and continue to be a fundamental flaws with the home selling and buying process as well as the approach adopted by some conveyancers operating within it.

To be fair to Veyo there is a lot to be said for highlighting to some conveyancers that the time is now to ditch the pigeon post, to question whether there really is a need to operate with secretarial staff, and to provide a service which allows online collaboration between conveyancers and online interaction with the client.   

Not only are these changes essential to be able to compete with volume conveyancers they should also, per se, shout out as making complete financial sense.   Conveyancers who are looking to survive the constant onset of challenges must make these changes soon or face extinction.

The claims made by Veyo to the consumer that is holds the answer to the long delays and frustrations some home sellers and buyers experience are disingenuous in the extreme.     Yes, I accept there is a need for an improved and more transparent line of communication between those involved in the process especially with the client, but unless the philosophy and approach towards conveyancing changes no online portal on its own bring about the changes which are desperately needed to ensure both professionals and homebuyers/sellers are able to enjoy a less stressful conveyancing process.

There is no sign that with an election looming of any of any move by the main political parties to bring in changes to the conveyancing process.   The shambles surrounding the introduction and withdrawal of the Home Information Pack debacle has clearly taught politicians that changes to land law and processes is a total ‘no go’ area. There is no political appetite for change and we are therefore resigned to the fact that the system which we have is unlikely to be reformed probably for a further 100 years!

So where does this leave the homebuyer/seller? Is Veyo going to turn out to be the saviour, the consumer champion?   This is their idea though I suspect at best history will show it was the catalyst which the conveyancing industry needed to spark the fuse for long overdue enlightenment.

Veyo and other IT providers can provide the tools to assist the conveyancer to make changes, but what they cannot do is force some conveyancers into adopting the changes in their own processes and approach to work which are required before significant improvement will be seen.

So what is needed to start the revolution?

The starting point is the need to lose the legacy which holds a number of conveyancers back.   Just because it is the tradition do certain tasks in a particular way does not mean that way is the only way or is indeed financially efficient.  For example, we use our own in-house developed software to engage collaboratively with the client and the buyers solicitors when going through the additional enquiry process.  We invite clients and the solicitors to engage in the process.  Significantly we have no trouble with the client but looking to engage the buyers’ solicitors has proved far more problematic.  ‘Can we please ask you to send to us your replies on paper’, is often the response. Others say ‘we are unable to access the replies’, which is often code for ‘ We can’t be bothered to go on line to see the replies!’.

Another legacy is the long flowery letters which the dutiful secretary has painstakingly typed.  Why?  Lawyers should all be capable of writing in succinct and concise terms and what is the point of dictating and having typed information which can be standardised and communicated in template electronic notes? 

How may conveyancers scan their post and other written communication?  The cost of the scanner is reasonable and by operating with an electronic file is not as alien as some may believe. The problem is there is no mind set or ambition to change to explore innovation of this type.

Veyo at the end of the day has the right ambition and reflects the objectives and outlook of my business and many other ‘21^st century’ conveyancing operations, but unless there is a major sea change in the way in which the majority of other conveyancing business are run, the revolution it is promising is unlikely to materialise.   The reality is that Veyo and other innovative conveyancing portals are currently ahead of their time.

Morgan Jones and Pett are solicitors who provide legal advice and services to clients based in England and Wales and who can be contacted on 01603877000 or via email at davidpett@m-j-p.co.uk

Clients Guide on what to check with their conveyancer when purchasing a leasehold property

You instruct a conveyancer to act and look after your interests when purchasing a leasehold property.   You go to that conveyancer to ensure he exercises the skill and care required to ensure that the property you are purchasing can become a home free of legal issues.  

As part of that due diligence process your conveyancer will send to you information about the lease as well as a copy of the lease for you to read through.   He will if he does his job correctly identify what might be wrong with the lease and what he suggests should be done to sort any problems.

This may all be very daunting and in effort to help you understand what to look for and what to query if your conveyancer fails to cover an aspect I have set out below some ( and it’s not intended to be an exhaustive and comprehensive list )  common points to keep in mind:

Have you been provided with a completed copy of the lease?

Has your copy been signed?

How many years does the Lease have to run?  If the remaining term is under 80 years you should seriously consider pulling out unless the seller is prepared to arrange for the lease to be extended before you purchase.

Does the property description in the lease mirror the property you are looking to purchase.  Check the lease plan against the floor layout shown in the sale particulars.  Take the plan and carry out a physical inspection of the property to check for discrepancies.

If you are told there is a garden and or car parking space then make sure this is included as part of the description of the property you are purchasing.

What parts of the property and the amenities are you required to share with other tenants?

Is there a right to pass to and from the property from the closest public highway? If not you may find that someone else could legally prevent you from accessing the property.

How much is the annual ground rent and service charge – can you afford these remembering they can increase depending on the clauses in the lease and the expenditure incurred by the landlord in the upkeep of the building and communal areas.

Check the rent review clause - the ground rent might only be £250 per annum at the time of purchase but this could by the end of the term be as much as a million pounds per annum!

Is there a management company and if so is it properly run and has accounts to show that it takes its responsibilities seriously.

Is the property adequately insured? 

What are the restrictions on use of the property?  Can you sub-let for instance and if so what conditions have to be met?

Even though the landlord is responsible for the upkeep of the property you should always get a survey undertaken since if there is major work required you and the other tenants will be required to contribute to that cost however much the expenditure might be.

Finally do consider carefully whether a leasehold property is for you  - many conveyancers including myself advise clients not to purchase this type of property unless there are very compelling reasons so to do. 

Morgan Jones and Pett are solicitors who provide legal advice and services to clients based in England and Wales and who can be contacted on 01603877000 or via email at davidpett@m-j-p.co.uk

What is the Lender Exchange and how does to provide benefit to conveyancing clients?

The Lender Exchange is a service designed by Decision First to aid communication between solicitors and lenders. It is intended, writes Katie Easter, Trainee Solicitor with MJP Conveyancing, to reduce the risk of fraud by providing a secure portal for exchanging information. 

The lenders currently working with lender Exchange are Lloyds Banking Group, Royal Bank of Scotland Group, Santander and HSBC Bank.

What are the benefits for clients?

The benefits of Lender Exchange include reduced administration which is designed to prevent delays for clients. The system enables lenders to send mortgage offers to solicitors electronically which is much quicker than more traditional post or Document Exchange. At MJP Conveyancing we are well equipped for receiving documents electronically which means that we can deal with documents received through Lender Exchange efficiently.

Mortgage offers are usually accompanied by forms such as Mortgage Deeds which we provide to our clients for their signature. Prior to Lender Exchange it was not uncommon for offers to be sent without these documents which led to delays for clients when solicitors had to request the forms separately. A function of Lender Exchange is to make standard documents such as Mortgage Deeds and Consent to Mortgage forms always available to be downloaded. By downloading forms manually, solicitors can help to prevent delays.

Although clients may be unaware of Lender Exchange, they are benefitting from the system. Waiting for lenders to produce mortgage documents can cause unnecessary stress and delays for clients. Lender Exchange represents a new means of communication which is likely to prevent these delays.  

                

MJP Conveyancing are solicitors who provide legal advice and services to clients based in England and Wales and who can be contacted on 01603877000 or via email at davidpett@m-j-p.co.uk

What to look for when purchasing a property sold through a power of attorney?

Buying a property from a person acting under a Power of Attorney should, according to Michael Riches, Trainee with MJP Conveyancing, pose no issue if all the relevant checks are made by your conveyancer. 

Some people may be concerned that the attorney does not have the right to sell the property; however, an explanation of what an attorney is and what powers they have should calm those concerns.

What is a Power of Attorney

A Power of Attorney is a legal document which allows someone (the Donor) to appoint someone to act on their behalf (the Attorney or Donee) and make decisions for them. These decisions can be in relation to Property and Financial matters or Health and Welfare matters.

There are two types of powers, a General Power of Attorney and a Lasting Power of Attorney (previously known as an Enduring Power of Attorney).

A General Power only lasts while the Donor has mental capacity and may cease to have effect after a set period and will cease to have effect if the Donor loses mental capacity. In a property transaction any person can appoint an attorney under this general power to act on their behalf and sign all necessary documents.

A Lasting Power is only effective when registered at the Office of the Public Guardian. These are effective even when the Donor loses mental capacity, indeed these are often entered into in anticipation of the Donor becoming ill and losing capacity. The key to this Power though is that the Power must be granted and entered into when the Donor still has capacity and is fully aware of the arrangement and implications of the document.

As a Buyer you should be aware of who you are purchasing from and in what capacity they are acting. If you are aware you are Purchasing from someone acting under a Power of Attorney and the Power is still valid then your right to a good title is protected. However, if it is proved that you knew the Power was invalid or had expired or had previous knowledge about the circumstances in which the attorney’s power would be terminated then this right is not protected and you will not be able to register the property in your name.

When instructing your conveyancer you should make them aware at the outset, if you yourself are aware, that the property is being sold by someone acting under a Power of Attorney.  If this is not immediately apparent then it will be revealed within the contract documentation sent by the Seller’s conveyancer. The checks your conveyance should make, and you should ensure are made, are: 

Has a fully certified copy of the Power been supplied?

Is the Donor still alive – if the Donor is deceased then the Power automatically ceases to have effect and the attorney cannot act in that capacity

What type of Power is it – in a conveyancing transaction the Power must allow for the attorney to act in property and financial matters.

How many Donees are acting – this is important as both attorneys must agree to the sale and sign the documentation.

If all of the above is provided and correct then your right as a Buyer to a good title is protected.

Further guidance can be found on the www.gov.uk website. This provides a lot of information on the Power of Attorney. Furthermore, if you would like to sell a property under a Power of Attorney it details the process to appoint an Attorney.

MJP Conveyancing are solicitors who provide legal advice and services to clients based in England and Wales and who can be contacted on 01603877000 or via email at davidpett@m-j-p.co.uk

Norwich - A fine City to buy a property in

The news of Radio One choosing  Norwich as its venue for its Big Weekend in May will undoubtedly help to remind people of the popularity of Norwich as a place to live. 

Based in East Anglia and situated about 20 miles away from some of the very best coastlines in the UK, Norwich continues to grow not only as a top tourist destination but also as an ideal location to establish a home.

So what does Norwich offer?

There is much more to Norwich than Delia Smith and Stephen Fry and a former Premiership football team.  

Norwich bustles with good and varied shops, restaurants and pubs and offers a unique quality of life. 

There is an excellent theatre hosting some of the top shows in the country.

Norwich is also the gateway to the Norfolk Broads. There are  Nature Reserves  and it is also situated close to a number of the top Natural Trust Land/Properties 

Though there is a large selection of restaurants and public houses it would be remiss not to make specific reference to the Last Wine Bar  and The Georgian Town House  There are lively eateries and ones which offer good quality food. 

Norwich Property Market

Finding a property in Norwich may however prove difficult. 

The opening of the Eleveden by pass has increased the drive time to and from London and with a good train service running from Nowich to London with Trains every hour transport routes into the capital are better than have ever been.  This has led to an increase in demand and prices in Norfolk have been rising and will continue to rise this year. 

There is a distinct shortage of stock in Norwich at all price points which is a situation that has been in play since 2009 and it just keeps getting worse.

According to Rightmove the majority of sales in Norfolk during the last year were detached properties, selling for an average price of £259,940. Terraced properties sold for an average of £157,736, with semi-detached properties fetching £172,339.

If you are looking for help to find a property give Pymm and Co and Abbotfox agents which have a good reputation in the area.    Try also the local property newspaper edited by Caroline Culot

As for conveyancing solicitors beware if you are directed to a specific firm by an estate agent as commission fees are rife in the City and add to the cost of buying a home. 

At MJP we have no ties with any agent and offer competitive fees.  You can obtain a  quotation here 

For more information on Norwich Tourist Information Board 

Morgan Jones and Pett are solicitors who provide legal advice and services to clients based in England and Wales and who can be contacted on 01603877000 or via email at davidpett@m-j-p.co.uk

Will the arrival of the 'Facebook Conveyancer' mark the end of the traditionalist approach?

I understand the  ideals behind a traditional conveyancer and the need for all conveyancers to act at all times in a professional manner. However  I must  question whether the demand for a traditional conveyancing service is still as great as it was at one time and indeed sufficient secure longevity in an ever changing and highly competitive market. 

A typical traditional conveyancer is someone who would not touch a conveyance unless a fee in excess of £1000 is charged, who operates with a secretary and per perhaps also an assistant, who takes long lunch breaks and who  loves to engage in long meetings and telephone calls with clients.  

He or she will also subscribe to the pigeon post mode of communication.  Receiving a letter placing it in a lovely wooden in tray and then after lunch getting out the dictaphone and dictating a very and long and flowery letter in reply.  The dictation would then sit on the tape until a couple of further long letters joined it when a few days later it would find its way to the secretary for transcribing. Once typed the letter would then be left for the conveyancer to check and sign, probably after  the completion of an afternoon on the golf course.  Three or four days later following the arrival of the letter into the office it would find itself on the post room awaiting despatch.  

As for technology, there would be a PC standing on the desk and one which  would probably be turned on but rarely used.  Perhaps the occasional surfing of the net would take place from time to time mainly though to check the latest cricket score. 

This description may be extreme and only representative of  a few but I am sure we have all come across a conveyancer who could be connected to some or all of these features.  I acknowledge there will always be a place for the traditionalist because there are some clients who are prepared to pay for this type of service and who have the money to meet the cost.   The question of whether this demand will last forever given the arrival of a generation who have grown up with technology and social media remains to be seen. 

The growth in Instant Messaging, Facebook, SnapChat and Twitter should be sending out alarm bells to these traditionalists, particularly the small traditional high street firms.   It may still be possible to demand high fees and to continue with traditional work practices but unless  change is on the agenda the prospect of longevity in a fast changing and competitive market is low. 

There is a high demand amongst a large group of the population for instant communication and greater transparency.  The time for a smoke and mirrors approach to conveyancing is at an end, the educated client does not need to be kept in the dark about what goes on behind the scenes, they want and indeed demand 24/7 access to all parts of the conveyancing process.  

The modern thinking client wishes to be notified on their smartphone when a development in the transition arises and also welcomes the ability to see post and other communication as and when it arrives.  This type of client also wishes to be able to communicate with his conveyancer electronically in ways which are already familiar such as Instant Messaging and Facebook. 

Snobbery is such that the traditional lawyer will look down and frown on the practices of a modern day conveyancer arguing that such service is vulgar and unprofessional.   Receiving an email or perhaps a message through an electronic case management system rather than a traditional letter in the post is often viewed as outrageous.  Add to this the practice of acting for a client outside one  mile radius of one’s office the Facebook conveyancer is often looked upon as a disgrace to his or her profession. 

Then there is the ongoing snipes as those conveyancers who charge low fees.   There seems to be a growing misconception around these firms.   Low fees do not always equate to an inferior service and those who sneer at 'bucket shop' conveyancers often fail to look through the anger and analyse why it is possible to run a successful business with such a low fee base.  There are many conveyancers out there who regard themselves as traditionalists, who charge high fees but who deliver a mediocre service.  On top of this many of these firms are operating under the misapprehension that they are making a profit out of the work.  The truth is that even though the Facebook conveyancer may be charging a low fee, the combination of good and efficient use if technology  and a low overhead base, often means that the business is well run. offers good client service and more to the point makes a profit.  

Rather than ranting and raving about these firms with a modern and forward approach to conveyancing, the energy of these doubters may be far better spent in carrying out a self appraisal and looking to challenge the traditional approach to conveyancing.  Is the technology you are using sufficient and advanced enough, do you really need all of those assistants and secretaries and has the time come to drop the old fashioned and generally unwanted modes of client communication. 

Who I ask though will have the last laugh.  The reality is that the Facebook Conveyancer has already arrived and guess what is making good money and building successful practices.  The time frame to get on board and to  begin competing with the likes of this new breed of lawyer is running short.  Right or wrong the life span of the traditional lawyer is limited and with the advent of ABS and the increased competition that time for charging large fees and dining out with clients is nearly at an end.  Only those with good technology and well oiled processes will be able to afford to stay in the market and survive.  

Morgan Jones and Pett are solicitors who provide legal advice and services to clients based in England and Wales and who can be contacted on 01603877000 or via email at davidpett@m-j-p.co.uk