Skip to content 
In this episode of The Lawdit Solicitors Podcast, we are joined by solicitors Inam, Izaz Ali, and trainee solicitor Owen, as we explore the intricacies of restrictions on title of properties. Discover the implications of restrictions on the sale or transfer of property, the role of mortgages in title restrictions, and the significance of tenancy in common.
Whether you are a property owner, a prospective buyer, or someone with an interest in property law, this episode offers valuable insights into navigating the complexities of property titles and restrictions.
Introduction to Restrictions on Title of Property
Restrictions on title play a crucial role in property law, impacting the sale or transfer of properties. This article, inspired by the insights shared in The Lawdit Solicitors Podcast, aims to elucidate the implications of title restrictions, the role of mortgages, and the concept of tenancy in common in property ownership and transfer.
Restrictions on title are typically conditions that impede the sale or transfer of property without certain performances or consents. The most common restriction arises from a charge on the property held by a mortgage. This restriction prevents property owners from selling without obtaining prior consent from the lender, serving as a security measure in addition to the legal charger registered on the title.
The process of removing a mortgage restriction involves the redemption of the mortgage, followed by a notification from the bank to the land registry, allowing for the removal of the mortgage charge and the corresponding restriction. This enables the update of the title registry with the new owner’s details and, if applicable, the registration of a new mortgage charge simultaneously.
The title register is usually divided into sections, detailing property address, registered proprietors, and charges, with additional sections for leases granted or restrictions on title. Restrictions related to tenancy in common, where property is held by two or more owners with individual shares, are also common.
The removal of such restrictions involves the submission of specific land registry forms, supported by a statement of truth outlining the reasons for removal.
Tenancy in common is often chosen by cohabiting couples who may have contributed different amounts to the property purchase and wish to own individual shares in the property. A deed of trust, recording the ownership percentage and other related aspects, is recommended in such cases to avoid future disputes.
Conclusion
Restrictions on title are integral to property law, governing the conditions under which properties can be sold or transferred. Understanding these restrictions, the implications of mortgages, and the nuances of tenancy in common is crucial for property owners and buyers.
This article, based on The Lawdit Solicitors Podcast, provides insights into navigating the complexities of title restrictions and ensuring smooth property transactions.
