Here is a thought leadership article from Veya
The title deeds of a property hold a wealth of information. But estate agents often forgo this key step when taking on a new listing. We’re going to run through 5 things title deeds can tell you about a property and why it can help your business.
Who are Veya?
Veya’s automated title checks benefit every stage of the property transaction – from winning instructions for estate agents to simpler onboarding for conveyancers.
Veya scans the title deeds of the property and produces the Veya Report, highlighting risks and issues that can be resolved early in the process to avoid delays later. Within the Veya Report you can also perform legal-grade compliance checks, confirming identities and proof of funds.
With Veya you can win more instructions, speed up sales progression and be more compliant.
Click here to find out how Veya can help your agency
What information can you find in the title deeds of a property?
Class of title
The title register will tell you what class of title the property has. This is key information to know as the property may be easier or harder to sell based on the title class. And, if you know what it is you may be able to upgrade it to a more desirable title class such as from possessory title to absolute.
Types of title class:
Absolute – An absolute title is the ideal title class to have.
Possessory – A possessory title may be granted to a property where the owner has been unable to provide evidence of ownership such as the original deeds have been lost. It can also be granted to owners who have claimed the land through adverse possession.
Qualified – A qualified title is the least common type of title class, and this is where there is a specific defect in the title of the property.
Good Leasehold – Good leasehold titles are given to leasehold properties where HM Land Registry has not received the title of the landlord to grant the lease that is being registered.
Property Description
The title deed will include property details within the property register section. This includes the address of the property and an indication of its boundaries (the title plan will show a visual representation of the piece of land and its boundaries which are typically outlined in red or yellow). The description will also state the last price paid for the property as well as if it’s a freehold or leasehold property. Details will be given on the lease if relevant. This information is important to know as it confirms the details about the property the vendor has told you about. Furthermore, it may highlight additional information that they were not, such as the remaining lease length.
Ownership details
On the title register within the proprietorship register section, you can find the name and address of the owner(s). This is important to review, as delays can happen during the conveyancing process if the names do not match the vendor(s) identifications. This can be common when couples purchased their property together before they married. Ownership of the land is pertinent to fulfilling AML purposes, so the title deeds are a great way to cross-reference against IDs.
Charges
The charges register lists all the interests to which the property is subject. These include positive covenants and restrictive covenants, notices, and legal charges. A legal charge is registered to protect a mortgage loan, where the seller pays off the mortgage on completion. Information on the charges register details how the land can be used, and the obligations of the landowner.
Covenants
A covenant is a legal promise or provision to do or not do something in relation to the land. Covenants can be particularly important; they can limit the use of the land and can even affect the property’s value; therefore, it is an important piece of information to know about right from the beginning.
Notices
Notices are used to protect several types of interests. For example, it may include rights of occupation for a spouse. There are two types of notices; unilateral and agreed. It is extremely important to take note of the notices the property has as it describes any interest in the land that a third party may have.
OC2 documents
The title deeds include details of other related documents. These can often be useful to review if further investigation is required.
Unpicking title information
Title deeds offer a lot of information about a property. But it can be hard to ascertain how it impacts you, as an estate agent. That’s where Veya comes in. Alongside access to the official Title Register and plan, you also receive an automated title insight report that’s designed specifically to help agents get the most out of the information that’s provided at a cost of just £9.99 per property *
What's in the title insight report?
Property complexity score rating
Veya’s complexity score helps to combat this issue, offering a numerical score as well as segmenting them by green, amber and red properties
With this information, estate agents can get an indication of a property’s complexity right from the outset which they can use to their benefit in several ways
Property vitals
Property vitals are displayed at the top of the report, including tenure, class of title and number of charges and restrictions, saving you time having to read through the title register in detail. Icons are displayed next to the details, such as a tick, warning sign, or information icon, to give you an indication of what it may mean for the sale of the property
Analysis and recommendations
A deeper analysis is then conducted providing insights and solutions to title issues so that estate agents can wow potential clients on valuations with their bespoke knowledge of the property, as well as having the insight to proactively with their clients to speed up transaction times.
Property owner details with optional ID&V and AML checks
Proprietorship details are indicated, so you can cross reference their details against the clients you're dealing with. You can then, if you wish, initiate an HMRC compliant ID&V check that your clients can complete from their mobile phones that utilises passport chip reading, facial recognition, and liveness checks to verify their identity and make sure their documents are genuine
About Veya
Veya offers an innovative solution for the residential real estate industry that helps streamline property sales through smart title deed data analysis
Title deeds can often provide a valuable source of information that helps uncover potential risks in a transaction. Pertinent property details can often be hard to detect and easily missed, causing huge delays to the property sale, or even fall-through
Veya’s solution arms property professionals with knowledge and expertise, helping them win more instructions, uncover opportunities, improve compliance, and sell homes faster. The quick, simple and reliable property reports highlight issues and identify any risks and opportunities, by helping translate complex title documents into an easy-to-understand format
Veya has fully integrated with ID&V and AML technology which allows estate agents to simplify compliance for industry best practices by automating identity verification, AML compliance and source of funds checks
.Veya is an alumnus of the Geovation programme, backed by Ordnance Survey and HM Land Registry
For more information, go to askveya.com and follow us on social media @ask-veya.
Click here to find out how Veya can help your agency
