Mortgages

[PNWokingham]

Not a thread on this and i have a question

I was always under the impression that when you are nearly done on a mortgage you generally keep a very small amount due so the bank could keep hold of your deeds and thus you don't have to store them somewhere. But the other day someone said there is no need as the title deeds are stored electonically at the land registry and there is no need to have a physical copy?? Anyone have any colour or can confirm/deny?

 

[Lord Tyrion]

The person was correct. Ours is paid up, no £1 left on the system, all clear.

What you describe is what used to happen but is no longer necessary.

 

[Red devil]

Not a thread on this and i have a question

I was always under the impression that when you are nearly done on a mortgage you generally keep a very small amount due so the bank could keep hold of your deeds and thus you don't have to store them somewhere. But the other day someone said there is no need as the title deeds are stored electonically at the land registry and there is no need to have a physical copy?? Anyone have any colour or can confirm/deny?

Your ",someone " is correct. My partner always did the former until recently, keeping £25 in the account. Having been told by her building society that this is unnecessary now she has closed the account as you say all records electronically stored at Land Registry

 

[GreiginFife]

Not a thread on this and i have a question

I was always under the impression that when you are nearly done on a mortgage you generally keep a very small amount due so the bank could keep hold of your deeds and thus you don't have to store them somewhere. But the other day someone said there is no need as the title deeds are stored electonically at the land registry and there is no need to have a physical copy?? Anyone have any colour or can confirm/deny?

Yes, electronic land registry deeds have been commonplace since c.2015.

In Scotland we have a system called ScotLIS that hold all electronically registered deeds (I believe HMLR have similar). The old system was here the title would be held in the bank's archives.

 

[Deleted member 21784]

The only reason I was told to keep a small amount was because it's easy to get a new mortgage with one in place compared to having no mortgage

 

[Hobbit]

The only reason I was told to keep a small amount was because it's easy to get a new mortgage with one in place compared to having no mortgage

The above isn’t far off the mark. Same applies to loans and credit cards. Those that can show a sensible level of borrowing and servicing of the debt find it easier to get more credit.

Equally, when you’re in your twilight years the need for another mortgage or a big loan is very much lessened. Having the property in your name, especially for those sorting probate makes for an easier life for all.

 

[PNWokingham]

The above isn’t far off the mark. Same applies to loans and credit cards. Those that can show a sensible level of borrowing and servicing of the debt find it easier to get more credit.

Equally, when you’re in your twilight years the need for another mortgage or a big loan is very much lessened. Having the property in your name, especially for those sorting probate makes for an easier life for all.

credit record not really an issue so i am happy to get ours sorted in the next year.

Just on the above posts about not needing to keep the mortgage since everything electronic since 2015, does that mean you pay off the mortgagae and do not get sent your deeds as you never need them (unless you do for some other reason)?? And that you don't need them when moving house - ie solicitors confirm it all as part of conveyancing?

 

[nickjdavis]

Not a thread on this and i have a question

I was always under the impression that when you are nearly done on a mortgage you generally keep a very small amount due so the bank could keep hold of your deeds and thus you don't have to store them somewhere. But the other day someone said there is no need as the title deeds are stored electonically at the land registry and there is no need to have a physical copy?? Anyone have any colour or can confirm/deny?

Yep...I paid mine off at the end of last year.

The attached text was included in my redemtpion confirmation letter...

We no longer physically hold title deeds for our customer’s properties during the lifetime of the mortgage. You’ll
be able to view your Title information online by visiting the Land registry’s website at http://landregistry.gov.uk/.
You may have to pay a fee for this service.

 

[Hobbit]

credit record not really an issue so i am happy to get ours sorted in the next year.

Just on the above posts about not needing to keep the mortgage since everything electronic since 2015, does that mean you pay off the mortgagae and do not get sent your deeds as you never need them (unless you do for some other reason)?? And that you don't need them when moving house - ie solicitors confirm it all as part of conveyancing?

As per Nick below…

 

[KenL]

Not a thread on this and i have a question

I was always under the impression that when you are nearly done on a mortgage you generally keep a very small amount due so the bank could keep hold of your deeds and thus you don't have to store them somewhere. But the other day someone said there is no need as the title deeds are stored electonically at the land registry and there is no need to have a physical copy?? Anyone have any colour or can confirm/deny?

When my mortgage ended, about 8 years ago, the lender sent me all the deed documents they had. Asking them to retain them seems to be a thing of the past.

 

[jim8flog]

One thing to check is that your house is actually registered.
I moved here in the mid 80s and there was no land registry for this county then.
Many years later I had to pay a first registration fee to have mine registered.

 

[IanM]

I remember an organisation spending lots of dosh on an automated deeds store.... not that long after, the whole lot get digitised!

 

[SwingsitlikeHogan]

One thing to check is that your house is actually registered.
I moved here in the mid 80s and there was no land registry for this county then.
Many years later I had to pay a first registration fee to have mine registered.

Indeed we have just discovered that my MiLs house (which is now ours) was never registered with Land Registry. No big deal as we are keeping it for the time being and will register it as soon as probate is granted.