Legal Jargon

A house in multiple occupation (HMO), or a house of multiple occupancy, is a residential property in which common areas – usually bathrooms and kitchens – are shared by more than one household. Local authorities maintain registers of HMOs. This register primarily deals with properties that are let in part or whole or occupied effectively as separate households. If you have current or future plans to let all or part of a property or divide it into sections, it will be important for you to check any council requirements before committing to the purchase.

A form of guarantee where one party agrees to compensate another party for any specific loss or damage caused by the first party’s action (or failure to act).

An indemnity policy is an insurance policy that covers a legal defect in the title to a property that cannot be easily resolved or would be very costly and/or timing consuming to do so.

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

A standard form in which the seller of a property specifies items in or affixed to the property that are included in the sale at the agreed price. Typical examples might include door, window and light fittings, kitchen units and integrated appliances, and fitted carpets, but sellers can include or exclude whatever they choose.

A flying freehold is a freehold property where a section of that property overhands, extends or protrudes onto another freehold property or land.

The outright ownership of property and the land on which it stands with no time limit to the period of ownership.

The person who owns the freehold of a property.

This is a technical conveyancing term that implies certain “warranties” or “guarantees” in your favour. It is the standard guarantee given to the buyer by an absolute owner who knows about the property.

An additional amount loaned by a mortgage company to a buyer / owner after completion of a property transaction on broadly the terms of the original mortgage.