Solicitors 'lack sufficient knowledge' of Help to Buy

Many buyers using the government's Help to Buy scheme have been forced to change solicitors half way through because their conveyancer "lacked sufficient knowledge", the Conveyancing Association has said.

Eddie Goldsmith (pictured), chairman of the association, said lack of expertise could also lead to delays.

According to the Financial Times, more than 7,000 buyers of new homes have already used Help to Buy, which offers them government-backed equity loans of up to 20 per cent of the purchase price to boost their deposits, as long as they contribute 5 per cent.

Chancellor George Osborne announced earlier this week that the scheme would be extended to existing properties from the start of next year, though in this case it will take the form of a mortgage guarantee for a loan covering up to 15 per cent of the purchase price.

Goldsmith said Help to Buy added an "extra layer of complexity" to the conveyancing process.

"While the number of people applying for Help to Buy increases, there are limited numbers of conveyancers who have experience of the additional paperwork involved," he said.

Goldsmith said many of the thousands of buyers involved had been forced to change their conveyancer half way through because their initial choice lacked sufficient knowledge and training.

"Lack of expertise in this new area can lead to delays which could mean the buyer loses their purchase, so our advice to new buyers is to choose your conveyancer carefully and don't settle for anything less than an expert."

Jonathan Smithers, partner at CooperBurnett, said conveyancers across the country were "incredibly busy" and very few had chosen to specialise in Help to Buy.

"The market has got much better, but that could be for a variety of reasons. The economy is stronger and mortgages are more easily available."

Smithers said he had not carried out a Help to Buy transaction, but he had been told by someone who had that the documents were quite complex, just as they were with the key worker schemes.

"Firms will find out more about Help to Buy when they get the instructions," Smithers said. "Knowledge will improve and the market will learn to cope, but people may have to pay more."