The ABC of Land Registry titles

Many properties in England and Wales have been registered with HM Land Registry, but how straightforward is a Land Registry title to read and understand?

Following the Law Commission Report in 2001 entitled Land Registration for the 21^st Century, it was proposed that changes to the Land Registry should be made to modernise electronic conveyancing.

Before electronic conveyancing, it would be difficult and time-consuming to read property deeds, as they typically come in a large bundle of historical documents. However, with the introduction of an online Land Registry title, it has become much easier to inspect a property title.

Once a property has been registered, it is given a unique title number. Each title number includes a title plan and an ‘Official Copy of Register of Title’. This is an official, modern alternative to the bundle of historical deeds you typically find with unregistered land.

Most title registers are split into the A, B and C registers. They include the following:

Section A – Property Register: This section includes a short description of the property, including a full postal address used as a reference when drafting any land registry forms.

Section A also includes matters that benefit the land, such as easements, rights, and positive covenants. Where the property is leasehold, it will also contain particulars of the lease, which will make it easy to identify against the title. This includes the names of the lessor/lessee, and both the date and the duration of the lease.

Section B – Proprietorship Register: This section shows the names of all registered proprietors, and the date they purchased the property. For sales since April 2000, this will show the price paid as well.

Section B will also include any restrictions on the property. There are many restrictions that may appear on a Land Registry title. Where trust conveyancing is concerned, the following restrictions are relevant:

• A restriction to show that the property is held as tenants in common:
  
  No disposition by a sole proprietor of the registered estate (except a trust corporation) under which capital money arises is to be registered unless authorised by an order of the court.
• A restriction which shows there is a Declaration of Trust over the property:
  
  No disposition by the proprietors of the registered estate is to be registered unless one or more of them makes a statutory declaration or statement of truth, or their conveyancer gives a certificate, that the disposition is in accordance with the declaration of trust made by Ron Weasley and Hermione Granger dated 1st January 2022, or some variation thereof referred to in the declaration, statement or certificate.
• A restriction which shows there are additional trustees:
  
  No disposition of the registered estate (other than a charge) by the proprietor of the registered estate, or by the proprietor of any registered charge, not being a charge registered before the entry of this restriction is to be registered without a written consent signed by Countrywide Tax & Trust Corporation Ltd of Gables House, 62 Kenilworth Road, Leamington Spa, Warwickshire CV32 6JX.

Section C – Charges Register: This section deals with any burdens that affect the property. This is where any information relating to a mortgage is found, and any restrictive covenants that bind the property.

An extensive list of restrictive covenants may exist over a property, as these were typically added with each passing conveyance and then became binding on the buyer. If a lease exists, there will also be a detailed explanation of the lease and its particulars.

A mortgage charge will typically have two entries in the Charges Register and will appear as follows:

1. (06.12.2018) REGISTERED CHARGE dated 27^th May 2021.

2. (06.12.2018) Proprietor: HABC BANK PLC (Co. Regn. No. 01234567) of 221b Baker Street, London, NW1 6XE.

 A mortgage charge will usually appear until the mortgage has been paid off and the mortgage broker has applied for the amount to be removed.

A mortgage charge will usually appear until the mortgage has been paid off and the mortgage broker has applied for the amount to be removed.

While the introduction of the electronic Land Registry title has undoubtedly come at a great benefit to conveyancers, there have been proposed reforms to the Land Registration Act 2002.

The Law Commission produced a report in 2018 with proposed improvements such as introducing a more straightforward method for electronic conveyancing and adding steps for conveyancers to verify the identity of their clients.

Both the Land Registry and the government also have a shared goal to complete the registration of all property by 2030, meaning every property in England and Wales should have a registered property title.

CTT Group deals with a wide range of conveyancing transactions, all of which require an inspection of the Land Registry title. As more and more properties become registered with HMLR, it is crucial to recognise how to read and understand a Land Registry title.

If you or your client have a conveyancing query regarding a property title, CTT group may be able to assist with this. Get in touch with one of the team.