As most people know, HM Land Registry is responsible for registering the ownership of property and land in England and Wales. It does this by requiring anyone who is buying a property or land or taking out a mortgage to register their ownership.
There are some restrictions to this, meaning that certain transactions are subject to certain conditions being met. These restrictions, which are recorded in the title register, can prevent a property from being sold, rented out, or money being borrowed against it, so let’s look at some of the most common.
1. Form G restriction
Used when there is a tenant for life and settlement trustees, no transfer can be made without authorisation by the Settled Land Act 1925.
2. Form LL restriction
Designed to prevent fraud by someone pretending to be a property owner, a form LL restriction is useful for landlords or those who don’t live in their property. It means that no transactions can take place unless a solicitor or conveyancer verifies the owner’s identity first. Legal firms such as https://www.parachutelaw.co.uk/form-ll-land-registry-restriction can provide advice on this.
3. Form M restriction
Form M restricts any changes to a registered property, other than a mortgage, without a signed certificate confirming that any requirements have been met.
4. Form P restriction
Excluding mortgages, this means any change or transfer in property ownership must be approved by the mortgage holder in writing.
5. Form Q restriction
Written consent is required from the representatives of a person who has died before the ownership can be transferred.
6. Form U restriction
No lease or transfer can be registered without a certificate from the relevant local authority.
According to HM Land Registry, a restriction does not guarantee the validity of any interest it is seeking to protect. This means legal advice is recommended before registering a restriction or seeking to remove it.
As with any property ownership or tenancy agreement, it is always best to obtain legal advice first to ensure you can change any restrictions if your circumstances change.