To ask the Secretary of State for Housing, Communities and Local Government, if his Department will provide support to Help to Buy scheme customers of Target Housing who have been provided with incorrect templates by that organisation when seeking to apply for a (a) deed of postponement and (b) deed of release.
15 March 2021
Homes England have standard templates for Deed of Release (DOR) and Deed of Postponement (DOP). These are based on Land Registry requirements and incorporate relevant Homes England clauses and protections that relate to the equity loan. These are standard forms and ensure consistency and protection of public funds by being in a standard acceptable form.
Target Servicing Limited (Target), who administer the equity loan on behalf of Homes England, are provided these templates in the form of a Solicitors’ Pack. Target issues the Solicitors’ Pack to the customers’ conveyancing solicitor and this provides clear guidance about how to complete the appropriate template and how to follow the equity loan process.
This is a standard pack provided to every customer’s solicitor for the purposes of carrying out a DOP or DOR and each template ensures Homes England has the information required to complete an application. Lenders may attempt to introduce alternative templates that cannot be accepted as these deviate from Homes England standard policy and practice. In these circumstances, Target, working with the solicitor, request the correct Homes England template to be completed so the transaction can advance. It is important to stress that UK Finance were engaged in respect of Homes England’s standard template of Deed of Postponement and lenders are aware of Homes England’s requirements
Where customers are dissatisfied with the service they receive from Target, they can raise a complaint directly with them. If customers are not happy with the resolution, complaints can be escalated to Homes England customer complaints team as per the complaints policy.