What is a first legal charge?
Likewise, people ask, what is a first charge on a property?
First Charge And the legal charge creates a hold on the property, a legal interest in the property that needs to be repaid before anything can happen to the property. That's a First Charge and it means that nobody except the First Charge holder has a greater right or interest in that property.
Secondly, what is a legal charge? A legal charge is a method by which a lender protects the money they have lent to an individual or company. The legal charge itself will normally set out the amount borrowed, the terms on which it has been borrowed and the means by which the lender can enforce their rights against the property.
Also Know, what is first and second charge?
A first charge is a result of taking out a home loan when you have no outstanding mortgage balance. The lender has the first charge because it is the only charge. It should be obvious that a second charge applied to a secured home loan means the borrower still has an outstanding mortgage balance.
Can you sell a house with a charge on it?
If a Charging Order has been issued against your property you can sell at any time if there is sufficient equity in the property to pay the charge in full. Sufficient equity in your property to pay the charge.