Amalgamation of title deeds

Hello, my husband and I owned two cottages next to each other and made them into one dwelling several years ago. One front entrance, one staircase, one kitchen, one council tax, one set of utility meters etc. It has now become apparent that since merging the two properties it has become almost impossible to mortgage a property with two titles, even though both are the same (freehold). 

We are trying to remortgage but every lender is saying we can only do so if the titles are amalgamated. They have put this in writing. We meet all the criteria for amalgamation e.g same tenure, title type, ownership etc.

When we make the application for amalgamation and send the paperwork from the new lender advising the mortgage is dependent upon the amalgamation, will that be sufficient or would I need to get permission from our current lender even though they will be removed from the titles and replaced by the new lender?

Hello Angela - the 'new' lender information should be used to request expedition AFTER you have submitted your application - Request an expedite - GOV.UK 
If it's not expedited then you will wait several months at least before processing starts
The following explains what's required re applying for actual amalgamation

An amalgamation is the joining of two or more parcels of registered or unregistered estates affecting different extents of land under a single registered title.

We do not amalgamate titles unless some positive advantage accrues to a number of prospective purchasers (such as an amalgamation of areas of land comprising a housing development), or the request does not add unnecessarily to our workload.

Amalgamation can only happen where: 

• the estates are of the same kind [for example, freehold title] 
• the estates are owned by the same proprietor[s] and in the same capacity [for example, if an owner holds one title as joint proprietor and another as sole proprietor, amalgamation of the two cannot take place]
• the impact upon any encumbrances on individual titles, such as mortgages, have been accounted for - I assume that the existing mortgage covers both registered titles 

If you wish to apply for amalgamation you will need to complete and submit:

• Form AP1
• a covering letter outlining the reasons for the request along with any supporting evidence [If you are being refused insurance, for example, then you should include a copy of that refusal with the application]
• a sufficient description or plan of the land being amalgamated 
• a fee of £40.00 [cheques/postal orders to be made payable to HM Land Registry

To find out where to send the completed form, see Land Registry address for applications.

Your application and any supporting documentation will be considered on receipt.

Land registration is complex, designed to protect legal and financial interests in property. There can be significant consequences for any error. Please consider seeking legal representation. Before making an application without legal representation, it is important to consider the benefits of using a conveyancer.

Thank you Adam. Apologies on my delayed response, I’ve had a few health issues. Could you please confirm that we can amalgamate one property’s title with the other if one property has both the leasehold AND freehold in our names? When we bought the property it had an absent landlord but we were able to purchase the freehold through the courts (which took significant time). I’m aware we can merge these titles to a freehold title but is it possible to amalgamate the two freehold titles at the same time or can we just go straight to amalgamation via AP- as we own all titles in the same capacity? Many thanks in advance. Angela

Hi Angela - I have responded to your further post in the absence of my colleague. 

In addition to what my colleague mentioned, I would add that we would only consider amalgamating two titles if they were both held in same legal capacity.  If, as you mention, one title has a leasehold and freehold (presumably other is only freehold) then it adds an additional legal estate which makes amalgamation not straight forward. 

Thank you Nimish. Would you recommend requesting a merger of the leasehold & freehold of the one property first then to make the amalgamation request more straightforward? 

Hi Angela - That is something that you need to discuss with your legal advisor.  It is not something I can tell you.