1. INTRODUCTION AND PURPOSE This document has been prepared for the use of conveyancers engaged to act for the Bank’s Clients in relation to Home Purchase Plans (“HPP”) and Buy-To-Let Purchase Plans (“BTLPP”) provided by the Bank. Due to the nature of these products, the Bank will be independently represented by its own solicitors on the finance aspects and management of the Conditions Precedents only. The Bank instructs you for the purposes of and will be relying on your Certificate of Title, which incorporates the Law Society and UK Finance approved Certificate of Title, and you agree to this. The Bank is a member of UK Finance but does not use the UK Finance Mortgage Lenders’ Handbook for Conveyancers (the “Handbook”). This document sets out information regarding the main queries generally raised by conveyancers and which may otherwise have been covered by the Handbook. Please ensure you raise any enquiries with the Bank which would ordinarily be answered within Part 2 of the Handbook. Where a contact point is usually requested under the Part 2 requirements, please refer all enquiries to the Bank's solicitors to review and confirm whether the Bank will agree to proceed. Please assume that the Bank requires instructions to be taken on all matters before you can proceed. Back to Contents

1. INTRODUCTION AND PURPOSE 2. DEFINED TERMS AND INTERPRETATIONS (a) Definitions (b) Interpretations 3. DIMINISHING MUSHARAKAH STRUCTURE AND ADVICE 3.1 How will the Bank's financing operate? 3.2 Acquisition Payment Profile 3.3 Ability to Advise the Client on the Finance Documents 3.4 Legal Advice to the Client 3.5 Legal Advice to Interested Parties (Guarantor, Donor or other) 3.6 Independent Legal Advice Letter for Guarantors, etc. 3.7 Subordination of Shareholder/Director Loans 3.8 Joint Applicants 4. LEASEHOLD QUERIES 4.1 Notices to Landlord/Management Company 4.2 Shares in the Freehold/Management Company 4.3 Energy Service Agreements 4.4 Alienation Restrictions in the Superior Lease 4.5 Ground Rent limits 4.6 Seller/Developer Unwilling to Transfer to Bank 4.7 Lease Term 4.8 Leasehold Interest with Freehold Charge 4.9 Enfranchisement 4.10 Building Safety Act 2022 5. THE DOCUMENTS 5.1 Original Documents 5.2 Additional Documents 5.3 Amendments to Agreements 5.4 Witnessing Documents 5.5 Offer Letter 6. FUNDS FLOW 6.1 Finance of Deposit/Balance – Gift/Second Mortgagee 6.2 Funds Held in Joint Account 7. STAMP DUTY LAND TAX (SDLT) AND CAPITAL GAINS TAX (CGT) 7.1 Submitting Returns and Paying SDLT 7.2 SDLT Additional Relief 7.3 SDLT Rebates 7.4 Capital Gains Tax (CGT) 7.5 Tax Planning 8. INSURANCE 8.1 New Home Warranty Schemes 8.2 Indemnity Insurance 8.3 Absent or Insolvent Landlords 8.4 Buildings Insurance 9. CERTIFICATE OF TITLE (COT) 9.1 Why do you need to provide a COT? 9.2 Who is required to sign the COT? 10. DISCLOSURES 10.1 Disclosures to the COT 10.2 Disclosure of Incentives 10.3 Environmental Reporting 10.4 EPC Ratings 10.5 Licences 10.6 HMO Licenses – Refinance 10.7 Title Guarantee 10.8 Unencumbered Title 10.9 Flying Freehold Conditions 10.10 Crisscross Leases (Sometimes known as “Tyneside Leases”) 11. COMPLETION 11.1 Offshore Seller 11.2 Notice of Completion to the Bank 11.3 Funds Remittance – when will they be available? 12. POST COMPLETION 12.1 Registration 12.2 Removal of Security 12.3 Legal Representation on Redemption 13. PROCESS AGENT 13.1 Process Agent 14. CORPORATE FAQs 14.1 Board Minutes and Director's Certificate 14.2 Copies of the Corporate Authorisations 15. SEARCHES 15.1 Does the Bank accept search insurance and, if yes, what are the Bank's specific requirements? 15.2 Does the Bank accept personal searches? 16. POLICY EXCEPTIONS

4. LEASEHOLD QUERIES 4.1 Notices to Landlord/Management Company Where required, any notice of transfer, sublease and charge are to be served pursuant to the Superior Lease (meaning the lease (if any) by which the Property is vested in the Bank) by the Client's Solicitor once completion has taken place. You must provide copies of the receipted notices to the Bank's solicitors. The Bank's solicitors will provide you with template notices during the transaction for you to complete and submit along with the required fee. 4.2 Shares in the Freehold/Management Company The Client's Solicitor is required to confirm if there is a management company and whether a 'purchaser' (i.e., the Bank) is required to become a member or shareholder of the management company. The Bank would prefer your Client to become a member or shareholder of the Management Company but acknowledges that this may not always be possible. If your Client becomes a member or shareholder, the Bank will require a signed, but undated, stock transfer form to allow transfer of the management share(s) to the Bank if required. Please liaise with the management company and/or freeholder to confirm whether your Client can become the member of the management company. If that is not possible, please confirm whether the Bank must become a member and what is required for the Bank to become a member and provide the forms for completion. If the Bank is required to become a member or shareholder, please confirm with the Management Company and/or freeholder if your Client can be appointed as the Bank’s Proxy, as that would be the Bank’s preference. 4.3 Energy Service Agreements Where the lease requires the leaseholder to enter into an energy service agreement, you should ensure that the Client can enter into this instead as the underlesee. 4.4 Alienation Restrictions in the Superior Lease Please ensure you review the alienation provisions and restrictions in the Superior Lease as soon as possible and liaise with the relevant third parties urgently to obtain any consents and/or licences and/or deeds of covenant required for the transaction. Please note that where any licences, deeds of covenants or Leases need to be executed by the Bank, we expect these documents to be fully vetted by your firm as the certifying solicitor. Any unusual terms must be reported to us in an addendum to the Certificate of Title for consideration. All costs associated with any such documents and notices must be borne by the Client. For ease, please note that there are multiple stages to this facility including: a) the transfer of the property to the Bank from either the seller or Client; b) the Lease from the Bank to Client; and c) the charge granted from the Client to the Bank. Please note, the Lease (between the Bank and the Client) is drafted so that it terminates on the Final Completion Date (as defined in the Diminishing Musharakah Agreement) at which stage the Bank has promised to sell the property to the Client and the Client has promised to buy the property from the Bank. Therefore, the Lease does not provide security of tenure which may assist in analysing whether consent is required under the Superior Lease. Please also note that the Lease requests the Client to give the following covenant in the Schedule, paragraph 6: "To observe and perform and comply with the lessee's covenants in any Superior Lease (if any) to the extent that those covenants are not already required to be complied with under the provisions of the Lease". If the landlord and/or management company have confirmed that a requirement in the Superior Lease is waived in light of the financing structure, you must provide the Bank's solicitors with written evidence to be relied upon. 4.5 Ground Rent limits You must flag to the Bank's solicitors whether the current or future ground rent will exceed 0.2% of the value of the property. The Bank's solicitors will report this to the Bank and valuer for consideration. The Bank will not accept ground rent reviews that are reviewed more frequently than every 5 years against RPI or equivalent index. 4.6 Seller/Developer unwilling to transfer to Bank If the developer and/or seller does not agree to directly grant the lease of/sell the property to the Bank, the structure will be as follows: a) the lease/sale from the developer/seller to the Client; b) the transfer of the property from the Client to the Bank; c) the Lease from the Bank to the Client; and d) the charge granted from the Client to the Bank. All four stages (a) to (d) above will take place simultaneously. The Bank will not take an assignment of the contract. The contract must have been entered into only by the Client. 4.7 Lease Term The minimum unexpired lease term for any leasehold property must be 70 years from the date of completion, subject to 40 years remaining at the end of the finance term. The Superior Lease must not contain any onerous or unusual covenants or restrictions. There must be no outstanding disputes in relation to any breach of provision and all sums due under the Superior Lease must be paid up to the date of completion. Where the Superior Lease term is shorter than the valuer has indicated in their valuation, this should be flagged to the Bank's solicitors to refer back to the valuer for consideration. 4.8 Leasehold Interest with Freehold Charge Where the client holds/is purchasing the leasehold and the Client also owns/will own the freehold interest in the property, the Bank will require (in addition to holding registered leasehold title as per the diminishing Musharakah structure) a charge over the freehold interest as well. Where a leasehold is being financed and your Client or the ultimate beneficial owner of your Client owns or controls (whether through shareholding, directorship or otherwise) the freehold, the Bank will require a charge over both the leasehold and freehold. 4.9 Enfranchisement Following completion, the Bank will become the registered proprietor of the title to the Property and this could affect your Client’s ability to make an application to extend the lease or acquire an interest in the freehold/superior title. The Bank would prefer not to be involved with any such application and so your Client should arrange for any such transaction to take place before completion. 4.10 Building Safety Act 2022 If the Property is leasehold, you must determine whether the property is located in a ‘relevant building’ as defined in the Building Safety Act 2022. If the Property is impacted by the Act, you must procure and confirm: a) Confirmation as to whether the building has been or will be remediated under the Building Safety Act 2022. b) Copies of any Landlord’s Certificates, signed by the Landlord in the form set out in the Building Safety (Leaseholder Protections) (England) Regulations 2022. c) Copies of any executed Leaseholder Deed of Certificate (in the form set out in the Building Safety (Leaseholder Protections) (England) Regulations 2022) and confirmation that they have been submitted by the relevant leaseholder to the landlord. d) The developer has signed a Developer's Remediation Contract with the Government. If any of the above cannot be confirmed, please refer to the Bank for further instructions and comments from the valuer. In all cases, you must advise your client of the consequences, including any unavailability of a cap on a financial contribution to remediation costs through the service charge levied by the freeholder and your client’s liability to the Bank for those costs under the Purchase Plan terms and conditions. Back to Contents

Solicitors' Guide Welcome to the Gatehouse Bank Solicitors' Guide. This resource has been prepared for the use of conveyancers engaged to act for Gatehouse Bank's customers in relation to Home and Buy-to-Let Purchase and Refinance Plans. Handbook Document Downloads

Documents We Need About Occupiers and Donors If applicable, please download, complete and return the Occupancy Declaration signed by your clients (home purchase/re-finance matters only). If applicable, please download, complete and return an Occupier's Consent, signed by each adult occupier (home purchase/re-finance matters only) . If applicable, please download, complete and return the Occupier's ILA (non-applicant spouses and civil partners only) If applicable, please download, complete and return the Donor's ILA (non-applicant spouses and civil partners only) If applicable, please download, complete and return the Donor's Consent and Undertaking (non-applicant spouses and civil partners only) Download Download Download Download Download

Corporate Customer Conditions Please download, complete and return a certified copy of the Board Minutes. Board Minutes (more than one director) Minutes and Resolution (sole director) Please download, complete and return a certified copy of the Director's Certificate. Directors Certificate (more than one director) Directors Certificate (sole director) Please download, complete and return a certified copy of the Shareholder Resolution. Shareholder Resolution - Conflict of Interest (more than one shareholder) Please download, complete and return the Guarantor Letter of ILA. Independent Advice Letter – Guarantor If a guarantor is based overseas, please download, complete and return a Guarantor Process Agent Letter. Process Agent Letter – Guarantor Download Download Download Download Download Download Download

9. CERTIFICATE OF TITLE (COT) 9.1 Why do you need to provide a COT? One of the Bank's conditions precedents (CPs) for completion is for the Client's Solicitor to provide a signed COT in the form that has been sent to you by the Bank's solicitors. As you are aware, in a conventional setting, you would have the same firm representing client and bank. In the usual way, you would submit a COT to the conventional bank to request drawdown of funds. In Home Purchase Plans and Buy-To-Let Purchase Plans structures, due to the involvement of a lease and the landlord and tenant relationship between the Bank and the Client, each party must be separately represented to avoid any conflicts of interest. Essentially, this is a form of hybrid representation whereby the Bank’s solicitor's involvement is required to ensure compliance with the SRA Code of Conduct as well as monitor satisfaction of the finance CPs in favour of the Bank. The COT will be reviewed by the Bank's solicitors who will prepare an overview report on the security to the Bank including reference to the other documents requested from you. The Bank's solicitors do not undertake any property due diligence nor are they instructed to do so and therefore they cannot and will not provide the COT. 9.2 Who is required to sign the COT? The COT must be signed by a solicitor or Licenced Conveyancer (being a partner employed in your practice) who will be deemed authorised to sign it. Back to Contents

7. STAMP DUTY LAND TAX (SDLT) / LAND TRANSACTION TAX (LTT) and CAPITAL GAINS TAX (CGT) 7.1 SDLT / LTT in the Context of Islamic Finance There are usually three stages for each transaction: (i) the transfer of the property from the Client/seller to the Bank; (ii) the Lease from the Bank to Client; and (iii) the transfer from the Bank to the Client on maturity. On a refinance, all three stages (i) to (iii) are exempt from SDLT under the alternative property financing rules (refer to the Finance Acts). In box 9 of the Return, the answer will be 'yes' and the code will be 24 and boxes 14-15 will be £0.00 as no SDLT will be payable. On a purchase, stage (ii) and (iii) are exempt from SDLT under the alternative property financing rules however stage (i) (where it is a transfer from the seller to the Bank) attracts SDLT in the usual way and is payable by the Client. If on maturity, if the Client sells the property and the Bank is required to transfer it to a third-party buyer, the buyer will pay SDLT in the usual way. If the Client is not selling the property and the Bank is required to transfer it back to the Client, the Client will not be required to pay SDLT (see paragraph (b) above). If the Client is buying a new build property and the developer is unable to grant the lease directly to the Bank, there will be an additional stage (making it four stages). In which case, SDLT is payable on the initial lease/sale from the developer to the Client, and the remaining three stages (i) to (iii) above are exempt. HM Revenue and Customs (HMRC) have prepared a guide on the use of alternative property finance relief, which you can access here . The Land Registry's Practice guide 69 deals with Islamic Finance and SDLT on Diminishing Musharakah at section (3)(2). You may also wish to refer to the Finance Acts, which contain provisions on alternative financing and the tax treatment. 7.2 Submitting Returns and Paying SDLT / LTT You are required to draft and submit all SDLT / LTT returns and pay any SDLT / LTT due to HMRC / The Welsh Revenue Authority (WRA) within the relevant timeframe. You will need to provide copies of all returns to the Bank's solicitors to review. You are responsible for ensuring any tax liability has been calculated correctly and that the returns are completed accurately. In particular, you must ensure: 1. The correct reference is used with any payment you submit to HMRC / WRA; 2. Payment of any tax due is made against the correct return; 3. Any relief being claimed is applied correctly; 4. Each return is completed accurately and in full; and 5. All returns and payments are submitted within the required timeframes. A return is required for each disposal. In relation to the return where the Bank is the purchaser, you should be noted as the agent. Satisfaction of the conditions precedent relating to SDLT / LTT in the conditions precedent checklist by the Bank’s solicitors may be taken as confirmation you have the Bank’s authority to submit this return on the Bank’s behalf. The Bank will not sign the Return unless you are submitting a postal return. If you choose not to submit a return in respect of the grant of the lease back to your Client, you will need to submit to HM Land Registry a letter with that application to explain why no SDLT5 has been provided. Land Registry have provided the following example letter that you may wish to adopt. Dear Land Registry Property: [full property description of the property in respect of which the lease is granted] There is no requirement to file an SDLT return where (as in this case) an alternative property finance arrangement has been used to comply with sharia law, and the alternative finance provider pays the SDLT under the arrangement. In accordance with section 71A(3) of the Finance Act 2003, a second transaction is exempt from charge if the SDLT requirements relating to the first transaction are complied with, including payment of any stamp duty land tax due on the first transaction. We hereby confirm that the Property has been purchased by [name of tenant under the lease] under an alternative sharia property finance arrangement. This transaction is the second transaction under the arrangement, and we confirm that all SDLT provisions as required by the Finance Act 2003 relating to the first transaction have been complied with. Therefore, the second transaction which forms the subject of this lease application is not notifiable and an SDLT return is not required. Yours faithfully [lodging conveyancer name] Where you receive initial instructions from the Bank’s solicitors on or after 1 October 2024: You will need to retain the SDLT5 certificate for your Land Registry applications. Where you receive initial instructions from the Bank’s solicitors before 1 October 2024: You will need to provide the Bank's solicitors with an SDLT5 for each Return in accordance with your completion undertakings. Once completion has taken place, the Bank’s solicitors will provide to you via email a URL to an online form. You must complete the online form to provide details of your SDLT / LTT submission within 14 days of completion. 7.3 SDLT Additional Relief If you are proposing to use any relief other than code 24 (e.g. group relief or multiple dwellings relief) you are required to expressly provide the Bank's solicitors with a copy of the tax advice received by the Client confirming why the relief has been sought and on what grounds for our information only. The Bank's solicitors may need to refer this to their tax team for comments. 7.4 SDLT Rebates Please advise your Client that it is their responsibility to trigger the process where an SDLT rebate is applicable. Your Client/your firm should advise the Bank/the Bank’s solicitor as soon as you become aware that a rebate is to be applied for. 7.5 Tax Planning It is the customer’s responsibility to declare any tax planning at the outset and the Bank reserves the right to take further advice on the same, at the customer’s cost. Back to Contents

6. FUNDS FLOW 6.1 Finance of Deposit/Balance – Gift/Second Mortgagee Please confirm expressly if the Client will be obtaining funds from another third party to either pay for the deposit (if any) or fund the balance required to purchase or refinance the property. If funds were or are being gifted from another source, the Bank's solicitors will require a Gift Letter (setting out the details of the gift and confirmation that the donor will not acquire any interest in the property) to be signed. The donor, as an interested party, may also need to be independently advised. Please see paragraph 3.5 above for cases where independent legal advice is required. The Bank will not agree to the involvement of another financial institution in financing or taking over the property or the grant of a second charge. Please ensure that you obtain a clear bankruptcy search and insolvency act indemnity insurance policy against the donors of any gifts before completion. 6.2 Funds Held in Joint Account Funds held in the joint account used to fund the Client’s Contribution are not considered as gifted deposit. However, the Joint account holder(s) must sign a waiver of interest/ rights form but are not required to be provided with independent legal advice unless the circumstances at 3.5 apply. Back to Contents

15. SEARCHES 15.1 Does the Bank accept search insurance and, if yes, what are the Bank's specific requirements? Purchases You must commission full searches including local search, LLC1, environmental, drainage and water, highways, flood, chancel and any others flagged by the search provider due to the location of the property (e.g., Crossrail, HS2, Mining, etc.). These searches should be no more than 6 months old on completion other than the local search and LLC1 which should be no more than 3 months old on completion. Search validation insurance will be accepted, if the previous searches were satisfactory and are not more than 3 months beyond the dates specified above for purchases. Please note the insurance conditions contained below, under the heading Search Insurance Criteria. No search insurance is NOT acceptable for purchases. Refinance/Release of Equity Search validation insurance is acceptable, if the previous searches were satisfactory and they are no more than 12 months old or, in the case of the local land charges search 9 months old, on completion, subject to the policy meeting the insurance conditions contained below, under the heading Search Insurance Criteria. No search insurance is acceptable subject to the policy meeting the insurance conditions contained below, under the heading Search Insurance Criteria. Search Insurance Criteria Where search insurance is acceptable to the Bank as per above, the following conditions must be met: i. the Bank's contribution is less than £1 million for refinances. ii. the Property value is less than £500k for purchases. iii. the Bank is a beneficiary of this indemnity insurance until the bank’s charge is settled; iv. the Client's Solicitor and the Bank’s Solicitor are satisfied that the Bank's interests are adequately safeguarded (at Client's risk); v. the insurance covers all usual searches that would be undertaken (local, land charges, drainage, chancel, environmental, highways, etc.); vi. the insurance provider is authorised by the PRA/FCA to provide such insurance; vii. the sum insured under the policy is an amount that is at least equal to the open market value of the property; and viii. the Client’s Solicitor certifies that the title is good and marketable and provides a clear and unqualified Certificate of Title without any disclosures (save with respect to the searches covered by the policy). 15.2 Does the Bank accept personal searches? Yes, the Bank will accept personal searches. The search provider must have appropriate professional indemnity insurance in place to cover the value of the property. Back to Contents

5. THE DOCUMENTS 5.1 Original documents Where you receive initial instructions from the Bank’s solicitors on or after 1 October 2024: Certified copies of all original documents signed by the Client, or any third parties must be provided to the Bank's solicitors at least five business days before completion. You will need to retain the original finance documents signed by your Client for your Land Registry applications. Where you receive initial instructions from the Bank’s solicitors before 1 October 2024: All original documents signed by the Client, or any third parties must be provided to the Bank's solicitors at least five business days before completion. 5.2 Additional Documents Documents are sent to the Bank in one pack for execution. Therefore, where additional documents are envisaged (e.g., deeds of covenant, licences, transfers, etc.), execution versions will be required as soon as possible (and no later than seven business days before completion) to ensure there is no delay in arranging execution by the Bank. 5.3 Amendments to Agreements The Agreements are in the Bank's standard form and cannot be negotiated nor amended in any way. 5.4 Witnessing Documents All Agreements are required to be witnessed by an independent, mature, third-party witness with no involvement in the transaction. The Client's Solicitor can witness the documents, but it is not a requirement of the financing that they do so. 5.5 Electronic Signatures The finance documents may be signed electronically by your Client, provided you are satisfied the requirements of HM Land Registry Practice Guide 82 (PG82) have been complied with in full, and you execute a certificate in the form provided in PG82 to confirm the conditions have been met. The finance documents will be executed by the Bank electronically, and the Bank’s solicitors will provide to you via email on completion the signed finance documents, together with a PG82 certificate and certified copy power of attorney under which the finance documents have been executed. 5.6 Offer Letter Offer Letters are valid for four months from the date of first issue by the Bank. If an Offer Letter was issued prior to 15th November 2023, it is valid for six months from the date of first issue. Please refer to the offer wording to ensure you advise your client correctly. The Bank will need to obtain credit re-approval to proceed after the offer has expired. You must advise the Bank's solicitors immediately if completion will not be taking place before the offer expires. Back to Contents

Documents We Need From Your Client(s) If any of your clients based overseas, please download, complete and return a Process Agent Letter. Download