Having had my offer accepted I require leasehold conveyancing in Borth. Before I set the wheels in motion I would like to find out the remaining lease term.

If the lease is registered - and 99.9% are in Borth - then the leasehold title will always include the short particulars of the lease, namely the date; the term; and the original parties. From a conveyancing perspective such details then enable any prospective buyer and lender to confirm that any lease they are looking at is the one relevant to that title.For any other purpose, such as confirming how long the term was granted for and calculating what is left, then the register should be sufficient on it's own.

I've found a house that appears to be perfect, at a great price which is making it more attractive. I have since discovered that the title is leasehold rather than freehold. I am assuming that there are issues buying a house with a leasehold title in Borth. Conveyancing solicitors have are soon to be appointed. Will my lawyers set out the implications of buying a leasehold house in Borth ?

The majority of houses in Borth are freehold rather than leasehold. In this scenario it’s worth having a local solicitor who is familiar with the area can assist with the conveyancing process. It is clear that you are purchasing in Borth in which case you should be shopping around for a Borth conveyancing solicitor and check that they have experience in advising on leasehold houses. As a matter of priority you will need to check the number of years remaining. Being a tenant you will not be entirely free to do whatever you want to the property. The lease comes with conditions for example obtaining the landlord’sconsent to conduct changes to the property. It may be necessary to pay a service charge towards the maintenance of the estate where the property is located on an estate. Your lawyer should advise you fully on all the issues.

I am attracted to a couple of maisonettes in Borth which have about 50 years left on the lease term. Will this present a problem?

There are plenty of short leases in Borth. The lease is a legal document that entitles you to use the premises for a period of time. As the lease gets shorter the value of the lease decreases and results in it becoming more costly to acquire a lease extension. This is why it is generally wise to increase the term of the lease. Sometimes it is difficulties arise selling premises with a short lease because mortgage companies less inclined to grant a loan on properties of this type. Lease extension can be a difficult process. We advise that you seek professional help from a conveyancer and surveyor with experience in this arena

I work for a reputable estate agency in Borth where we see a number of leasehold sales jeopardised due to short leases. I have been given conflicting advice from local Borth conveyancing firms. Please can you shed some light as to whether the owner of a flat can commence the lease extension process for the purchaser on completion of the sale?

Provided that the seller has been the owner for at least 2 years it is possible, to serve a Section 42 notice to commence the lease extension process and assign the benefit of the notice to the purchaser. The benefit of this is that the buyer can avoid having to sit tight for 2 years to extend their lease. Both sets of lawyers will agree to form of assignment. The assignment has to be done prior to, or simultaneously with completion of the disposal of the property.

An alternative approach is to extend the lease informally by agreement with the landlord either before or after the sale. If you are informally negotiating there are no rules and so you cannot insist on the landlord agreeing to grant an extension or transferring the benefit of an agreement to the purchaser.

What makes a Borth lease problematic?

There is nothing unique about leasehold conveyancing in Borth. Most leases are individual and legal mistakes in the legal wording can sometimes mean that certain clauses are missing. The following missing provisions could result in a defective lease:

• A provision to repair to or maintain parts of the property
• A duty to insure the building
• Clauses dealing with recovering service charges for expenditure on the building or common parts.
• Maintenance charge proportions which don’t add up to the correct percentage

A defective lease can cause problems when trying to sell a property primarily because it impacts on the ability to obtain a mortgage on the property. National Westminster Bank, Norwich and Peterborough Building Society, and Godiva Mortgages Ltd all have express conveyancing instructions when it comes to what is expected in a lease. Where a lender has been advised by their lawyers that the lease is problematic they may refuse to provide security, forcing the purchaser to withdraw.

Leasehold Conveyancing in Borth - Examples of Questions you should consider before buying

The best form of lease structure is a share of the freehold. In this situation the leaseholders have control and notwithstanding that a managing agent is frequently retained if it is larger than a house conversion, the managing agent employed by the leaseholders. For many Borth leaseholds the cost for major works tend not to be wrapped into the service charges, although there some managing agents in Borth require tenants to contribute towards a sinking fund created for the specific intention of establishing a fund for major works. Is there a share of the freehold?

Other Topics

Lease Extensions in Borth