Cardiff Bay leasehold conveyancing: Q and A’s
Frank (my husband) and I may need to rent out our Cardiff Bay basement flat for a while due to taking a sabbatical. We used a Cardiff Bay conveyancing practice in 2004 but they have closed and we did not have the foresight to seek any advice as to whether the lease prohibits the subletting of the flat. How do we find out?
Even though your previous Cardiff Bay conveyancing lawyer is no longer around you can review your lease to see if it allows you to sublet the property. The accepted inference is that if the lease is silent, subletting is permitted. There may be a precondition that you are obliged to seek permission from your landlord or other appropriate person before subletting. The net result is that you cannot sublet without first obtaining permission. Such consent is not allowed to be unreasonably turned down. If the lease does not allow you to sublet you will need to ask your landlord for their consent.
I am hoping to put an offer on a small detached house that appears to be perfect, at a great figure which is making it more attractive. I have subsequently discovered that it's a leasehold as opposed to freehold. I am assuming that there are issues purchasing a leasehold house in Cardiff Bay. Conveyancing solicitors have are about to be instructed. Will they explain the issues?
The majority of houses in Cardiff Bay are freehold rather than leasehold. This is one of the situations where having a local conveyancer used to dealing with such properties who can help the conveyancing process. It is clear that you are purchasing in Cardiff Bay so you should seriously consider shopping around for a Cardiff Bay conveyancing solicitor and check that they have experience in transacting on leasehold houses. First you will need to check the unexpired lease term. Being a leaseholder you will not be at liberty to do whatever you want to the property. The lease comes with conditions for example requiring the landlord’spermission to conduct changes to the property. You may also be required to pay a contribution towards the maintenance of the estate where the property is part of an estate. Your conveyancer will advise you fully on all the issues.
I've recently bought a leasehold flat in Cardiff Bay. Do I have any liability for service charges for periods before my ownership?
In a situation where the service charge has already been demanded from the previous lessee and they have not paid you would not usually be personally liable for the arrears. Strange as it may seem, your landlord may still be able to take action to forfeit the lease. A critical element of leasehold conveyancing for your conveyancer to ensure to have an up to date clear service charge receipt before completion of your purchase. If you have a mortgage this is likely to be a requirement of your lender.
If you purchase part way through an accounting year you may be liable for charges not yet demanded even if they relate to a period prior to your purchase. In such circumstances your conveyancer would normally arrange for the seller to set aside some money to cover their part of the period (usually called a service charge retention).
What are your top tips when it comes to choosing a Cardiff Bay conveyancing practice to deal with our lease extension?
If you are instructing a solicitor for your lease extension (regardless if they are a Cardiff Bay conveyancing practice) it is most important that they be familiar with the legislation and specialises in this area of conveyancing. We advise that you make enquires with several firms including non Cardiff Bay conveyancing practices before you instructing a firm. If the firm is ALEP accredited then that’s a bonus. Some following of questions might be useful:
- If they are not ALEP accredited then what is the reason?
Completion in due on the disposal of our £425000 garden flat in Cardiff Bay in just under a week. The managing agents has quoted £372 for Landlord’s certificate, insurance certificate and previous years service charge statements. Is it legal for a freeholder to charge exorbitant fees for a leasehold conveyance in Cardiff Bay?
Cardiff Bay conveyancing on leasehold apartments usually involves fees being levied by landlords agents :
- Addressing pre-exchange questions
- Where consent is required before sale in Cardiff Bay
- Supplying insurance information
- Deeds of covenant upon sale
- Registering of the assignment of the change of lessee after a sale
I invested in buying a 2 bed flat in Cardiff Bay, conveyancing was carried out half a dozen years ago. Can you please calculate a probable premium for a statutory lease extension? Equivalent flats in Cardiff Bay with over 90 years remaining are worth £263,000. The average or mid-range amount of ground rent is £65 yearly. The lease finishes on 21st October 2079
With only 58 years left to run we estimate the price of your lease extension to range between £25,700 and £29,600 as well as professional fees.
The suggested premium range above a general guide to costs for extending a lease, but we cannot give you a more accurate figure in the absence of comprehensive investigations. Do not use this information in a Notice of Claim or as an informal offer. There may be additional concerns that need to be taken into account and you obviously should be as accurate as possible in your negotiations. Please do not take any other action placing reliance on this information before getting professional advice.