Cheltenham leasehold conveyancing: Q and A’s
My wife and I purchased a leasehold house in Cheltenham. Conveyancing and Clydesdale mortgage went though with no issue. A letter has just been received from someone saying they have taken over the freehold. It included a demand for arrears of ground rent dating back to 1996. The conveyancing solicitor in Cheltenham who previously acted has now retired.What should I do?
The first thing you should do is contact the Land Registry to make sure that this person is indeed the new freeholder. There is no need to instruct a Cheltenham conveyancing firm to do this as it can be done on-line for less than a fiver. Rest assured that in any event, even if this is the legitimate landlord, under the Limitation Act 1980 the limitation period for recovery of ground rent is six years.
What are your top tips when it comes to choosing a Cheltenham conveyancing practice to deal with our lease extension?
If you are instructing a property lawyer for lease extension works (regardless if they are a Cheltenham conveyancing practice) it is essential that he or she should be familiar with the legislation and specialises in this area of conveyancing. We recommend that you talk with two or three firms including non Cheltenham conveyancing practices prior to instructing a firm. Where the conveyancing practice is ALEP accredited then so much the better. Some following of questions might be helpful:
- How familiar is the firm with lease extension legislation?
Do you have any top tips for leasehold conveyancing in Cheltenham with the purpose of speeding up the sale process?
- A significant proportion of the frustration in leasehold conveyancing in Cheltenham can be avoided if you get in touch lawyers as soon as your agents start marketing the property and ask them to collate the leasehold information needed by the buyers conveyancers.
- Many freeholders or Management Companies in Cheltenham charge for supplying management packs for a leasehold homes. You or your lawyers should discover the fee that they propose to charge. The management information can be applied for as soon as you have a buyer, thus accelerating the process. The typical amount of time it takes to receive management information is three weeks. It is the most common cause of delay in leasehold conveyancing in Cheltenham.
Our conveyancer has advised that he intends to complete and exchange simultaneously on the disposal of our £150000 apartment in Cheltenham in 5 days. The landlords agents has quoted £348 for Landlord’s certificate, insurance certificate and previous years statements of service charge. Is it legal for a freeholder to charge an administration fee for a leasehold conveyance in Cheltenham?
Cheltenham conveyancing on leasehold maisonettes normally results in fees being levied by landlords agents :
- Addressing pre-exchange enquiries
- Where consent is required before sale in Cheltenham
- Copies of the building insurance and schedule
- Deeds of covenant upon sale
- Registering of the assignment of the change of lessee after a sale
In relation to leasehold conveyancing in Cheltenham what are the most frequent lease problems?
There is nothing unique about leasehold conveyancing in Cheltenham. Most leases is drafted differently and drafting errors can sometimes mean that certain provisions are wrong. For example, if your lease is missing any of the following, it could be defective:
- Repairing obligations to or maintain parts of the building
- A duty to insure the building
- Clauses dealing with recovering service charges for expenditure on the building or common parts.
- Service charge per centages that don't add up correctly leaving a shortfall
A defective lease can cause problems when trying to sell a property as they can affect a potential buyer’s ability to obtain a mortgage. Nationwide Building Society, The Royal Bank of Scotland, and Barclays Direct all have express requirements when it comes to what is expected in a lease. Where a lender has been advised by their lawyers that the lease does not cover certain provisions they may refuse to provide security, forcing the buyer to pull out.
I bought a 1st floor flat in Cheltenham, conveyancing having been completed half a dozen years ago. Can you work out an approximate cost of a lease extension? Comparable flats in Cheltenham with a long lease are worth £200,000. The ground rent is £50 levied per year. The lease ceases on 21st October 2091
With just 66 years left to run we estimate the premium for your lease extension to be between £15,200 and £17,600 plus professional fees.
The figure that we have given is a general guide to costs for renewing a lease, but we cannot give you a more accurate figure without more detailed investigations. Do not use the figures in tribunal or court proceedings. There may be other concerns that need to be taken into account and clearly you should be as accurate as possible in your negotiations. Please do not move forward based on this information without first getting professional advice.
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