Common questions relating to Chester leasehold conveyancing
Harry (my fiance) and I may need to sub-let our Chester garden flat for a while due to taking a sabbatical. We instructed a Chester conveyancing practice in 2001 but they have closed and we did not think at the time get any advice as to whether the lease prohibits the subletting of the flat. How do we find out?
Some leases for properties in Chester do contain a provision to say that subletting is only allowed with permission. The landlord is not entitled to unreasonably withhold but, in such cases, they would need to see references. Experience dictates that problems are usually caused by unsatisfactory tenants rather than owner-occupiers and for that reason you can expect the freeholder to take up the references and consider them carefully before granting consent.
Estate agents have just been given the go-ahead to market my garden apartment in Chester.Conveyancing solicitors are to be appointed soon but I have just received a quarterly maintenance charge invoice – should I leave it to the buyer to sort out?
Your conveyancing lawyer is likely to suggest that you should pay the invoice as normal because all ground rent and service charges will be apportioned on completion, so you will be reimbursed by the buyer for the period running from after the completion date to the next payment date. Most management companies will not acknowledge the buyer unless the service charges have been paid and are up to date so it is important for both buyer and seller for the seller to show that they are up to date. Having a clear account will assist your cause and will leave you no worse off financially.
I've found a house that appears to be perfect, at a reasonable price which is making it all the more appealing. I have subsequently discovered that the title is leasehold rather than freehold. I would have thought that there are issues buying a house with a leasehold title in Chester. Conveyancing lawyers have are soon to be instructed. Will they explain the issues?
Most houses in Chester are freehold rather than leasehold. In this scenario it’s worth having a local conveyancer used to dealing with such properties who can help the conveyancing process. it is apparent that you are buying in Chester in which case you should be shopping around for a Chester conveyancing practitioner and check that they have experience in transacting on leasehold houses. First you will need to check the unexpired lease term. Being a lessee you will not be at liberty to do whatever you want with the house. The lease comes with conditions such as requiring the freeholder’sconsent to conduct alterations. It may be necessary to pay a contribution towards the maintenance of the estate where the property is located on an estate. Your conveyancer will appraise you on the various issues.
I've recently bought a leasehold flat in Chester. Am I liable to pay service charges for periods before my ownership?
Where the service charge has already been demanded from the previous owner and they have not paid you would not usually be personally liable for the arrears. However, your landlord may still be able to take action to forfeit the lease. It is an essential part 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).
Do you have any top tips for leasehold conveyancing in Chester from the point of view of speeding up the sale process?
- Much of the frustration in leasehold conveyancing in Chester can be avoided if you instruct lawyers as soon as you market your property and request that they start to put together the leasehold documentation needed by the buyers solicitors.
- The majority freeholders or Management Companies in Chester levy fees for supplying management packs for a leasehold property. You or your lawyers should find out the fee that they propose to charge. The management information sought as soon as you have a buyer, thus accelerating the process. The average time it takes to receive management information is three weeks. It is the most frequent reason for delay in leasehold conveyancing in Chester.
- If you have carried out any alterations to the property would they have required Landlord’s permission? In particular have you installed wooden flooring? Chester leases often stipulate that internal structural alterations or laying down wooden flooring require a licence from the Landlord approving such changes. Should you dont have the consents to hand do not communicate with the landlord without contacting your lawyer first.
- If you hold a share in a the freehold, you should ensure that you have the original share document. Organising a re-issued share certificate is often a lengthy formality and delays many a Chester conveyancing deal. If a new share is required, you should approach the company officers or managing agents (if applicable) for this sooner rather than later.
- You believe that you know the number of years remaining on your lease but it would be wise to verify this via your solicitors. A purchaser's conveyancer will not be happy to advise their client to to exchange contracts if the lease term is below 80 years. It is therefore essential at an as soon as possible that you identify whether the lease for your property needs extending. If it does, contact your solicitors before you put your premises on the market for sale.
I am the registered owner of a garden flat in Chester, conveyancing was carried out in 2001. Can you please calculate a probable premium for a statutory lease extension? Similar properties in Chester with over 90 years remaining are worth £239,000. The ground rent is £45 invoiced annually. The lease ends on 21st October 2079
With only 53 years left to run we estimate the premium for your lease extension to range between £37,100 and £42,800 plus legals.
The figure that we have given is a general guide to costs for extending a lease, but we cannot give you the actual costs without more comprehensive investigations. You should not use the figures in tribunal or court proceedings. There may be additional issues that need to be taken into account and clearly you want to be as accurate as possible in your negotiations. Neither should you move forward placing reliance on this information without first getting professional advice.