Frequently asked questions relating to Chesterfield leasehold conveyancing
I am in need of some leasehold conveyancing in Chesterfield. Before diving in I want to be sure as to the number of years remaining on the lease.
If the lease is registered - and almost all are in Chesterfield - 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 am intending to let out my leasehold apartment in Chesterfield. Conveyancing solicitor who did the purchase is retired - so can't ask him. Is permission from the freeholder required?
Some leases for properties in Chesterfield do contain a provision to say that subletting is only allowed with permission. The landlord is not entitled to unreasonably refuse but, in such cases, they would need to review references. Experience suggests 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.
There are only Sixty One years remaining on my flat in Chesterfield. I now want to extend my lease but my landlord is can not be found. What options are available to me?
On the basis that you qualify, under the Leasehold Reform, Housing and Urban Development Act 1993 you can submit an application to the County Court for for permission to dispense with the service of the initial notice. This will mean that your lease can be extended by the Court. You will be obliged to prove that you or your lawyers have used your best endeavours to find the freeholder. In some cases a specialist should be helpful to carry out a search and to produce an expert document to be used as proof that the freeholder can not be located. It is wise to seek advice from a solicitor both on proving the landlord’s disappearance and the application to the County Court overseeing Chesterfield.
I've recently bought a leasehold property in Chesterfield. Do I have any liability for service charges relating to a period prior to completion of my purchase?
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. 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 Chesterfield with the purpose of speeding up the sale process?
- A significant proportion of the frustration in leasehold conveyancing in Chesterfield can be reduced if you get in touch lawyers as soon as you market your property and ask them to collate the leasehold information needed by the purchasers’ lawyers.
- If you have carried out any alterations to the residence would they have required Landlord’s approval? Have you, for example laid down wooden flooring? Chesterfield leases often stipulate that internal structural changes or laying down wooden flooring require a licence issued by the Landlord consenting to such changes. If you dont have the consents to hand you should not communicate with the landlord without checking with your solicitor in advance.
- If there is a history of conflict with your landlord or managing agents it is essential that these are resolved before the property is put on the market. The buyers and their solicitors will be reluctant to purchase a property where there is a current dispute. You will have to accept that you will have to discharge any arrears of service charge or resolve the dispute prior to completion of the sale. It is therefore preferable to have any dispute settled ahead of the contract papers being issued to the buyers’ solicitors. You will still have to reveal particulars of the dispute to the purchasers, but it is better to reveal the dispute as historic rather than ongoing.
- If you hold a share in a the freehold, you should make sure that you hold the original share document. Obtaining a re-issued share certificate is often a time consuming process and frustrates many a Chesterfield home move. Where a duplicate share is needed, do contact the company director and secretary or managing agents (where applicable) for this as soon as possible.
- You believe that you know the number of years left on your lease but you should double-check by asking your conveyancers. A purchaser's conveyancer will be unlikely to recommend their client to where the lease term is under 75 years. In the circumstances it is essential at an early stage that you identify whether the lease requires a lease extension. If it does, contact your solicitors before you put your premises on the market for sale.
I purchased a 1st floor flat in Chesterfield, conveyancing was carried out half a dozen years ago. Can you give me give me an indication of the likely cost of a lease extension? Similar flats in Chesterfield with an extended lease are worth £189,000. The average or mid-range amount of ground rent is £45 per annum. The lease terminates on 21st October 2091
With just 65 years unexpired we estimate the premium for your lease extension to range between £16,200 and £18,600 plus legals.
The figure that we have given is a general guide to costs for extending a lease, but we cannot give you a more accurate figure without more detailed investigations. You should not use the figures in a Notice of Claim or as an informal offer. There are no doubt other issues that need to be considered and you obviously want to be as accurate as possible in your negotiations. Please do not take any other action placing reliance on this information before getting professional advice.