Common questions relating to Crowborough leasehold conveyancing
I am in need of some leasehold conveyancing in Crowborough. Before diving in I would like to find out the number of years remaining on the lease.
If the lease is registered - and most are in Crowborough - then the leasehold title will always include the basic details 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.
Frank (my husband) and I may need to let out our Crowborough 1st floor flat for a while due to taking a sabbatical. We used a Crowborough conveyancing firm in 2003 but they have closed and we did not have the foresight to seek any guidance as to whether the lease prohibits the subletting of the flat. How do we find out?
Even though your last Crowborough conveyancing solicitor is no longer around you can review your lease to see if it allows you to sublet the premises. The rule is that if the lease is non-specific, subletting is allowed. There may be a precondition that you are obliged to seek consent via your landlord or some other party in advance of subletting. The net result is you not allowed to sublet without prior permission. Such consent must not not be unreasonably refused ore delayed. If the lease prohibits you from letting out the property you should ask your landlord for their consent.
I am hoping to put an offer on a small detached house that seems to meet my requirements, at a great price which is making it all the more appealing. I have since found out that it's a leasehold as opposed to freehold. I am assuming that there are issues purchasing a house with a leasehold title in Crowborough. Conveyancing lawyers have are about to be appointed. Will my lawyers set out the risks of buying a leasehold house in Crowborough ?
Most houses in Crowborough 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. We note that you are purchasing in Crowborough so you should seriously consider looking for a Crowborough conveyancing solicitor and be sure that they have experience in dealing with leasehold houses. As a matter of priority you will need to check the number of years remaining. As a leaseholder you will not be entirely free to do whatever you want with the house. The lease comes with conditions such as requiring the landlord’sconsent to conduct changes to the property. You may also be required to pay a contribution towards the upkeep of the estate where the house is located on an estate. Your solicitor will advise you fully on all the issues.
I am attracted to a couple of maisonettes in Crowborough which have in the region of fifty years left on the leases. Will this present a problem?
There are no two ways about it. A leasehold flat in Crowborough is a deteriorating asset as a result of the shortening lease. The nearer the lease gets to zero years unexpired, the more it reduces the value of the premises. For most purchasers and lenders, leases with under 75 years become less and less attractive. On a more positive note, leaseholders can extend their leases by serving a Section 42 Notice. One stipulation is that they must have owned the property for two years (unlike a Section 13 notice for purchasing the freehold, when leaseholders can participate from day one of ownership). When successful, they will have the right to an extension of 90 years to the current term and ground rent is effectively reduced to zero. Before moving forward with a purchase of property with a short lease term remaining you should talk to a solicitor specialising in lease extensions and leasehold enfranchisement. We are are happy to put you in touch with Crowborough conveyancing experts who will explain the options available to you during an initial telephone conversation free of charge. More often than not it is possible to negotiate informally with the freeholder to extend the lease They may agree to a smaller lump sum and an increase in the ground rent, but to shorter extension terms in return. You need to ensure that any new terms represent good long-term value compared with the standard benefits of the Section 42 Notice and that onerous clauses are not inserted into any redrafting of the lease.
I work for a busy estate agent office in Crowborough where we have experienced a number of flat sales put at risk as a result of leases having less than 80 years remaining. I have received inconsistent advice from local Crowborough conveyancing firms. Could you confirm whether the vendor of a flat can commence the lease extension process for the buyer?
As long as the seller has owned the lease for at least 2 years it is possible, to serve a Section 42 notice to start the lease extension process and assign the benefit of the notice to the purchaser. This means that the buyer need not have to wait 2 years to extend their lease. Both sets of lawyers will agree to form of assignment. The assignment has to be done before, 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.
I own a 1 bedroom flat in Crowborough, conveyancing formalities finalised 7 years ago. How much will my lease extension cost? Equivalent flats in Crowborough with over 90 years remaining are worth £253,000. The average or mid-range amount of ground rent is £45 charged once a year. The lease ends on 21st October 2090
You have 66 years remaining on your lease we estimate the premium for your lease extension to be between £13,300 and £15,400 plus plus your own and the landlord's "reasonable" professional fees.
The figure above a general guide to costs for extending a lease, but we cannot give you the actual costs in the absence of comprehensive investigations. You should not use the figures in a Notice of Claim or as an informal offer. There may be other concerns that need to be considered and clearly you should be as accurate as possible in your negotiations. Neither should you move forward based on this information before getting professional advice.
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