I am on look out for some leasehold conveyancing in Derby. Before diving in I would like to find out the unexpired term of the lease.

If the lease is recorded at the land registry - and most are in Derby - 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.

My partner and I may need to rent out our Derby garden flat temporarily due to taking a sabbatical. We instructed a Derby conveyancing firm in 2003 but they have closed and we did not have the foresight to get any advice as to whether the lease permits subletting. How do we find out?

The lease dictates the relationship between the landlord and you the flat owner; specifically, it will indicate if subletting is prohibited, or permitted but only subject to certain caveats. The accepted inference is that if the lease contains no specific ban or restriction, subletting is allowed. Most leases in Derby do not contain subletting altogether – such a provision would adversely affect the market value the property. Instead, there is usually a basic requirement that the owner notifies the freeholder, possibly sending a duplicate of the sublease.

I own a leasehold house in Derby. Conveyancing and Bank of Scotland mortgage organised. I have received a letter from someone saying they have taken over the freehold. Attached was a ground rent demand for rent dating back to 1991. The conveyancing solicitor in Derby who acted for me is not around.What should I do?

First contact the Land Registry to make sure that the individual purporting to own the freehold is indeed the new freeholder. It is not necessary to incur the fees of a Derby conveyancing solicitor to do this as it can be done on-line for a few pound. 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.

I am looking at a two apartments in Derby both have about 50 years left on the leases. Will this present a problem?

A lease is a legal document that entitles you to use the property for a prescribed time frame. As a lease gets shorter the marketability of the lease deteriorate and it becomes more expensive to extend the lease. This is why it is generally wise to increase the term of the lease. Sometimes it is difficulties arise selling premises with a short lease as mortgage lenders less inclined to grant a loan on properties of this type. Lease extension can be a protracted process. We advise that you seek professional assistance from a solicitor and surveyor with experience in this area

I am a negotiator for a busy estate agent office in Derby where we see a few leasehold sales derailed as a result of leases having less than 80 years remaining. I have received inconsistent advice from local Derby conveyancing solicitors. Please can you clarify whether the vendor of a flat can start the lease extension process for the purchaser on completion of the sale?

As long as the seller has owned the lease for at least 2 years it is possible, to serve a Section 42 notice to commence the lease extension process and assign the benefit of the notice to the purchaser. This means that the proposed purchaser need not have to sit tight for 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment needs to be completed prior to, or simultaneously with completion of the sale.

An alternative approach is to agree the lease extension with the freeholder 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.

Leasehold Conveyancing in Derby - Examples of Questions you should ask Prior to buying

How much is the annual maintenance fee and ground rent? You should want to discover as much as possible about the company managing the building as they will affect your use and enjoyment of the property. As the proprietor of a leasehold property you will be at the mercy of the managing agents from a financial perspective and when it comes to every day issues like the tidiness of the communal areas. Ask other people if they are happy with their management. Finally, find out the dates that the maintenance charges are due to the appropriate party and specifically how they are spending the funds. The majority of Derby leasehold apartments will be liable to pay a service charge for the upkeep of the block set on behalf of the freeholder. If you buy the apartment you will have to meet this contribution, normally quarterly during the year. This could differ from a few hundred pounds to thousands of pounds for bigger purpose-built blocks. There will also be a rentcharge to be met yearly, normally this is not a significant amount, say around £25-£75 but you should to enquire as occasionally it could be many hundreds of pounds.

Other Topics

Lease Extensions in Derby