Questions and Answers: Ellesmere Port leasehold conveyancing
I would like to rent out my leasehold apartment in Ellesmere Port. Conveyancing solicitor who did the purchase is retired - so can't ask her. Is permission from the freeholder required?
A small minority of properties in Ellesmere Port do contain a provision to say that subletting is only permitted with prior consent from the landlord. The landlord is not entitled to unreasonably withhold 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 permission.
I only have Fifty years left on my lease in Ellesmere Port. I now wish to get lease extension but my landlord is missing. What are my options?
If you qualify, under the Leasehold Reform, Housing and Urban Development Act 1993 you can apply to the County Court for an order to dispense with the service of the initial notice. This will mean that your lease can be extended by the magistrate. You will be obliged to demonstrate that you have done all that could be expected to track down the freeholder. For most situations an enquiry agent may be useful to try and locate and to produce a report which can be used as proof that the freeholder is indeed missing. It is advisable to get professional help from a conveyancer in relation to proving the landlord’s disappearance and the vesting order request to the County Court overseeing Ellesmere Port.
Estate agents have just been given the go-ahead to market my basement flat in Ellesmere Port.Conveyancing has not commenced but I have just had a half-yearly maintenance charge demand – should I leave it to the buyer to sort out?
The sensible thing to do is discharge the service charge 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. This will smooth the conveyancing process.
I am employed by a reputable estate agency in Ellesmere Port where we see a few flat sales put at risk as a result of leases having less than 80 years remaining. I have received contradictory information from local Ellesmere Port conveyancing firms. Could you clarify whether the seller of a flat can instigate 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. The benefit of this is that the buyer can avoid having to wait 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment has to be done prior to, or at the same time as completion of the disposal of the property.
Alternatively, it may be possible 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 buyer.
Do you have any advice for leasehold conveyancing in Ellesmere Port with the intention of expediting the sale process?
- Much of the frustration in leasehold conveyancing in Ellesmere Port can be avoided where you get in touch lawyers the minute you market your property and ask them to collate the leasehold information which will be required by the purchasers’ conveyancers.
- Many landlords or managing agents in Ellesmere Port charge for supplying management packs for a leasehold property. 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 average time it takes to receive management information is three weeks. It is the most frequent reason for frustration in leasehold conveyancing in Ellesmere Port.
- A minority of Ellesmere Port leases require Licence to Assign from the landlord. If this applies to your lease, you should notify your estate agents to make sure that the purchasers obtain financial (bank) and professional references. The bank reference should make it clear that the buyer is able to meet the yearly service charge and the actual amount of the service charge should be quoted in the bank’s letter. You will therefore need to provide your estate agents with the actual amount of the service charge so that they can pass this information on to the purchasers or their lawyers.
- If you are supposed to have a share in the freehold, you should make sure that you hold the original share document. Arranging a re-issued share certificate is often a lengthy process and delays many a Ellesmere Port home move. Where a reissued share is required, do contact the company director and secretary or managing agents (where applicable) for this sooner rather than later.
- You may think that you are aware of the number of years remaining on your lease but you should verify this by asking your lawyers. A buyer’s lawyer will be unlikely to recommend their client to proceed with the purchase of a leasehold property the remaining number of years is below 75 years. In the circumstances it is important at an early stage that you identify whether the lease term for your property needs extending. If it does, contact your solicitors before you put your property on the market for sale.
Leasehold Conveyancing in Ellesmere Port - A selection of Questions you should consider before buying
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Is there a share of the freehold?
The answer will be helpful as a) areas may cause problems in the building as the common areas may begin to deteriorate if repairs are not paid for b) if the leaseholders have a dispute with the running of the building you will wish to know about it