Sample questions relating to Glossop leasehold conveyancing
I am in need of some leasehold conveyancing in Glossop. Before I get started I want to be sure as to the unexpired term of the lease.
Assuming the lease is registered - and most are in Glossop - 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 work for a reputable estate agent office in Glossop where we have witnessed a number of leasehold sales put at risk due to leases having less than 80 years remaining. I have been given inconsistent advice from local Glossop conveyancing firms. Can you confirm whether the vendor of a flat can initiate 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 start 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 to extend their lease. Both sets of lawyers will agree to form of assignment. The assignment has to be done before, 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 purchaser.
What advice can you give us when it comes to choosing a Glossop conveyancing firm to deal with our lease extension?
If you are instructing a solicitor for your lease extension (regardless if they are a Glossop conveyancing practice) it is most important that they be familiar with the legislation and specialises in this area of conveyancing. We recommend that you talk with two or three firms including non Glossop conveyancing practices before you instructing a firm. Where the conveyancing practice is ALEP accredited then so much the better. Some following of questions could be helpful:
- If the firm is not ALEP accredited then why not?
Do you have any advice for leasehold conveyancing in Glossop from the point of view of expediting the sale process?
- Much of the frustration in leasehold conveyancing in Glossop can be bypassed if you appoint lawyers the minute your agents start advertising the property and request that they start to put together the leasehold documentation needed by the purchasers’ solicitors.
- If you have carried out any alterations to the premises would they have required Landlord’s approval? In particular have you installed wooden flooring? Most leases in Glossop state that internal structural changes or laying down wooden flooring necessitate a licence from the Landlord acquiescing to such works. Where you dont have the approvals to hand you should not communicate with the landlord without contacting your solicitor before hand.
What makes a Glossop lease defective?
Leasehold conveyancing in Glossop is not unique. Most leases are unique and legal mistakes in the legal wording can sometimes mean that certain provisions are erroneous. For example, if your lease is missing any of the following, it could be defective:
- Repairing obligations to or maintain parts of the premises
- Insurance obligations
- Clauses dealing with recovering service charges for expenditure on the building or common parts.
- Maintenance charge proportions which don’t add up to the correct percentage
A defective lease will likely cause problems when trying to sell a property primarily because it impacts on the ability to obtain a mortgage on the property. HSBC Bank, Leeds Building Society, and Aldermore all have express conveyancing instructions when it comes to what is expected in a lease. If a mortgage lender believes that the lease does not cover certain provisions they may refuse to grant the mortgage, obliging the purchaser to pull out.
I am the registered owner of a 1st floor flat in Glossop, conveyancing was carried out in 1997. Can you work out an approximate cost of a lease extension? Equivalent properties in Glossop with over 90 years remaining are worth £225,000. The average or mid-range amount of ground rent is £55 invoiced annually. The lease terminates on 21st October 2081
With only 60 years left to run we estimate the price of your lease extension to span between £21,900 and £25,200 plus legals.
The suggested premium range above a general guide to costs for extending a lease, but we are not able to provide a more accurate figure in the absence of detailed due diligence. Do not use this information in a Notice of Claim or as an informal offer. There are no doubt other concerns that need to be taken into account and clearly you should be as accurate as possible in your negotiations. Please do not take any other action placing reliance on this information before getting professional advice.