Expecting to complete next month on a studio apartment in Grantham. Conveyancing solicitors assured me that they will have a report out to me tomorrow. Are there areas in the report that I should be focusing on?

Your report on title for your leasehold conveyancing in Grantham should include some of the following:

• You should be sent a copy of the lease

Details of the parties to the lease, for example these could be the leaseholder (you), head lessor, landlord

Defining your legal entitlements in respect of common areas in the building.For instance, does the lease provide for a right of way over a path or staircase?

Does the lease prevent you from subletting the property, or having a home office for business

The landlord’s obligations to repair and maintain the building. It is important that you know who is responsible for the repair and maintenance of every part of the building

What options are open to you if a neighbour is in violation of a provision in their lease?

What the implications are if you breach a clause of your lease? For a comprehensive list of information to be included in your report on your leasehold property in Grantham please enquire of your conveyancer in ahead of your conveyancing in Grantham

I am hoping to put an offer on a small detached house that seems to tick a lot of boxes, at a reasonable figure which is making it more attractive. I have subsequently been informed that it's a leasehold as opposed to freehold. I would have thought that there are particular concerns buying a leasehold house in Grantham. Conveyancing solicitors have not yet been appointed. Will they explain the issues?

The majority of houses in Grantham are freehold and not leasehold. In this scenario it’s worth having a local solicitor who is familiar with the area can assist with the conveyancing process. It is clear that you are purchasing in Grantham so you should seriously consider shopping around for a Grantham conveyancing solicitor and be sure that they are used to transacting on leasehold houses. As a matter of priority you will need to check the unexpired lease term. Being a leaseholder you will not be at liberty to do whatever you want to the property. The lease comes with conditions for example requiring the landlord’sconsent to carry out alterations. You may also be required to pay a maintenance charge towards the maintenance of the communal areas where the property is located on an estate. Your lawyer should report to you on the legal implications.

Last month I purchased a leasehold property in Grantham. 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 owner and they have not paid you would not usually be personally liable for the arrears. Strange as it may seem, 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 be sure 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).

Completion in due on the sale of our £150000 maisonette in Grantham next week. The freeholder has quoted £384 for Landlord’s certificate, insurance certificate and previous years statements of service charge. Is the landlord entitled to charge an administration fee for a flat conveyance in Grantham?

Grantham conveyancing on leasehold maisonettes normally results in fees being levied by management companies :

• Addressing pre-exchange questions
• Where consent is required before sale in Grantham
• Supplying insurance information
• Deeds of covenant upon sale
• Registering of the assignment of the change of lessee after a sale

Your solicitor will have no control over the level of the charges for this information but the average costs for the information for Grantham leasehold premises is £350. For Grantham conveyancing transactions it is customary for the seller to pay for these costs. The landlord or their agents are under no legal obligation to answer such questions most will be willing to do so - albeit often at exorbitant prices where the fees bear little relation to the work involved. Unfortunately there is no law that requires fixed charges for administrative tasks. Neither is there any legal time frame by which they are required to provide answers.

What are the common problems that you encounter in leases for Grantham properties?

There is nothing unique about leasehold conveyancing in Grantham. All leases are individual and drafting errors can sometimes mean that certain provisions are wrong. For example, if your lease is missing any of the following, it could be defective:

• A provision to repair to or maintain parts of the premises
• Insurance obligations
• A provision for the recovery of money spent for the benefit of another party.
• Maintenance charge proportions which don’t add up to the correct percentage

A defective lease can cause problems when trying to sell a property as they can affect a potential buyer’s ability to obtain a mortgage. Nationwide Building Society, Barnsley Building Society, and Bank of Ireland all have express requirements 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.

Grantham Leasehold Conveyancing - Sample of Queries before buying

How many of the leaseholders are in arrears for their maintenance charge payments? The majority of Grantham leasehold apartments will be liable to pay a service charge for the upkeep of the building invoiced on behalf of the freeholder. Where you purchase the property you will have to pay this contribution, usually periodically throughout the year. This may differ from several hundred pounds to thousands of pounds for large purpose-built buildings. In all probability there will be a rentcharge to be met annual, this is usually not a exorbitant amount, say about £25-£75 but you should to check it because sometimes it can be many hundreds of pounds. The prefered form of lease arrangement is a share of the freehold. In this scenario the tenants enjoy control and even though a managing agent is usually retained where the building is bigger than a house conversion, the managing agent retained by the leaseholders.

Other Topics

Lease Extensions in Grantham