Fixed-fee leasehold conveyancing in Handsworth:

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Top Five Questions relating to Handsworth leasehold conveyancing

Estate agents have just been given the go-ahead to market my garden apartment in Handsworth.Conveyancing solicitors are to be appointed soon but I have just received a half-yearly service charge demand – what should I do?

Your conveyancing lawyer is likely to suggest that you should pay the invoice 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 managing agents will not acknowledge the buyer until 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. Having a clear account will assist your cause and will leave you no worse off financially.

My wife and I purchased a leasehold house in Handsworth. Conveyancing and Barclays Direct mortgage organised. I have received a letter from someone claiming to own the reversionary interest in the property. It included a ground rent demand for rent dating back to 1991. The conveyancing practitioner in Handsworth who acted for me is not around.Any advice?

First contact the Land Registry to be sure that the individual claiming to own the freehold is indeed the registered owner of the freehold reversion. It is not necessary to instruct a Handsworth conveyancing lawyer to do this as you can do this on the Land Registry website for a few pound. You should note that regardless, even if this is the rightful landlord, under the Limitation Act 1980 no more than 6 years of rent can be collected.

I work for a long established estate agent office in Handsworth where we have experienced a few leasehold sales put at risk due to short leases. I have been given inconsistent advice from local Handsworth conveyancing solicitors. Can you shed some light as to whether the vendor of a flat can initiate the lease extension process for the buyer?

As long as the seller has been the owner 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 sit tight for 2 years to extend their lease. Both sets of lawyers will agree to form of assignment. The assignment has to be done 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 buyer.

Do you have any advice for leasehold conveyancing in Handsworth from the perspective of saving time on the sale process?

  • A significant proportion of the delay in leasehold conveyancing in Handsworth can be avoided where you get in touch lawyers the minute your agents start advertising the property and ask them to collate the leasehold information needed by the purchasers’ conveyancers.
  • Many freeholders or managing agents in Handsworth levy fees for providing management packs for a leasehold homes. You or your lawyers should discover the fee that they propose to charge. The management pack sought 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 cause of frustration in leasehold conveyancing in Handsworth.
  • If you have carried out any alterations to the residence would they have required Landlord’s approval? Have you, for example installed wooden flooring? Most leases in Handsworth state that internal structural alterations or laying down wooden flooring calls for a licence issued by the Landlord acquiescing to such works. Where you fail to have the paperwork to hand do not communicate with the landlord without checking with your solicitor in the first instance.
  • If there is a history of conflict with your freeholder or managing agents it is essential that these are settled before the property is marketed. The purchasers and their solicitors will be reluctant to purchase a flat where a dispute is ongoing. You will have to accept that you will have to pay any arrears of service charge or resolve the dispute prior to the buyers completing the purchase. It is therefore preferable to have any dispute settled prior to the contract papers being issued to the buyers’ solicitors. You will still have to reveal particulars of the dispute to the purchasers, but it is clearly preferable to present the dispute as historic as opposed to unsettled.
  • You believe that you know the number of years left on your lease but you should double-check via your lawyers. A purchaser's lawyer will not be happy to advise 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 essential at an early stage that you identify whether the lease term requires a lease extension. If it does, contact your solicitors before you put your property on the market for sale.

  • We expect to complete the disposal of our £200000 flat in Handsworth on Monday in a week. The managing agents has quoted £312 for Certificate of Compliance, building insurance schedule and 3 years statements of service charge. Is the landlord entitled to charge an administration fee for a leasehold conveyance in Handsworth?

    Handsworth conveyancing on leasehold apartments usually involves the buyer’s solicitor submitting enquiries for the landlord to answer. Although the landlord is not legally bound to answer such questions the majority will be content to do so. They may invoice a reasonable administration fee for answering questions or supplying documentation. There is no upper cap for such fees. The average costs for the paperwork that you are referring to is £350, in some cases it is in excess of £800. The administration charge invoiced by the landlord must be sent together with a synopsis of entitlements and obligations in respect of administration fees, otherwise the charge is not strictly payable. Reality however dictates that one has no choice but to pay whatever is requested of you should you wish to sell the property.

    Leasehold Conveyancing in Handsworth - Sample of Queries before buying

      For most Handsworth leaseholds the cost for major works tend not to be included within maintenance charges, albeit that some managing agents in Handsworth ask tenants to contribute towards a sinking fund and this is used to offset against major repairs or maintenance. The answer will be helpful as a) areas can result in problems for the block as the communal areas may start to deteriorate if maintenance remain unpaid b) if the leasehold owners have a dispute with the running of the building you will wish to have all the details Does the lease have onerous restrictions?

    Other Topics

    Lease Extensions in Handsworth