Top Five Questions relating to Handsworth leasehold conveyancing
I only have 68 years left on my flat in Handsworth. I now wish to extend my lease but my landlord is absent. What options are available to me?
If you meet the appropriate requirements, under the Leasehold Reform, Housing and Urban Development Act 1993 you can submit an application 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 prove that you or your lawyers have used your best endeavours to track down the lessor. For most situations an enquiry agent should be useful to try and locate and to produce a report which can be used as proof that the landlord can not be located. It is wise to seek advice from a solicitor both on investigating the landlord’s absence and the application to the County Court overseeing Handsworth.
Planning to complete next month on a studio apartment in Handsworth. Conveyancing solicitors assured me that they will have a report out to me on Monday. What should I be looking out for?
The report on title for your leasehold conveyancing in Handsworth should include some of the following:
- You should receive a copy of the lease
I work for a reputable estate agent office in Handsworth where we see 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 Handsworth conveyancing solicitors. Can you clarify whether the owner of a flat can commence the lease extension formalities for the buyer?
Provided that 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. This means that the buyer need not have 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 before, or simultaneously with completion of the disposal of the property.
Alternatively, it may be possible 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.
What are your top tips when it comes to appointing a Handsworth conveyancing practice to deal with our lease extension?
When appointing a solicitor for lease extension works (regardless if they are a Handsworth conveyancing practice) it is imperative that they be familiar with the legislation and specialises in this area of conveyancing. We advise that you make enquires with several firms including non Handsworth conveyancing practices prior to instructing a firm. If the firm is ALEP accredited then that’s a bonus. Some following of questions could be of use:
- How familiar is the firm with lease extension legislation?
When it comes to leasehold conveyancing in Handsworth what are the most common lease problems?
Leasehold conveyancing in Handsworth is not unique. All leases are individual and drafting errors can sometimes mean that certain provisions are wrong. The following missing provisions could result in a defective lease:
- A provision to repair to or maintain parts of the property
- 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 can cause problems when trying to sell a property primarily because it impacts on the ability to obtain a mortgage on the property. Barclays , Leeds Building Society, and Barclays Direct all have very detailed conveyancing instructions when it comes to what is expected in a lease. Where a lender has been advised by their lawyers that the lease is problematic they may refuse to provide security, forcing the purchaser to pull out.
Handsworth Leasehold Conveyancing - Examples of Questions you should consider Prior to Purchasing
How many of the leaseholders are in arrears for their maintenance charge payments?
Please note if it is no more than eighty years it will have adverse implications on the value of the flat. Check with your mortgage company that they are willing to to proceed given the lease term. Leases with fewer than 80 years remaining means that you will probably have to extend the lease sooner rather than later and you need to have some idea of what this will be. Remember, in most cases you would be be obliged to have owned the premises for two years before you are entitled to extend the lease.
It is important to be aware if changing the roof or some other major work is due shortly to be shared amongst the leasehold owners and will dramatically increase the the service costs or result in a specific invoice.