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I have recently realised that I have 72 years left on my flat in Heathfield. I am keen to extend my lease but my freeholder 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 for permission to dispense with the service of the initial notice. This will enable the lease to be lengthened by the magistrate. You will be obliged to prove that you or your lawyers have made all reasonable attempts to find the landlord. On the whole a specialist would be helpful to carry out a search and to produce an expert document to be accepted by the court as evidence that the freeholder can not be located. It is advisable to get professional help from a solicitor in relation to devolving into the landlord’s absence and the vesting order request to the County Court covering Heathfield.

I own a leasehold flat in Heathfield. Conveyancing and Nationwide Building Society mortgage went though with no issue. A letter has just been received from someone claiming to own the freehold. Attached was a demand for arrears of ground rent dating back to 1997. The conveyancing solicitor in Heathfield who previously acted has now retired.Any advice?

First make enquiries of HMLR to be sure that this person is indeed the new freeholder. There is no need to instruct a Heathfield conveyancing firm to do this as you can do this on the Land Registry website for £3. Rest assured that in any event, even if this is the rightful freeholder, under the Limitation Act 1980 the limitation period for recovery of ground rent is six years.

Last month I purchased a leasehold flat in Heathfield. Do I have any liability for service charges relating to a period prior to my ownership?

In a situation 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. However, 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 ensure 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).

I work for a busy estate agent office in Heathfield where we have experienced a number of flat sales derailed due to leases having less than 80 years remaining. I have been given conflicting advice from local Heathfield conveyancing solicitors. Can you confirm whether the seller of a flat can instigate the lease extension process for the purchaser on completion of the sale?

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 wait 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment needs to be completed prior to, or simultaneously with completion of the disposal of the property.

An alternative approach is 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.

Can you provide any advice for leasehold conveyancing in Heathfield with the aim of expediting the sale process?

  • Much of the frustration in leasehold conveyancing in Heathfield can be avoided if you get in touch lawyers as soon as you market your property and request that they start to collate the leasehold information needed by the buyers conveyancers.
  • Many freeholders or managing agents in Heathfield charge for providing management packs for a leasehold homes. You or your lawyers should enquire as to the actual amount of the charges. The management information can be applied for on or before finding a buyer, thus reducing delays. The typical amount of time it takes to receive management information is three weeks. It is the most common cause of frustration in leasehold conveyancing in Heathfield.
  • If you have carried out any alterations to the premises would they have required Landlord’s permission? Have you, for example laid down wooden flooring? Most leases in Heathfield state that internal structural changes or installing wooden flooring require a licence from the Landlord consenting to such changes. Should you dont have the paperwork in place do not communicate with the landlord without checking with your lawyer before hand.
  • If you have had conflict with your freeholder or managing agents it is essential that these are settled prior to the flat being marketed. The buyers and their solicitors will be reluctant to purchase a property where there is an ongoing dispute. You will have to accept that you will have to discharge any arrears of service charge or settle 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 are still duty bound to disclose particulars of the dispute to the purchasers, but it is clearly preferable to reveal the dispute as over rather than unsettled.
  • If you hold a share in a the freehold, you should ensure that you have the original share certificate. Obtaining a re-issued share certificate is often a time consuming formality and slows down many a Heathfield home move. If a duplicate share certificate is needed, do contact the company officers or managing agents (where relevant) for this as soon as possible.

  • I acquired a leasehold flat in Heathfield, conveyancing was carried out in 2000. How much will my lease extension cost? Comparable properties in Heathfield with a long lease are worth £201,000. The ground rent is £65 invoiced annually. The lease ends on 21st October 2087

    With just 62 years remaining on your lease we estimate the premium for your lease extension to range between £18,100 and £20,800 plus costs.

    The figure that we have given is a general guide to costs for extending a lease, but we cannot give you a more accurate figure without more detailed investigations. You should not use the figures in tribunal or court proceedings. 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. You should not take any other action placing reliance on this information without first getting professional advice.

    Other Topics

    Lease Extensions in Heathfield