Ilkeston leasehold conveyancing: Q and A’s
Expecting to complete next month on a leasehold property in Ilkeston. Conveyancing lawyers inform me that they are sending me a report on Monday. Are there areas in the report that I should be focusing on?
Your report on title for your leasehold conveyancing in Ilkeston should include some of the following:
- You should be sent a copy of the lease
Estate agents have just been given the go-ahead to market my garden flat in Ilkeston.Conveyancing solicitors are to be appointed soon but I have just had a half-yearly maintenance charge demand – should I leave it to the buyer to sort out?
The sensible thing to do is discharge 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 unless 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.
I am employed by a busy estate agency in Ilkeston where we see a number of flat sales derailed due to leases having less than 80 years remaining. I have received conflicting advice from local Ilkeston conveyancing firms. Please can you clarify whether the seller of a flat can initiate the lease extension formalities for the buyer?
Provided that the seller has been the owner 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 proposed purchaser can avoid having to wait 2 years to extend their lease. Both sets of lawyers will agree to form of assignment. The assignment needs to be completed before, or at the same time as completion of the sale.
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 buyer.
What advice can you give us when it comes to appointing a Ilkeston conveyancing firm to deal with our lease extension?
When appointing a conveyancer for your lease extension (regardless if they are a Ilkeston conveyancing firm) it is imperative that he or she should be familiar with the legislation and specialises in this area of conveyancing. We recommend that you talk with several firms including non Ilkeston conveyancing practices before you instructing a firm. Where the conveyancing practice is ALEP accredited then that’s a bonus. Some following of questions might be useful:
- If the firm is not ALEP accredited then why not?
Are there common deficiencies that you witness in leases for Ilkeston properties?
Leasehold conveyancing in Ilkeston is not unique. All leases are unique and drafting errors can result in certain clauses are missing. 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
- A provision for the recovery of money spent for the benefit of another party.
- Service charge per centages that don't add up correctly leaving a shortfall
A defective lease can cause issues when trying to sell a property as they can affect a potential buyer’s ability to obtain a mortgage. HSBC Bank, Norwich and Peterborough Building Society, and Nottingham Building Society all have very detailed requirements when it comes to what is expected in a lease. If a mortgage lender believes that the lease is defective they may refuse to provide security, forcing the buyer to withdraw.
Ilkeston Conveyancing for Leasehold Flats - Sample of Queries Prior to buying
The prefered form of lease structure is if the freehold interest is owned by the leaseholders. In this arrangement the lessees enjoy control and although a managing agent is often employed where it is bigger than a house conversion, the managing agent acts for the leaseholders themselves.
What is the service charge and ground rent on the apartment?
It would be wise to find out if there are any onerous restrictions in the lease. By way of example it is very common in Ilkeston leases that pets are not allowed in certain buildings in Ilkeston. If you love the flatin Ilkeston yet your cat is not allowed to move with you then you will be presented with a hard decision.