Frequently asked questions relating to Liskeard leasehold conveyancing
I am a negotiator for a long established estate agency in Liskeard where we have witnessed a number of leasehold sales jeopardised as a result of leases having less than 80 years remaining. I have been given inconsistent advice from local Liskeard conveyancing solicitors. Can you clarify whether the vendor of a flat can start the lease extension process for the purchaser on completion of the sale?
As long as 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 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 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 purchaser.
What advice can you give us when it comes to choosing a Liskeard conveyancing practice to deal with our lease extension?
If you are instructing a solicitor for lease extension works (regardless if they are a Liskeard conveyancing practice) it is imperative that he or she should be familiar with the legislation and specialises in this area of conveyancing. We advise that you speak with several firms including non Liskeard conveyancing practices prior to instructing a firm. If the firm is ALEP accredited then that’s a bonus. Some following of questions might be helpful:
- If the firm is not ALEP accredited then why not?
Can you provide any advice for leasehold conveyancing in Liskeard with the intention of expediting the sale process?
- Much of the delay in leasehold conveyancing in Liskeard can be reduced if you get in touch lawyers as soon as your agents start advertising the property and ask them to collate the leasehold information needed by the purchasers’ solicitors.
- If you have carried out any alterations to the residence would they have required Landlord’s approval? In particular have you installed wooden flooring? Most leases in Liskeard state that internal structural changes or installing wooden flooring require a licence from the Landlord consenting to such works. Where you dont have the paperwork in place you should not communicate with the landlord without contacting your lawyer before hand.
Our conveyancer has advised that he intends to complete and exchange simultaneously on our sale of a £475000 flat in Liskeard next Tuesday . The managing agents has quoted £408 for Landlord’s certificate, building insurance schedule and 3 years service charge statements. Is it legal for a freeholder to charge an administration fee for a leasehold conveyance in Liskeard?
Liskeard conveyancing on leasehold flats often necessitates the purchaser’s solicitor sending enquiries for the landlord to answer. Although the landlord is under no legal obligation to respond to such questions most will be content to do so. They are entitled charge a reasonable administration fee for responding to enquiries or supplying documentation. There is no set fee. The average costs for the paperwork that you are referring to is over three hundred pounds, in some transactions it is in excess of £800. The administration charge levied by the landlord must be accompanied by a summary of rights and obligations in relation to administration charges, otherwise the charge is not strictly payable. Reality however dictates that you have little choice but to pay whatever is demanded if you want to exchange contracts with the buyer.
What are the frequently found problems that you come across in leases for Liskeard properties?
Leasehold conveyancing in Liskeard is not unique. All leases are individual and legal mistakes in the legal wording can result in certain clauses are erroneous. The following missing provisions could result in a defective lease:
- Repairing obligations to or maintain parts of the property
- A duty to insure the building
- 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 will likely cause issues when trying to sell a property as they can affect a potential buyer’s ability to obtain a mortgage. National Westminster Bank, Bank of Scotland, and Barclays Direct all have express 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.
Liskeard Conveyancing for Leasehold Flats - A selection of Queries before Purchasing
Best to be warned if window replacement or some other significant cost is anticipated to be shared by the tenants and may well dramatically increase the the service fees or result in a one time invoice.
The answer will be helpful as a) areas can cause problems in the building as the common areas may begin to deteriorate where maintenance are not paid for b) if the leaseholders have an issue with the managing agents you will want to have all the details
What is the length of the lease?