Common questions relating to Little Venice leasehold conveyancing
I’m about to sell my ground floor apartment in Little Venice.Conveyancing is yet to be initiated but I have just had a yearly maintenance charge demand – Do I pay up?
The sensible thing to do is pay the service charge 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. This will smooth the conveyancing process.
I've found a house that seems to be perfect, at a great figure which is making it more attractive. I have subsequently been informed that it's a leasehold as opposed to freehold. I would have thought that there are issues purchasing a leasehold house in Little Venice. Conveyancing solicitors have are about to be instructed. Will my lawyers set out the risks of buying a leasehold house in Little Venice ?
Most houses in Little Venice are freehold rather than leasehold. In this scenario it’s worth having a local solicitor used to dealing with such properties who can assist with the conveyancing process. We note that you are purchasing in Little Venice so you should seriously consider shopping around for a Little Venice conveyancing practitioner and be sure that they have experience in dealing with leasehold houses. First you will need to check the number of years remaining. As a lessee you will not be at liberty to do whatever you want to the property. The lease comes with conditions such as requiring the landlord’sconsent to conduct alterations. It may be necessary to pay a contribution towards the upkeep of the estate where the house is part of an estate. Your lawyer will appraise you on the various issues.
What advice can you give us when it comes to finding a Little Venice conveyancing firm to carry out our lease extension conveyancing?
If you are instructing a property lawyer for lease extension works (regardless if they are a Little Venice conveyancing firm) it is imperative that he or she should be familiar with the legislation and specialises in this area of work. We advise that you talk with several firms including non Little Venice conveyancing practices before you instructing a firm. If the firm is ALEP accredited then that’s a bonus. Some following of questions might be helpful:
- How familiar is the practice with lease extension legislation?
Our conveyancer has advised that he intends to complete and exchange simultaneously on the disposal of our £300000 apartment in Little Venice on Tuesday in a week. The management company has quoted £360 for Certificate of Compliance, building insurance schedule and 3 years statements of service charge. Is it legal for a freeholder to charge exorbitant fees for a leasehold conveyance in Little Venice?
Little Venice conveyancing on leasehold flats normally necessitates the buyer’s lawyer submitting questions for the landlord to address. Although the landlord is under no legal obligation to address these enquiries the majority will be willing to do so. They may levy a reasonable charge for responding to enquiries or supplying documentation. There is no upper cap for such fees. The average costs for the information that you are referring to is over three hundred pounds, in some transactions it is above £800. The administration charge invoiced by the landlord must be accompanied by a synopsis of entitlements and obligations in respect of administration charges, without which the charge is technically not due. Reality however dictates that you have little choice but to pay whatever is requested of you should you wish to complete the sale of your home.
When it comes to leasehold conveyancing in Little Venice what are the most frequent lease defects?
Leasehold conveyancing in Little Venice is not unique. Most leases are unique and drafting errors can result in certain clauses are wrong. The following missing provisions could result in a defective lease:
- Repairing obligations to or maintain elements of the premises
- A duty to insure the building
- Clauses dealing with recovering service charges for expenditure on the building or common parts.
- Service charge per centages that don't add up correctly leaving a shortfall
You could encounter a problem when selling your property if you have a defective lease primarily because it impacts on the ability to obtain a mortgage on the property. National Westminster Bank, The Royal Bank of Scotland, and Alliance & Leicester 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 grant the mortgage, forcing the buyer to pull out.
Little Venice Leasehold Conveyancing - A selection of Queries Prior to Purchasing
Best to be warned if a new roof is being put on or some other major work is due in the near future that will be shared by the tenants and could well materially impact the level of the service fees or require a specific payment.
The majority of Little Venice leasehold properties will be liable to pay a service bill for the upkeep of the block invoiced on behalf of the freeholder. Where you acquire the flat you will have to meet this charge, usually quarterly accross the year. This may differ from several hundred pounds to thousands of pounds for large purpose-built blocks. There will also be a rentcharge for you to pay annual, normally this is not a large amount, say about £25-£75 but you should to check as sometimes it could be many hundreds of pounds.
Its a good idea to find out as much as you can about the managing agents as they will affect your use and enjoyment of the property. Being a leasehold owner you are frequently in the clutches of the managing agents both financially and when it comes to practical issues like the upkeep of the communal areas. Enquire of other people what they think of their service. Finally, investigate as to the dates that you are obliged pay the service charge to the managing agents and specifically what it includes.