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Common questions relating to Canonbury leasehold conveyancing

I wish to sublet my leasehold flat in Canonbury. Conveyancing solicitor who did the purchase is retired - so can't ask her. Is permission from the freeholder required?

A small minority of properties in Canonbury do contain a provision to say that subletting is only permitted with prior consent from the landlord. The landlord is not entitled to unreasonably refuse but, in such cases, they would need to see references. Experience dictates that problems are usually caused by unsatisfactory tenants rather than owner-occupiers and for that reason you can expect the freeholder to take up the references and consider them carefully before granting consent.

Back In 2003, I bought a leasehold house in Canonbury. Conveyancing and Norwich and Peterborough Building Society mortgage went though with no issue. A letter has just been received from someone saying they have taken over the reversionary interest in the property. It included a ground rent demand for rent dating back to 1996. The conveyancing solicitor in Canonbury who previously acted has long since retired.Do I pay?

First contact HMLR to make sure that this person is indeed the registered owner of the freehold reversion. It is not necessary to instruct a Canonbury conveyancing solicitor to do this as it can be done on-line for less than a fiver. Rest assured that in any event, even if this is the legitimate freeholder, under the Limitation Act 1980 the limitation period for recovery of ground rent is six years.

I am employed by a busy estate agent office in Canonbury where we have experienced a few flat sales jeopardised as a result of short leases. I have been given contradictory information from local Canonbury conveyancing firms. Please can you confirm whether the vendor of a flat can start the lease extension process 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. 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.

Do you have any advice for leasehold conveyancing in Canonbury with the aim of saving time on the sale process?

  • Much of the delay in leasehold conveyancing in Canonbury can be bypassed if you get in touch lawyers as soon as your agents start marketing the property and ask them to collate the leasehold documentation needed by the buyers representatives.
  • Many freeholders or Management Companies in Canonbury charge for supplying management packs for a leasehold property. You or your lawyers should find out the actual amount of the charges. The management pack sought on or before finding a buyer, thus accelerating the process. The average time it takes to receive management information is three weeks. It is the most frequent cause of delay in leasehold conveyancing in Canonbury.
  • If you have had any disputes with your landlord or managing agents it is very important that these are resolved before the property is marketed. The purchasers and their solicitors will be reluctant to purchase a property where there is a current dispute. You may have to bite the bullet and discharge any arrears of service charge or settle the dispute prior to completion of the sale. It is therefore preferable to have any dispute settled prior to the contract papers being issued to the buyers’ solicitors. You will still have to reveal details of the dispute to the purchasers, but it is better to reveal the dispute as over as opposed to unsettled.
  • If you are supposed to have a share in the Management Company, you should ensure that you hold the original share document. Organising a replacement share certificate can be a lengthy process and frustrates many a Canonbury conveyancing deal. Where a duplicate share certificate is necessary, you should approach the company officers or managing agents (where applicable) for this sooner rather than later.
  • You believe that you know the number of years left on your lease but it would be advisable double-check via your solicitors. A purchaser's conveyancer will be unlikely to recommend their client to to exchange contracts if the remaining number of years is under 75 years. It is therefore important at an early stage that you consider whether the lease term for your property needs extending. If it does, contact your solicitors before you put your property on the market for sale.

  • We expect to complete the disposal of our £225000 apartment in Canonbury on Tuesday in a week. The freeholder has quoted £312 for Landlord’s certificate, insurance certificate and previous years statements of service charge. Is it legal for a freeholder to charge exorbitant fees for a leasehold conveyance in Canonbury?

    Canonbury conveyancing on leasehold apartments normally involves administration charges raised by freeholders :

    • Addressing pre-exchange enquiries
    • Where consent is required before sale in Canonbury
    • Supplying insurance information
    • Deeds of covenant upon sale
    • Registering of the assignment of the change of lessee after a sale
    Your conveyancer will have no control over the level of the charges for this information but the average costs for the information for Canonbury leasehold premises is £350. For Canonbury conveyancing transactions it is customary for the seller to pay for these costs. The landlord or their agents are under no legal obligation to answer such questions most will be willing to do so - albeit often at exorbitant prices where the fees bear little relation to the work involved. Unfortunately there is no law that requires fixed charges for administrative tasks. Neither is there any legal time frame by which they are obliged to provide the information.

    Having spent years of correspondence we simply can't agree with our landlord on how much the lease extension should cost for our flat in Canonbury. Does the Leasehold Valuation Tribunal have jurisdiction to calculate the appropriate figures?

    if there is a missing freeholder or where there is dispute about what the lease extension should cost, under the relevant statutes it is possible to make an application to the LVT to decide the price payable.

    An example of a Lease Extension case for a Canonbury residence is 5C Stoke Newington Road in April 2010. the Tribunal therefore concludes that the premium to be paid for the extended lease is £700.00 This case related to 1 flat. The the number of years remaining on the existing lease(s) was 80.5 years.

    Other Topics

    Lease Extensions in Canonbury