I would like to rent out my leasehold flat in Hampton. Conveyancing solicitor who did the purchase is retired - so can't ask him. Do I need to ask my freeholder for permission?

Notwithstanding that your previous Hampton conveyancing solicitor is not around you can review your lease to see if you are permitted to let out the apartment. The accepted inference is that if the lease is silent, subletting is permitted. There may be a precondition that you need to seek permission via your landlord or some other party in advance of subletting. The net result is you not allowed to sublet in the absence of first obtaining consent. Such consent should not be unreasonably turned down. If the lease prohibits you from letting out the property you will need to ask your landlord for their consent.

I am looking at a couple of apartments in Hampton both have about fifty years remaining on the leases. Should I regard a short lease as a deal breaker?

There is no doubt about it. A leasehold flat in Hampton is a deteriorating asset as a result of the reducing lease term. The nearer the lease gets to zero years unexpired, the more it reduces the value of the property. For most purchasers and banks, leases with less than 75 years become less and less marketable. On a more upbeat note, leaseholders can extend their leases by serving a Section 42 Notice. One stipulation is that they must have owned the property for two years (unlike a Section 13 notice for purchasing the freehold, when leaseholders can participate from day one of ownership). When successful, they will have the right to an extension of 90 years to the current term and ground rent is effectively reduced to zero. Before moving forward with a purchase of a residence with a short lease term remaining you should talk to a solicitor specialising in lease extensions and leasehold enfranchisement. We are are happy to put you in touch with Hampton conveyancing experts who will explain the options available to you during an initial telephone conversation free of charge. More often than not it is possible to negotiate informally with the freeholder to extend the lease You may find he or she is happy to negotiate informally and willing to consider your offer straight off, without having to involve anyone else. This will save you time and money and it could help you reach a lower price on the lease. You need to ensure that any new terms represent good long-term value compared with the standard benefits of the Section 42 Notice and that onerous clauses are not inserted into any redrafting of the lease.

I work for a reputable estate agency in Hampton where we see a number of leasehold sales derailed due to short leases. I have received inconsistent advice from local Hampton conveyancing firms. Please can you confirm whether the seller of a flat can commence the lease extension process for the purchaser on completion of the sale?

As long as 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 for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment has to be done prior to, or simultaneously with completion of the disposal of the property.

Alternatively, it may be possible 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.

Do you have any top tips for leasehold conveyancing in Hampton with the purpose of expediting the sale process?

• A significant proportion of the frustration in leasehold conveyancing in Hampton can be avoided where you instruct lawyers the minute you market your property and ask them to put together the leasehold information needed by the buyers solicitors.
• If you have carried out any alterations to the property would they have required Landlord’s approval? In particular have you laid down wooden flooring? Hampton leases often stipulate that internal structural alterations or addition of wooden flooring require a licence from the Landlord consenting to such works. Where you fail to have the paperwork to hand do not contact the landlord without checking with your solicitor in advance.
• If there is a history of conflict with your landlord or managing agents it is essential that these are resolved before the property is marketed. The purchasers and their solicitors will be reluctant to purchase a flat where there is a current dispute. You will have to accept that you will have to discharge any arrears of service charge or resolve the dispute prior to completion of the sale. It is therefore preferable to have any dispute settled ahead of the contract papers being issued to the buyers’ solicitors. You will still have to reveal particulars of the dispute to the purchasers, but it is better to present the dispute as historic rather than unsettled.
• If you are supposed to have a share in the Management Company, you should make sure that you have the original share document. Obtaining a duplicate share certificate is often a time consuming process and delays many a Hampton conveyancing transaction. Where a duplicate share certificate is required, do contact the company officers or managing agents (where relevant) for this sooner rather than later.
• You may think that you are aware of the number of years left on your lease but you should verify this by asking your solicitors. A buyer’s lawyer will not be happy to advise their client to to exchange contracts if the lease term is under 75 years. It is therefore essential at an as soon as possible that you identify 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.

Having spent years of dialogue we simply can't agree with our landlord on how much the lease extension should cost for our flat in Hampton. Can we issue an application to the Residential Property Tribunal Service?

You certainly can. We are happy to put you in touch with a Hampton conveyancing firm who can help.

An example of a Lease Extension matter before the tribunal for a Hampton flat is 147 Redford Close in June 2012. The Tribunal determined the lease extension premium to be at £4,200 This case affected 1 flat. The remaining number of years on the lease was 82.93 years.

Are there common deficiencies that you come across in leases for Hampton properties?

There is nothing unique about leasehold conveyancing in Hampton. Most leases is drafted differently and drafting errors can sometimes mean that certain provisions are missing. For example, if your lease is missing any of the following, it could be defective:

• A provision to repair to or maintain elements of the property
• A duty to insure the building
• 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 problems when trying to sell a property primarily because it impacts on the ability to obtain a mortgage on the property. Nationwide Building Society, Virgin Money, and Clydesdale all have express conveyancing instructions when it comes to what is expected in a lease. If a mortgage lender believes that the lease does not cover certain provisions they may refuse to provide security, forcing the buyer to withdraw.

Hampton Leasehold Conveyancing - Sample of Questions you should consider before Purchasing

The prefered form of lease structure is a share of the freehold. In this situation the tenants have control and although a managing agent is frequently retained where the building is bigger than a house conversion, the managing agent acts for the leaseholders themselves.