I have just started marketing my ground floor apartment in Lisson Grove.Conveyancing is yet to be initiated but I have just received a half-yearly service charge invoice – should I leave it to the buyer to sort out?

Your conveyancing lawyer is likely to suggest that you should clear 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 recently bought a leasehold house in Lisson Grove. Do I have any liability for service charges relating to a period prior to completion of my purchase?

Where the service charge has already been demanded from the previous owner and they have not paid you would not usually be personally liable for the arrears. Strange as it may seem, your landlord may still be able to take action to forfeit the lease. It is an essential part of leasehold conveyancing for your conveyancer to be sure to have an up to date clear service charge receipt before completion of your purchase. If you have a mortgage this is likely to be a requirement of your lender.

If you purchase part way through an accounting year you may be liable for charges not yet demanded even if they relate to a period prior to your purchase. In such circumstances your conveyancer would normally arrange for the seller to set aside some money to cover their part of the period (usually called a service charge retention).

I am employed by a reputable estate agent office in Lisson Grove where we have witnessed a few flat sales derailed due to leases having less than 80 years remaining. I have been given contradictory information from local Lisson Grove conveyancing solicitors. Could you confirm whether the seller of a flat can start 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 need not have to sit tight for 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment needs to be completed before, 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.

Can you offer any advice when it comes to appointing a Lisson Grove conveyancing firm to deal with our lease extension?

When appointing a property lawyer for lease extension works (regardless if they are a Lisson Grove conveyancing practice) it is imperative that he or she should be familiar with the legislation and specialises in this area of work. We suggested that you talk with two or three firms including non Lisson Grove conveyancing practices prior to instructing a firm. If the firm is ALEP accredited then that’s a bonus. Some following of questions could be helpful:

• How many lease extensions has the firm conducted in Lisson Grove in the last twenty four months?
• What are the charges for lease extension work?

Can you provide any top tips for leasehold conveyancing in Lisson Grove from the point of view of saving time on the sale process?

• Much of the frustration in leasehold conveyancing in Lisson Grove can be reduced if you appoint lawyers as soon as your agents start marketing the property and ask them to collate the leasehold information needed by the buyers conveyancers.
• Many landlords or Management Companies in Lisson Grove charge for providing management packs for a leasehold premises. You or your lawyers should discover the actual amount of the charges. The management pack can be applied for on or before finding a buyer, thus accelerating the process. The typical amount of time it takes to obtain the necessary information is three weeks. It is the most usual cause of delay in leasehold conveyancing in Lisson Grove.
• In the event that you altered the property did you need the Landlord’s permission? In particular have you installed wooden flooring? Most leases in Lisson Grove state that internal structural alterations or addition of wooden flooring calls for a licence from the Landlord consenting to such works. If you fail to have the approvals to hand do not contact the landlord without checking with your conveyancer before hand.
• If you have had conflict with your freeholder or managing agents it is very important that these are resolved prior to the flat being marketed. The buyers and their solicitors will be warry about purchasing 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 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 are still duty bound to disclose particulars of the dispute to the buyers, but it is clearly preferable to reveal the dispute as historic as opposed to unresolved.
• If you are supposed to have a share in the Management Company, you should ensure that you have the original share certificate. Obtaining a re-issued share certificate can be a lengthy formality and frustrates many a Lisson Grove home move. Where a new share certificate is required, you should approach the company director and secretary or managing agents (if relevant) for this as soon as possible.

Having spent years of negotiations we are unable to agree with our landlord on how much the lease extension should cost for our flat in Lisson Grove. Can we issue an application to the Residential Property Tribunal Service?

in cases where there is a absentee landlord or if there is dispute about the premium for a lease extension, under the relevant statutes you can apply to the Leasehold Valuation Tribunal to arrive at the amount due.

An example of a Lease Extension decision for a Lisson Grove property is Flats 37 & 39 88/90 Portland Place in December 2010. The Tribunal determined that the premium payable for the lease extensions in respect of these two flats is as follows:- For Flat 37, the sum of £385,230.00 For Flat 39, the sum of £436,780.00 This case affected 2 flats. The the number of years remaining on the existing lease(s) was 24.02 years.

I own a garden flat in Lisson Grove, conveyancing having been completed 2007. Can you let me have an estimate of the premium that my landlord can legally expect in return for granting a renewal of my lease? Equivalent properties in Lisson Grove with a long lease are worth £203,000. The ground rent is £60 per annum. The lease finishes on 21st October 2090

With 64 years remaining on your lease we estimate the premium for your lease extension to range between £19,000 and £22,000 plus professional fees.

The suggested premium range above a general guide to costs for renewing a lease, but we are not able to supply a more accurate figure in the absence of detailed due diligence. Do not use this information in tribunal or court proceedings. There are no doubt other concerns that need to be considered and clearly you want to be as accurate as possible in your negotiations. You should not move forward placing reliance on this information without first seeking the advice of a professional.