Leasehold Conveyancing in Mile End - Get a Quote from the leasehold experts approved by your lender

When it comes to leasehold conveyancing in Mile End, you will need to chose a conveyancing lawyer with leasehold experience. Whether your lender is to be Halifax, Yorkshire Building Society or Nationwide be sure to find a lawyer on their approved list. Feel free to use our search tool

Common questions relating to Mile End leasehold conveyancing

I today plan to offer on a house that seems to tick a lot of boxes, at a great figure which is making it more attractive. I have subsequently been informed that the title is leasehold rather than freehold. I am assuming that there are particular concerns purchasing a house with a leasehold title in Mile End. Conveyancing advisers have are soon to be instructed. Will my lawyers set out the risks of buying a leasehold house in Mile End ?

The majority of houses in Mile End are freehold rather than leasehold. This is one of the situations where having a local conveyancer used to dealing with such properties who can help the conveyancing process. It is clear that you are buying in Mile End so you should seriously consider shopping around for a Mile End conveyancing solicitor and be sure that they have experience in advising on leasehold houses. As a matter of priority you will need to check the unexpired lease term. Being a lessee you will not be entirely free to do whatever you want to the property. The lease will likely included provisions such as requiring the landlord’spermission to conduct alterations. It may be necessary to pay a contribution towards the upkeep of the communal areas where the house is located on an estate. Your lawyer should appraise you on the various issues.

I am looking at a couple of flats in Mile End both have in the region of 50 years left on the leases. Should I regard a short lease as a deal breaker?

There are plenty of short leases in Mile End. The lease is a right to use the property for a prescribed time frame. As a lease shortens the saleability of the lease reduces and results in it becoming more expensive to extend the lease. For this reason it is generally wise to increase the term of the lease. Sometimes it is difficult to sell a property with a short lease as mortgage companies may be reluctant to lend money on such properties. Lease enfranchisement can be a difficult process. We recommend you seek professional assistance from a solicitor and surveyor with experience in this arena

I work for a reputable estate agent office in Mile End where we see a few leasehold sales derailed as a result of short leases. I have been given inconsistent advice from local Mile End conveyancing firms. Please can you confirm whether the owner of a flat can commence the lease extension process for the buyer?

As long as the seller has owned the lease for at least 2 years it is possible, to serve a Section 42 notice to kick-start the lease extension process and assign the benefit of the notice to the purchaser. The benefit of this is that the buyer need not have to sit tight for 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 disposal of the property.

Alternatively, it may be possible 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 top tips for leasehold conveyancing in Mile End from the point of view of speeding up the sale process?

  • A significant proportion of the frustration in leasehold conveyancing in Mile End can be reduced if you instruct lawyers the minute your agents start advertising the property and request that they start to put together the leasehold documentation which will be required by the buyers conveyancers.
  • In the event that you altered the property did you need the Landlord’s permission? Have you, for example laid down wooden flooring? Most leases in Mile End state that internal structural changes or installing wooden flooring require a licence from the Landlord approving such alterations. Where you fail to have the paperwork to hand do not communicate with the landlord without checking with your lawyer in advance.
  • A minority of Mile End leases require Licence to Assign from the landlord. If this applies to your lease, you should notify your estate agents to make sure that the purchasers put in hand financial (bank) and professional references. Any bank reference will need to confirm that the buyers are able to meet the annual service charge and the actual amount of the service charge should be quoted in the bank’s letter. You will therefore need to provide your estate agents with the service charge figures so that they can pass this information on to the purchasers or their solicitors.
  • 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 concerned about purchasing a flat where there is a current dispute. You may need to swallow your pride and discharge any arrears of service charge or resolve the dispute prior to the buyers completing the purchase. 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 better to present the dispute as over rather than ongoing.
  • If you hold a share in a the Management Company, you should make sure that you have the original share certificate. Arranging a re-issued share certificate can be a time consuming process and delays many a Mile End home move. If a new share certificate is required, you should approach the company officers or managing agents (where applicable) for this sooner rather than later.

  • Following months of correspondence we cannot agree with our landlord on how much the lease extension should cost for our flat in Mile End. Does the Leasehold Valuation Tribunal have jurisdiction to calculate the appropriate figures?

    You certainly can. We can put you in touch with a Mile End conveyancing firm who can help.

    An example of a Freehold Enfranchisement matter before the tribunal for a Mile End property is 26 Rhondda Grove in June 2009. The net price payable by the leaseholders as determined by the Tribunal was £3,015.13. This comprised £11,300 premium for the reversion less £8,284.87 costs as ordered by the County Court.

    When it comes to leasehold conveyancing in Mile End what are the most common lease defects?

    There is nothing unique about leasehold conveyancing in Mile End. All leases is drafted differently and drafting errors can sometimes mean that certain sections are wrong. The following missing provisions could result in a defective lease:

    • Repairing obligations to or maintain parts of the property
    • Insurance obligations
    • 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

    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. Halifax, Bank of Scotland, and Alliance & Leicester 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 grant the mortgage, obliging the buyer to pull out.

    Other Topics

    Lease Extensions in Mile End