Expecting to exchange soon on a leasehold property in Sanderstead. Conveyancing lawyers inform me that they are sending me a report next week. Are there areas in the report that I should be focusing on?

The report on title for your leasehold conveyancing in Sanderstead should include some of the following:

• Details of the parties to the lease, for example these could be the leaseholder (you), head lessor, landlord

Estate agents have just been given the go-ahead to market my garden apartment in Sanderstead.Conveyancing lawyers have not yet been instructed but I have just received a quarterly service charge invoice – Do I pay up?

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 management companies will not acknowledge the buyer unless 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. Having a clear account will assist your cause and will leave you no worse off financially.

I am tempted by the attractive purchase price for a two apartments in Sanderstead both have approximately forty five years unexpired on the leases. Will this present a problem?

There are plenty of short leases in Sanderstead. The lease is a right to use the property for a period of time. As a lease gets shorter the value of the lease decreases and it becomes more costly to acquire a lease extension. This is why it is generally wise to extend the lease term. More often than not it is difficulties arise selling premises with a short lease as mortgage companies less inclined to grant a loan on properties of this type. Lease extension can be a protracted process. We advise that you get professional help from a conveyancer and surveyor with experience in this field

I've recently bought a leasehold flat in Sanderstead. Do I have any liability for service charges for periods before my ownership?

In a situation 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. However, your landlord may still be able to take action to forfeit the lease. A critical element of leasehold conveyancing for your conveyancer to ensure 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).

Our conveyancer has advised that he intends to complete and exchange simultaneously on the disposal of our £225000 garden flat in Sanderstead next Thursday . The freeholder has quoted £312 for Certificate of Compliance, insurance certificate and 3 years service charge statements. Is it legal for a freeholder to charge an administration fee for a flat conveyance in Sanderstead?

Sanderstead conveyancing on leasehold maisonettes more often than not necessitates the buyer’s conveyancer submitting enquiries for the landlord to address. Although the landlord is not legally bound to answer these enquiries the majority will be willing to assist. They are entitled charge a reasonable charge for answering questions or supplying documentation. There is no set fee. The average fee for the information that you are referring to is £350, in some cases it is in excess of £800. The management information fee demanded by the landlord must be accompanied by a synopsis of rights and obligations in relation to administration charges, without which the invoice is not strictly payable. Reality however dictates that you have no option but to pay whatever is demanded should you wish to exchange contracts with the buyer.

Despite our best endeavours, we have been unsuccessful in trying to purchase the freehold in Sanderstead. Can this matter be resolved via the Leasehold Valuation Tribunal?

in cases where there is a absentee freeholder or where there is dispute about the premium for a lease extension, under the relevant legislation you can apply to the LVT to determine the price.

An example of a Freehold Enfranchisement matter before the tribunal for a Sanderstead residence is The Woodlands 95 Purley Park Road in April 2009. The Tribunals own valuation produced the fi
gure of £37,912. This case related to 6 flats. The the unexpired term as at the valuation date was 78.32 years.

Other Topics

Lease Extensions in Sanderstead