I today plan to offer on a house that appears to be perfect, at a reasonable figure which is making it more attractive. I have subsequently discovered that it's a leasehold rather than freehold. I would have thought that there are issues purchasing a house with a leasehold title in Sanderstead. Conveyancing lawyers have are about to be appointed. Will my lawyers set out the implications of buying a leasehold house in Sanderstead ?

Most houses in Sanderstead are freehold and not leasehold. This is one of the situations where having a local conveyancer who is familiar with the area can help the conveyancing process. It is clear that you are purchasing in Sanderstead so you should seriously consider looking for a Sanderstead conveyancing solicitor and be sure that they are used to advising on leasehold houses. First you will need to check the unexpired lease term. As a lessee you will not be at liberty to do whatever you want with the house. The lease comes with conditions for example obtaining the landlord’spermission to conduct alterations. You may also be required to pay a service charge towards the maintenance of the estate where the property is part of an estate. Your lawyer should advise you fully on all the issues.

I own a leasehold house in Sanderstead. Conveyancing and Leeds 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 1994. The conveyancing solicitor in Sanderstead who acted for me is not around.Do I pay?

First contact the Land Registry to make sure that this person is in fact the new freeholder. You do not need to instruct a Sanderstead conveyancing solicitor to do this as you can do this on the Land Registry website for £3. You should note that in any event, even if this is the rightful freeholder, under the Limitation Act 1980 the limitation period for recovery of ground rent is six years.

I am looking at a two apartments in Sanderstead which have approximately 50 years left on the leases. Do I need to be concerned?

There are no two ways about it. A leasehold flat in Sanderstead is a deteriorating asset as a result of the shortening lease. The closer the lease gets to zero years unexpired, the more it reduces the value of the property. The majority of buyers and mortgage companies, leases with under 75 years become less and less marketable. On a more positive 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 property 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 Sanderstead conveyancing experts who will explain the options available to you during an initial telephone conversation free of charge. A more straightforward and quicker method of extending would be to contact your landlord directly and sound him out on the prospect of extending 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 the agreed 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.

Do you have any advice for leasehold conveyancing in Sanderstead from the point of view of saving time on the sale process?

• Much of the frustration in leasehold conveyancing in Sanderstead can be bypassed if you get in touch lawyers as soon as you market your property and request that they start to put together the leasehold information which will be required by the buyers lawyers.
• Many landlords or Management Companies in Sanderstead levy fees for supplying management packs for a leasehold property. You or your lawyers should find out the actual amount of the charges. The management pack can be applied for on or before finding a buyer, thus reducing delays. The average time it takes to obtain the necessary information is three weeks. It is the most common reason for delay in leasehold conveyancing in Sanderstead.

If all goes to plan we aim to complete our sale of a £475000 flat in Sanderstead next week. The freeholder has quoted £384 for Certificate of Compliance, insurance certificate and 3 years service charge statements. Is the landlord entitled to charge such fees for a leasehold conveyance in Sanderstead?

Sanderstead conveyancing on leasehold apartments usually requires the buyer’s lawyer submitting questions for the landlord to answer. Although the landlord is not legally bound to address these enquiries most will be content to assist. They are at liberty charge a reasonable charge for answering questions or supplying documentation. There is no set fee. The average costs for the paperwork that you are referring to is £350, in some transactions it is above £800. The management information fee demanded by the landlord must be sent together with a summary of rights and obligations in respect of administration fees, without which the invoice is not strictly payable. Reality however dictates that one has little option but to pay whatever is demanded if you want to complete the sale of your home.

I have given up trying to purchase the freehold in Sanderstead. Can the Leasehold Valuation Tribunal adjudicate on premiums?

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

An example of a Freehold Enfranchisement case 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 affected 6 flats. The remaining number of years on the lease was 78.32 years.

Other Topics

Lease Extensions in Sanderstead