I have just started marketing my basement apartment in Silvertown.Conveyancing lawyers have not yet been instructed but I have just received a yearly service charge invoice – Do I pay up?

The sensible thing to do is discharge 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 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 work for a long established estate agent office in Silvertown where we have experienced a few flat sales jeopardised due to leases having less than 80 years remaining. I have received inconsistent advice from local Silvertown conveyancing firms. Can you clarify whether the seller of a flat can initiate the lease extension process for the purchaser on completion of the sale?

Provided that the seller has been the owner for at least 2 years it is possible, to serve a Section 42 notice to commence 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 wait 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment has to be done before, or simultaneously with completion of the sale.

An alternative approach is 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 purchaser.

What advice can you give us when it comes to finding a Silvertown conveyancing practice to deal with our lease extension?

When appointing a conveyancer for lease extension works (regardless if they are a Silvertown conveyancing practice) it is essential that they be familiar with the legislation and specialises in this area of work. We suggested that you speak with several firms including non Silvertown conveyancing practices prior to instructing a firm. Where the conveyancing practice is ALEP accredited then that’s a bonus. Some following of questions could be helpful:

• How experienced is the practice with lease extension legislation?
• How many lease extensions have they completed in Silvertown in the last twenty four months?

Do you have any top tips for leasehold conveyancing in Silvertown from the perspective of speeding up the sale process?

• A significant proportion of the frustration in leasehold conveyancing in Silvertown can be avoided if you instruct lawyers the minute you market your property and request that they start to put together the leasehold information needed by the buyers lawyers.
• Many landlords or Management Companies in Silvertown charge for supplying management packs for a leasehold homes. You or your lawyers should find out the fee that they propose to charge. The management pack sought as soon as you have a buyer, thus reducing delays. The average time it takes to receive management information is three weeks. It is the most frequent reason for frustration in leasehold conveyancing in Silvertown.
• If you have carried out any alterations to the premises would they have required Landlord’s permission? Have you, for example installed wooden flooring? Silvertown leases often stipulate that internal structural alterations or installing wooden flooring calls for a licence from the Landlord consenting to such changes. Should you fail to have the paperwork to hand do not contact the landlord without contacting your solicitor in advance.
• If you hold a share in a the Management Company, you should ensure that you have the original share certificate. Obtaining a duplicate share certificate is often a time consuming formality and slows down many a Silvertown conveyancing transaction. If a new share is necessary, do contact the company officers or managing agents (where applicable) for this at the earliest opportunity.
• You may think that you are aware of the number of years left on your lease but you should verify this by asking your lawyers. A buyer’s conveyancer will not be happy to advise their client to where the remaining number of years is under 80 years. It is therefore essential at an as soon as possible that you consider whether the lease term for your property needs extending. If it does, contact your solicitors before you put your premises on the market for sale.

Our conveyancer has advised that he intends to complete and exchange simultaneously on the sale of our £ 250000 flat in Silvertown next Monday . The management company has quoted £<Macro 'feeRangeWithVAT'> for Landlord’s certificate, building insurance schedule and previous years service charge statements. Is it legal for a freeholder to charge such fees for a flat conveyance in Silvertown?

Silvertown conveyancing on leasehold maisonettes often requires the purchaser’s lawyer submitting questions for the landlord to answer. Although the landlord is not legally bound to answer such questions most will be willing to do so. They may charge a reasonable charge for answering enquiries or supplying documentation. There is no upper cap for such fees. The average costs for the information that you are referring to is £350, in some transactions it is in excess of £800. The administration charge demanded by the landlord must be sent together with a summary of entitlements and obligations in respect of administration fees, otherwise the invoice is not strictly payable. Reality however dictates that one has no choice but to pay whatever is demanded if you want to complete the sale of your home.

I am the proprietor of a basement flat in Silvertown. Given that I can not reach agreement with the freeholder, can the Leasehold valuation Tribunal make a decision on the premium payable for the purchase of the freehold?

Where there is a missing landlord or if there is dispute about what the lease extension should cost, under the Leasehold Reform, Housing and Urban Development Act 1993 you can apply to the First-tier Tribunal (Property Chamber) to determine the sum to be paid.

An example of a Lease Extension decision for a Silvertown flat is 46 Credon Road in January 2014. On 11 September 2013 Deputy District Judge Price sitting at the Bow County Court made a vesting order that the freeholder surrender his lease and be granted a new lease of the Premises on such terms as may be determined by the First Tier Tribunal (Property Chamber).The appropriate sum as concluded by the Tribunal was £7225 This case related to 1 flat. The the unexpired residue of the current lease was 69.77 years.

Silvertown Leasehold Conveyancing - Sample of Queries Prior to buying

The majority of Silvertown leasehold flats will incur a service bill for the upkeep of the block levied on behalf of the management company. Should you acquire the flat you will have to pay this liability, normally in instalments during the year. This could vary from a few hundred pounds to thousands of pounds for bigger purpose-built blocks. There will also be a ground rent to be met annual, normally this is not a large amount, say approximately £50-£100 but you should to check it because occasionally it can be many hundreds of pounds. Are any of leasehold owners in arrears of their service charge liability?