Frank (my husband) and I may need to let out our Stanmore basement flat temporarily due to a career opportunity. We instructed a Stanmore conveyancing firm in 2004 but they have closed and we did not think at the time get any guidance as to whether the lease permits subletting. How do we find out?

Your lease governs relations between the freeholder and you the flat owner; specifically, it will say if subletting is not allowed, or permitted but only subject to certain caveats. The rule is that if the lease contains no specific ban or restriction, subletting is allowed. The majority of leases in Stanmore do not contain an absolute prevention of subletting – such a provision would adversely affect the market value the flat. Instead, there is usually simply a requirement that the owner notifies the freeholder, possibly supplying a duplicate of the sublease.

I work for a reputable estate agent office in Stanmore where we have experienced a number of flat sales jeopardised due to leases having less than 80 years remaining. I have received contradictory information from local Stanmore conveyancing solicitors. Can you shed some light as to whether the vendor of a flat can commence the lease extension process for the purchaser on completion of the sale?

As long as the seller has been the owner 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. This means that the buyer can avoid having to sit tight for 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment has to be done before, or at the same time as completion of the sale.

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.

Can you offer any advice when it comes to choosing a Stanmore conveyancing firm to deal with our lease extension?

When appointing a conveyancer for lease extension works (regardless if they are a Stanmore conveyancing firm) 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 several firms including non Stanmore conveyancing practices prior to instructing a firm. If the firm is ALEP accredited then so much the better. Some following of questions might be helpful:

• How experienced is the practice with lease extension legislation?
• If the firm is not ALEP accredited then what is the reason?

Can you provide any advice for leasehold conveyancing in Stanmore from the perspective of saving time on the sale process?

• Much of the frustration in leasehold conveyancing in Stanmore can be bypassed if you get in touch lawyers the minute you market your property and ask them to put together the leasehold documentation which will be required by the purchasers’ lawyers.
• In the event that you altered the property did you need the Landlord’s approval? Have you, for example installed wooden flooring? Stanmore leases often stipulate that internal structural alterations or installing wooden flooring necessitate a licence from the Landlord acquiescing to such alterations. Where you fail to have the approvals to hand do not contact the landlord without contacting your solicitor first.
• Some Stanmore leases require Landlord’s consent to the sale and approval of the buyers. If this is the case, it would be prudent to notify your estate agents to make sure that the purchasers obtain financial (bank) and professional references. The bank reference should make it clear that the buyer is financially capable of paying the yearly 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 actual amount of the service charge so that they can pass this information on to the buyers or their solicitors.
• If you have had any disputes 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 property where there is an ongoing 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 ahead of 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 unresolved.
• If you are supposed to have a share in the freehold, you should make sure that you are holding the original share document. Organising a replacement share certificate is often a time consuming formality and delays many a Stanmore home move. Where a reissued share certificate is needed, do contact the company officers or managing agents (where relevant) for this at the earliest opportunity.

I have tried to negotiate informally with with my landlord to extend my lease without success. Can the Leasehold Valuation Tribunal adjudicate on such issues? Can you recommend a Stanmore conveyancing firm to assist?

Most definitely. We can put you in touch with a Stanmore conveyancing firm who can help.

An example of a Lease Extension case for a Stanmore premises is 27B Hillside in February 2010. the resulting premium, all other aspects of the valuation having been agreed between the parties was set at £8,250 This case related to 1 flat. The the unexpired residue of the current lease was 70.25 years.

What makes a Stanmore lease unmortgageable?

There is nothing unique about leasehold conveyancing in Stanmore. All leases is drafted differently and legal mistakes in the legal wording can sometimes mean that certain provisions are erroneous. The following missing provisions could result in a defective lease:

• Repairing obligations to or maintain elements of the premises
• 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 problems when trying to sell a property as they can affect a potential buyer’s ability to obtain a mortgage. Santander, Skipton Building Society, and Godiva Mortgages Ltd all have express conveyancing instructions when it comes to what is expected in a lease. If a mortgage lender believes that the lease is defective they may refuse to provide security, forcing the buyer to pull out.

Stanmore Conveyancing for Leasehold Flats - Sample of Queries Prior to Purchasing