Frequently asked questions relating to Westminster leasehold conveyancing
There are only Seventy years remaining on my lease in Westminster. I need to get lease extension but my freeholder is missing. What options are available to me?
On the basis that you qualify, under the Leasehold Reform, Housing and Urban Development Act 1993 you can apply to the County Court for for permission to dispense with the service of the initial notice. This will enable the lease to be granted an extra 90 years by the Court. You will be obliged to prove that you have done all that could be expected to find the freeholder. For most situations an enquiry agent may be helpful to conduct investigations and to produce a report to be accepted by the court as evidence that the freeholder can not be located. It is advisable to get professional help from a solicitor in relation to investigating the landlord’s absence and the application to the County Court overseeing Westminster.
Looking forward to exchange soon on a studio apartment in Westminster. Conveyancing solicitors assured me that they will have a report out to me on Monday. What should I be looking out for?
Your report on title for your leasehold conveyancing in Westminster should include some of the following:
- Defining your rights in relation to the communal areas in the block.For instance, does the lease permit a right of way over a path or hallways?
- Does the lease prohibit wood flooring?
- Does the lease prevent you from subletting the property, or having a home office for business
- Whether your lease has a provision for a reserve fund?
- Repair and maintenance of the flat
- Changes to the flat (alterations and additions)
- Whether the landlord has obligations to ensure rights of quiet enjoyment over your property and do you know what it means in practice?
I've found a house that seems to meet my requirements, at a great figure which is making it more attractive. I have subsequently discovered that it's a leasehold as opposed to freehold. I would have thought that there are issues buying a house with a leasehold title in Westminster. Conveyancing solicitors have not yet been instructed. Will they explain the issues?
The majority of houses in Westminster are freehold rather than leasehold. This is one of the situations where having a local solicitor used to dealing with such properties who can help the conveyancing process. It is clear that you are purchasing in Westminster in which case you should be shopping around for a Westminster conveyancing solicitor and be sure that they are used to dealing with leasehold houses. As a matter of priority you will need to check the unexpired lease term. Being a tenant you will not be entirely free to do whatever you want to the property. The lease comes with conditions for example obtaining the landlord’sconsent to conduct alterations. It may be necessary to pay a maintenance charge towards the upkeep of the estate where the property is located on an estate. Your solicitor should report to you on the legal implications.
I am a negotiator for a busy estate agent office in Westminster where we have witnessed a number of leasehold sales put at risk as a result of short leases. I have been given inconsistent advice from local Westminster conveyancing firms. Please can you shed some light as to whether the owner of a flat can initiate 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. This means 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 at the same time as completion of the disposal of the property.
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 buyer.
What are your top tips when it comes to choosing a Westminster conveyancing firm to deal with our lease extension?
If you are instructing a conveyancer for lease extension works (regardless if they are a Westminster conveyancing practice) it is imperative that he or she should be familiar with the legislation and specialises in this area of conveyancing. We recommend that you make enquires with two or three firms including non Westminster conveyancing practices prior to instructing a firm. If the firm is ALEP accredited then so much the better. Some following of questions might be useful:
- What volume of lease extensions has the firm completed in Westminster in the last 12 months?
- What are the charges for lease extension work?
I have tried to negotiate informally with with my landlord to extend my lease without getting anywhere. Can the Leasehold Valuation Tribunal decide on such matters? Can you recommend a Westminster conveyancing firm to represent me?
Most certainly. We are happy to put you in touch with a Westminster conveyancing firm who can help.
An example of a Lease Extension decision for a Westminster premises is Flats 12A & 19, Evelyn Mansions Carlisle Place in June 2009. The Tribunal held that the price to be paid for the new lease of Flat 12A is £168,824, For the other flat the price was set at £169,110 This case affected 2 flats. The unexpired lease term was 56 years.
Leasehold Conveyancing in Westminster - Sample of Questions you should consider before Purchasing
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The best form of lease arrangement is a share of the freehold. In this situation the lessees enjoy control and even though a managing agent is usually employed if the building is larger than a house conversion, the managing agent acts for the leaseholders themselves.
For most Westminster leaseholds the outlay for major works tend not to be built into the service charges, albeit that a few managing agents in Westminster ask tenants to contribute towards a reserve fund and this is used to offset against major repairs or maintenance.