Frequently asked questions relating to Melbourne leasehold conveyancing
My partner and I may need to sub-let our Melbourne 1st floor flat temporarily due to a new job. We instructed a Melbourne conveyancing firm in 2001 but they have since shut and we did not think at the time get any guidance as to whether the lease permits subletting. How do we find out?
Even though your last Melbourne conveyancing lawyer is not available you can review your lease to see if it allows you to sublet the premises. The rule is that if the lease is silent, subletting is allowed. Quite often there is a prerequisite that you are obliged to obtain consent from your landlord or some other party in advance of subletting. The net result is you not allowed to sublet in the absence of prior permission. The consent should not be unreasonably refused ore delayed. If the lease prohibits you from letting out the property you should ask your landlord if they are willing to waive this restriction.
There are only 62 years remaining on my flat in Melbourne. I am keen to extend my lease but my landlord is can not be found. What options are available to me?
On the basis that you meet the appropriate requirements, under the Leasehold Reform, Housing and Urban Development Act 1993 you can submit an application to the County Court for for permission to dispense with the service of the initial notice. This will enable the lease to be extended by the Court. However, you will be required to demonstrate that you have made all reasonable attempts to track down the landlord. For most situations a specialist may be helpful to carry out a search and prepare an expert document which can be used as evidence that the landlord can not be located. It is advisable to get professional help from a property lawyer in relation to proving the landlord’s absence and the vesting order request to the County Court overseeing Melbourne.
Looking forward to complete next month on a ground floor flat in Melbourne. Conveyancing lawyers assured me that they will have a report out to me on Monday. Are there areas in the report that I should be focusing on?
The report on title for your leasehold conveyancing in Melbourne should include some of the following:
- You should receive a copy of the lease
We expect to complete our sale of a £125000 apartment in Melbourne next week. The management company has quoted £324 for Landlord’s certificate, insurance certificate and previous years statements of service charge. Is it legal for a freeholder to charge exorbitant fees for a flat conveyance in Melbourne?
Melbourne conveyancing on leasehold apartments normally necessitates the purchaser’s conveyancer sending questions for the landlord to answer. Although the landlord is not legally bound to address these enquiries the majority will be content to assist. They may levy a reasonable administration fee for responding to questions or supplying documentation. There is no set fee. The average fee for the paperwork that you are referring to is £350, in some transactions it is in excess of £800. The management information fee required 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. In reality you have no choice but to pay whatever is demanded if you want to exchange contracts with the buyer.
When it comes to leasehold conveyancing in Melbourne what are the most frequent lease problems?
There is nothing unique about leasehold conveyancing in Melbourne. Most leases is drafted differently and legal mistakes in the legal wording can result in certain sections are erroneous. The following missing provisions could result in a defective lease:
- A provision to repair to or maintain parts of the building
- Insurance obligations
- A provision for the recovery of money spent for the benefit of another party.
- Service charge per centages that don't add up correctly leaving a shortfall
A defective lease can cause problems when trying to sell a property primarily because it impacts on the ability to obtain a mortgage on the property. Halifax, Virgin Money, and Alliance & Leicester 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 grant the mortgage, forcing the purchaser to withdraw.
I invested in buying a split level flat in Melbourne, conveyancing was carried out 8 years ago. Can you please calculate a probable premium for a statutory lease extension? Corresponding properties in Melbourne with over 90 years remaining are worth £212,000. The average or mid-range amount of ground rent is £45 yearly. The lease comes to an end on 21st October 2094
With just 71 years remaining on your lease we estimate the price of your lease extension to range between £12,400 and £14,200 plus professional fees.
The figure above a general guide to costs for extending a lease, but we cannot give you a more accurate figure in the absence of detailed investigations. You should not use this information in a Notice of Claim or as an informal offer. There may be other concerns that need to be taken into account and you obviously want to be as accurate as possible in your negotiations. Please do not move forward placing reliance on this information before seeking the advice of a professional.