I have just started marketing my 2 bed apartment in Mevagissey.Conveyancing solicitors are to be appointed soon but I have just received a quarterly service charge demand – Do I pay up?

It best that you discharge the invoice 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 management companies will not acknowledge the buyer until 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. This will smooth the conveyancing process.

I today plan to offer on a house that appears to meet my requirements, at a reasonable figure which is making it more attractive. I have just found out that the title is leasehold rather than freehold. I am assuming that there are issues buying a leasehold house in Mevagissey. Conveyancing lawyers have are soon to be appointed. Will they explain the issues?

Most houses in Mevagissey are freehold and not leasehold. This is one of the situations where having a local conveyancer used to dealing with such properties who can help the conveyancing process. It is clear that you are purchasing in Mevagissey so you should seriously consider shopping around for a Mevagissey conveyancing solicitor and check that they are used to advising on leasehold houses. First you will need to check the number of years remaining. As a tenant you will not be entirely free to do whatever you want to the property. The lease will likely included provisions for example obtaining the freeholder’spermission to carry out alterations. It may be necessary to pay a maintenance charge towards the maintenance of the estate where the house is located on an estate. Your conveyancer should appraise you on the various issues.

I've recently bought a leasehold house in Mevagissey. Do I have any liability for service charges relating to a period prior to completion of my purchase?

Where the service charge has already been demanded from the previous owner and they have not paid you would not usually be personally liable for the arrears. Strange as it may seem, your landlord may still be able to take action to forfeit the lease. It is an essential part of leasehold conveyancing for your conveyancer to ensure to have an up to date clear service charge receipt before completion of your purchase. If you have a mortgage this is likely to be a requirement of your lender.

If you purchase part way through an accounting year you may be liable for charges not yet demanded even if they relate to a period prior to your purchase. In such circumstances your conveyancer would normally arrange for the seller to set aside some money to cover their part of the period (usually called a service charge retention).

Can you provide any top tips for leasehold conveyancing in Mevagissey with the intention of saving time on the sale process?

• A significant proportion of the frustration in leasehold conveyancing in Mevagissey can be bypassed if you appoint lawyers as soon as you market your property and ask them to put together the leasehold documentation needed by the purchasers’ representatives.
• If you have carried out any alterations to the premises would they have required Landlord’s consent? In particular have you installed wooden flooring? Most leases in Mevagissey state that internal structural alterations or installing wooden flooring require a licence from the Landlord consenting to such works. If you dont have the approvals in place you should not communicate with the landlord without checking with your lawyer first.
• If there is a history of conflict with your landlord or managing agents it is essential that these are settled before the property is put on the market. The purchasers and their solicitors will be reluctant to purchase a property where there is an ongoing dispute. You may need to swallow your pride and discharge any arrears of service charge or settle the dispute prior to the buyers completing the purchase. It is therefore preferable to have any dispute settled prior to the contract papers being issued to the buyers’ solicitors. You will still have to reveal details of the dispute to the buyers, but it is clearly preferable to reveal the dispute as over rather than unsettled.
• If you hold a share in a the freehold, you should ensure that you have the original share document. Organising a replacement share certificate can be a lengthy process and slows down many a Mevagissey home move. If a duplicate share certificate is required, you should approach the company director and secretary or managing agents (where applicable) for this as soon as possible.
• You may think that you are aware of the number of years remaining on your lease but you should double-check via your solicitors. A buyer’s conveyancer will be unlikely to recommend their client to where the remaining number of years is under 75 years. It is therefore essential at an early stage that you identify whether the lease for your property needs extending. If it does, contact your solicitors before you put your premises on the market for sale.

When it comes to leasehold conveyancing in Mevagissey what are the most common lease problems?

Leasehold conveyancing in Mevagissey is not unique. All leases are unique and drafting errors can result in certain clauses are missing. The following missing provisions could result in a defective lease:

• A provision to repair to or maintain elements of the building
• Insurance obligations
• A provision for the recovery of money spent for the benefit of another party.
• Maintenance charge proportions which don’t add up to the correct percentage

You could encounter a problem when selling your property if you have a defective lease as they can affect a potential buyer’s ability to obtain a mortgage. Accord Mortgages Ltd, Barnsley Building Society, and Godiva Mortgages Ltd all have very detailed requirements when it comes to what is expected in a lease. Where a lender has been advised by their lawyers that the lease is problematic they may refuse to provide security, obliging the purchaser to pull out.

I own a 1 bedroom flat in Mevagissey, conveyancing having been completed in 2004. Can you please calculate a probable premium for a statutory lease extension? Comparable properties in Mevagissey with an extended lease are worth £240,000. The average or mid-range amount of ground rent is £60 invoiced annually. The lease ceases on 21st October 2101

With only 75 years unexpired we estimate the price of your lease extension to span between £10,500 and £12,000 plus legals.

The suggested premium range above a general guide to costs for renewing a lease, but we cannot give you a more accurate figure without more detailed investigations. Do not use this information in tribunal or court proceedings. There are no doubt additional concerns that need to be considered and you obviously should be as accurate as possible in your negotiations. Please do not take any other action placing reliance on this information without first seeking the advice of a professional.