Top Five Questions relating to Newbridge leasehold conveyancing
Estate agents have just been given the go-ahead to market my 2 bed apartment in Newbridge.Conveyancing lawyers have not yet been instructed but I have just had a yearly service charge invoice – what should I do?
It best that you pay 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. This will smooth the conveyancing process.
I today plan to offer on a house that seems to meet my requirements, at a reasonable price which is making it all the more appealing. I have subsequently found out that the title is leasehold rather than freehold. I would have thought that there are issues buying a leasehold house in Newbridge. Conveyancing advisers have are soon to be instructed. Will they explain the issues?
Most houses in Newbridge are freehold and not leasehold. This is one of the situations where having a local conveyancer who is familiar with the area can assist with the conveyancing process. We note that you are purchasing in Newbridge in which case you should be looking for a Newbridge conveyancing solicitor and be sure that they have experience in dealing with leasehold houses. As a matter of priority 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 such as requiring the freeholder’sconsent to carry out changes to the property. You may also be required to pay a maintenance charge towards the upkeep of the communal areas where the property is located on an estate. Your lawyer will report to you on the legal implications.
Can you provide any advice for leasehold conveyancing in Newbridge from the point of view of saving time on the sale process?
- Much of the delay in leasehold conveyancing in Newbridge can be reduced if you appoint lawyers the minute your agents start marketing the property and ask them to collate the leasehold documentation needed by the purchasers’ representatives.
- The majority freeholders or managing agents in Newbridge levy fees for providing management packs for a leasehold premises. You or your lawyers should enquire as to the actual amount of the charges. The management information can be applied for on or before finding a buyer, thus accelerating the process. The typical amount of time it takes to obtain the necessary information is three weeks. It is the most common cause of frustration in leasehold conveyancing in Newbridge.
Our conveyancer has advised that he intends to complete and exchange simultaneously on our sale of a £225000 garden flat in Newbridge in 10 days. The landlords agents has quoted £360 for Certificate of Compliance, insurance certificate and 3 years statements of service charge. Is it legal for a freeholder to charge such fees for a flat conveyance in Newbridge?
Newbridge conveyancing on leasehold flats normally involves the purchaser’s solicitor sending enquiries for the landlord to answer. Although the landlord is not legally bound to answer such questions most will be content to assist. They may invoice a reasonable administration fee for responding to questions or supplying documentation. There is no upper cap for such fees. The average fee for the paperwork that you are referring to is over three hundred pounds, 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 entitlements and obligations in respect of administration charges, without which the charge is not strictly payable. Reality however dictates that you have little option but to pay whatever is requested of you should you wish to sell the property.
In relation to leasehold conveyancing in Newbridge what are the most frequent lease defects?
Leasehold conveyancing in Newbridge is not unique. Most leases are individual and drafting errors can result in certain sections are erroneous. The following missing provisions could result in a defective lease:
- Repairing obligations to or maintain parts of the building
- A duty to insure the building
- Clauses dealing with recovering service charges for expenditure on the building or common parts.
- Maintenance charge proportions which don’t add up to the correct percentage
You could encounter difficulties when selling your property if you have a defective lease primarily because it impacts on the ability to obtain a mortgage on the property. Nationwide Building Society, The Royal Bank of Scotland, and Nottingham Building Society all have very detailed conveyancing instructions when it comes to what is expected in a lease. Where a lender has been advised by their lawyers that the lease is defective they may refuse to grant the mortgage, obliging the purchaser to pull out.
I am the registered owner of a basement flat in Newbridge, conveyancing having been completed 8 years ago. How much will my lease extension cost? Similar properties in Newbridge with over 90 years remaining are worth £264,000. The average or mid-range amount of ground rent is £55 yearly. The lease expires on 21st October 2073
You have 51 years unexpired we estimate the price of your lease extension to span between £39,000 and £45,000 as well as costs.
The figure that we have given is a general guide to costs for extending a lease, but we are not able to supply a more accurate figure without more comprehensive investigations. You should not use this information in a Notice of Claim or as an informal offer. There may be additional concerns that need to be taken into account and you obviously should be as accurate as possible in your negotiations. Neither should you move forward based on this information without first seeking the advice of a professional.