I've found a house that seems to be perfect, at a great price which is making it all the more appealing. I have just been informed that it's a leasehold rather than freehold. I am assuming that there are issues purchasing a leasehold house in Newhaven. Conveyancing advisers have are about to be appointed. Will my lawyers set out the risks of buying a leasehold house in Newhaven ?

The majority of houses in Newhaven are freehold rather than 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 apparent that you are purchasing in Newhaven so you should seriously consider shopping around for a Newhaven 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. Being a tenant you will not be at liberty to do whatever you want with the house. The lease comes with conditions for example requiring the landlord’sconsent to carry out alterations. You may also be required to pay a contribution towards the maintenance of the estate where the house is part of an estate. Your conveyancer should report to you on the legal implications.

Last month I purchased a leasehold flat in Newhaven. Am I liable to pay service charges for periods before completion of my purchase?

In a situation where the service charge has already been demanded from the previous lessee 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 be sure 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).

What advice can you give us when it comes to choosing a Newhaven conveyancing firm to deal with our lease extension?

If you are instructing a property lawyer for lease extension works (regardless if they are a Newhaven conveyancing firm) it is essential that he or she should be familiar with the legislation and specialises in this area of work. We recommend that you speak with several firms including non Newhaven conveyancing practices prior to instructing a firm. If the firm is ALEP accredited then that’s a bonus. Some following of questions might be of use:

• If they are not ALEP accredited then what is the reason?

Can they put you in touch with client in Newhaven who can give a testimonial?

Do you have any top tips for leasehold conveyancing in Newhaven with the intention of speeding up the sale process?

• Much of the delay in leasehold conveyancing in Newhaven can be bypassed where you instruct lawyers the minute you market your property and ask them to put together the leasehold documentation which will be required by the purchasers’ lawyers.
• Many landlords or managing agents in Newhaven charge for providing management packs for a leasehold homes. You or your lawyers should enquire as to the fee that they propose to charge. The management pack can be applied for on or before finding a buyer, thus reducing delays. The typical amount of time it takes to obtain the necessary information is three weeks. It is the most usual cause of delay in leasehold conveyancing in Newhaven.

A minority of Newhaven leases require Licence to Assign from the landlord. If this is the case, you should place the estate agents on notice to make sure that the purchasers obtain bank and professional references. Any bank reference should make it clear that the buyer is able to meet 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 lawyers.

If you are supposed to have a share in the Management Company, you should make sure that you have the original share certificate. Obtaining a replacement share certificate can be a lengthy process and frustrates many a Newhaven conveyancing deal. If a new share is needed, do contact the company officers or managing agents (if applicable) for this at the earliest opportunity.

You may think that you are aware of the number of years remaining on your lease but you should verify this by asking your lawyers. A buyer’s conveyancer will be unlikely to recommend their client to proceed with the purchase of a leasehold property the lease term is below 80 years. In the circumstances it is important at an as soon as possible that you consider whether the lease requires a lease extension. If it does, contact your solicitors before you put your home on the market for sale.

Our conveyancer has advised that he intends to complete and exchange simultaneously on the sale of our £125000 garden flat in Newhaven next Tuesday . The managing agents has quoted £348 for Certificate of Compliance, building insurance schedule and 3 years statements of service charge. Is the landlord entitled to charge exorbitant fees for a leasehold conveyance in Newhaven?

For most leasehold sales in Newhaven conveyancing will involve, queries regarding the management of a building inevitably needing to be answered directly by the freeholder or its agent, this includes :

• Answering pre-exchange enquiries
• Where consent is required before sale in Newhaven
• Supplying insurance information
• Deeds of covenant upon sale
• Registering of the assignment of the change of lessee after a sale

Your conveyancer will have no control over the level of the charges for this information but the average costs for the information for Newhaven leasehold property is £350. For Newhaven conveyancing transactions it is customary for the seller to pay for these costs. The landlord or their agents are under no legal obligation to answer such questions most will be willing to do so - albeit often at exorbitant prices where the fees bear little relation to the work involved. Unfortunately there is no law that requires fixed charges for administrative tasks. Neither is there any legal time frame by which they are obliged to provide answers.

Leasehold Conveyancing in Newhaven - A selection of Questions you should consider before buying

What prohibitions are contained in the Newhaven Lease? Where a Newhaven lease has fewer than eighty years it will affect the salability of the apartment. It is worth checking with your mortgage company that they are happy with remaining years on the lease. A short lease means that you will almost definitely have to extend the lease at some point and you need to have some idea of what this would cost. Remember, in most cases you would be be obliged to have been the owner of the residence for a couple of years before you are legally able to extend the lease. The majority of Newhaven leasehold flats will incur a service charge for the upkeep of the block invoiced on behalf of the landlord. If you acquire the property you will have to pay this contribution, normally periodically accross the year. This can vary from a couple of hundred pounds to thousands of pounds for buildings with lifts and large communal grounds. In all probability there will be a rentcharge to be met yearly, ordinarily this is not a large figure, say around £50-£100 but you need to check it because sometimes it could be many hundreds of pounds.

Other Topics

Lease Extensions in Newhaven