Parkstone leasehold conveyancing: Q and A’s
I only have 68 years unexpired on my flat in Parkstone. I now wish to get lease extension but my freeholder is missing. What should I do?
If you meet the appropriate requirements, 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 mean that your lease can be granted an extra 90 years by the Court. However, you will be required to demonstrate that you have used your best endeavours to locate the freeholder. For most situations an enquiry agent should be useful to try and locate and prepare a report which can be used as proof that the landlord can not be located. It is advisable to get professional help from a conveyancer both on devolving into the landlord’s disappearance and the application to the County Court overseeing Parkstone.
My wife and I purchased a leasehold house in Parkstone. Conveyancing and Britannia mortgage went though with no issue. I have received a letter from someone claiming to own the reversionary interest in the property. Attached was a demand for arrears of ground rent dating back to 1994. The conveyancing solicitor in Parkstone who previously acted has long since retired.Do I pay?
The first thing you should do is contact the Land Registry to be sure that the individual purporting to own the freehold is indeed the new freeholder. You do not need to instruct a Parkstone conveyancing practitioner to do this as you can do this on the Land Registry website for a few pound. Rest assured that regardless, even if this is the rightful freeholder, under the Limitation Act 1980 no more than 6 years of rent can be collected.
I am a negotiator for a reputable estate agent office in Parkstone where we have witnessed a few leasehold sales put at risk due to short leases. I have been given inconsistent advice from local Parkstone conveyancing solicitors. Can you clarify whether the vendor of a flat can commence the lease extension formalities 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 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 sit tight for 2 years to extend their lease. 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 sale.
Alternatively, it may be possible 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.
Completion in due on our sale of a £325000 maisonette in Parkstone in 5 days. The freeholder has quoted £372 for Landlord’s certificate, insurance certificate and 3 years statements of service charge. Is the landlord entitled to charge such fees for a leasehold conveyance in Parkstone?
Parkstone conveyancing on leasehold flats usually results in fees being raised by managing agents :
- Addressing pre-contract enquiries
- Where consent is required before sale in Parkstone
- Supplying insurance information
- Deeds of covenant upon sale
- Registering of the assignment of the change of lessee after a sale
What makes a Parkstone lease defective?
Leasehold conveyancing in Parkstone is not unique. Most leases are unique and drafting errors can sometimes mean that certain clauses are wrong. For example, if your lease is missing any of the following, it could be defective:
- A provision to repair to or maintain parts of the property
- Insurance obligations
- Clauses dealing with recovering service charges for expenditure on the building or common parts.
- Service charge per centages that don't add up correctly leaving a shortfall
You could encounter difficulties when selling your property if you have a defective lease as they can affect a potential buyer’s ability to obtain a mortgage. Halifax, Norwich and Peterborough 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 does not cover certain provisions they may refuse to provide security, forcing the buyer to withdraw.
Parkstone Conveyancing for Leasehold Flats - A selection of Queries Prior to Purchasing
You should be aware if it is fewer than eighty years it will impact the salability of the apartment. Check with your lender that they are willing to to proceed given the lease term. Leases with less than 80 years remaining means that you will most likely need a lease extension at some point and you need to have some idea of what this will be. Remember, in most cases you will be be obliged to have been the owner of the residence for 24 months in order to be entitled to carry out a lease extension.
It is important to be aware whether fixing the lift or some other major work is coming up to be shared between the tenants and will materially impact the level of the maintenance fees or result in a specific invoice.
How many of the leaseholders are in arrears for their service charge payments?