I've found a house that seems to tick a lot of boxes, at a great 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 purchasing a house with a leasehold title in Saffron Walden. Conveyancing lawyers have not yet been instructed. Will my lawyers set out the implications of buying a leasehold house in Saffron Walden ?

Most houses in Saffron Walden are freehold and not leasehold. In this scenario it’s worth having a local solicitor used to dealing with such properties who can assist with the conveyancing process. it is apparent that you are buying in Saffron Walden so you should seriously consider shopping around for a Saffron Walden conveyancing solicitor and be sure that they are used to transacting on leasehold houses. First you will need to check the unexpired lease term. Being a leaseholder you will not be entirely free to do whatever you want with the house. The lease comes with conditions for example obtaining the landlord’sconsent to carry out changes to the property. It may be necessary to pay a service charge towards the maintenance of the estate where the property is part of an estate. Your solicitor should report to you on the legal implications.

Back In 2009, I bought a leasehold house in Saffron Walden. Conveyancing and Accord Mortgages Ltd mortgage organised. I have received a letter from someone saying they have taken over the reversionary interest in the property. It included a ground rent demand for rent dating back to 1996. The conveyancing solicitor in Saffron Walden who acted for me is not around.What should I do?

First contact HMLR to be sure that the individual purporting to own the freehold is indeed the new freeholder. You do not need to instruct a Saffron Walden conveyancing firm to do this as it can be done on-line for a few pound. Rest assured that in any event, even if this is the legitimate landlord, under the Limitation Act 1980 the limitation period for recovery of ground rent is six years.

I am looking at a two maisonettes in Saffron Walden which have about 50 years unexpired on the leases. Should I regard a short lease as a deal breaker?

A lease is a right to use the premises for a period of time. As the lease shortens the marketability of the lease reduces and it becomes more expensive to acquire a lease extension. For this reason it is advisable to increase the term of the lease. More often than not it is difficulties arise selling premises with a short lease because mortgage companies may be unwilling to lend money on properties of this type. Lease enfranchisement can be a protracted process. We recommend you get professional help from a conveyancer and surveyor with experience in this field

I am a negotiator for a busy estate agent office in Saffron Walden where we have experienced a number of flat sales put at risk due to short leases. I have received conflicting advice from local Saffron Walden conveyancing solicitors. Please can you confirm whether the vendor of a flat can instigate the lease extension formalities for the buyer?

Provided that the seller has been the owner 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 can avoid having to sit tight for 2 years to extend their lease. Both sets of lawyers will agree to form of assignment. The assignment needs to be completed prior to, or at the same time as completion of the disposal of the property.

An alternative approach is 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.

What makes a Saffron Walden lease defective?

There is nothing unique about leasehold conveyancing in Saffron Walden. Most leases are unique 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 elements of the premises
• 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

A defective lease can cause problems when trying to sell a property as they can affect a potential buyer’s ability to obtain a mortgage. HSBC Bank, Leeds Building Society, and Britannia all have very detailed conveyancing instructions when it comes to what is expected in a lease. If a mortgage lender believes that the lease is problematic they may refuse to grant the mortgage, forcing the buyer to withdraw.

Saffron Walden Conveyancing for Leasehold Flats - A selection of Queries Prior to Purchasing

Does the lease contain onerous restrictions? Where a Saffron Walden lease has fewer than 80 years it will have adverse implications on the value of the property. Check with your bank that they are happy with remaining years on the lease. A short lease means that you will probably need a lease extension at some point and you need to have some idea of how much this would cost. Remember, in most cases you would be required to have owned the property for 24 months in order to be legally able to extend the lease. Plenty Saffron Walden leasehold properties will have a service charge for the upkeep of the building levied by the landlord. If you acquire the property you will have to meet this liability, normally in instalments during the year. This can differ from a few hundred pounds to thousands of pounds for blocks with lifts and large communal areas. There will also be a ground rent to be met annual, normally this is not a large figure, say about £50-£100 but you should to enquire as on occasion it could be many hundreds of pounds.

Other Topics

Lease Extensions in Saffron Walden