Small Heath leasehold conveyancing: Q and A’s
I am in need of some leasehold conveyancing in Small Heath. Before diving in I require certainty as to the number of years remaining on the lease.
Assuming the lease is recorded at the land registry - and almost all are in Small Heath - then the leasehold title will always include the short particulars of the lease, namely the date; the term; and the original parties. From a conveyancing perspective such details then enable any prospective buyer and lender to confirm that any lease they are looking at is the one relevant to that title.For any other purpose, such as confirming how long the term was granted for and calculating what is left, then the register should be sufficient on it's own.
Due to complete next month on a ground floor flat in Small Heath. Conveyancing solicitors have said that they will have a report out to me within the next couple of days. What should I be looking out for?
Your report on title for your leasehold conveyancing in Small Heath should include some of the following:
- The total extent of the property. This will be the flat itself but could also incorporate a roof space or cellar if applicable.
I am looking at a two flats in Small Heath which have in the region of 50 years unexpired on the leases. Should I regard a short lease as a deal breaker?
There is no doubt about it. A leasehold flat in Small Heath is a deteriorating asset as a result of the shortening lease. The nearer the lease gets to its expiry date, the more it reduces the value of the property. The majority of purchasers and lenders, leases with less than 75 years become less and less marketable. On a more positive note, leaseholders can extend their leases by serving a Section 42 Notice. One stipulation is that they must have owned the property for two years (unlike a Section 13 notice for purchasing the freehold, when leaseholders can participate from day one of ownership). When successful, they will have the right to an extension of 90 years to the current term and ground rent is effectively reduced to zero. Before moving forward with a purchase of property with a short lease term remaining you should talk to a solicitor specialising in lease extensions and leasehold enfranchisement. We are are happy to put you in touch with Small Heath conveyancing experts who will explain the options available to you during an initial telephone conversation free of charge. More often than not it is possible to negotiate informally with the freeholder to extend the lease They may agree to a smaller lump sum and an increase in the ground rent, but to shorter extension terms in return. You need to ensure that any new terms represent good long-term value compared with the standard benefits of the Section 42 Notice and that onerous clauses are not inserted into any redrafting of the lease.
What advice can you give us when it comes to finding a Small Heath conveyancing practice to deal with our lease extension?
When appointing a conveyancer for your lease extension (regardless if they are a Small Heath conveyancing firm) it is most important that they be familiar with the legislation and specialises in this area of conveyancing. We advise that you talk with two or three firms including non Small Heath conveyancing practices before you instructing a firm. Where the conveyancing practice is ALEP accredited then that’s a bonus. Some following of questions might be helpful:
- How experienced is the practice with lease extension legislation?
Can you provide any top tips for leasehold conveyancing in Small Heath with the purpose of speeding up the sale process?
- A significant proportion of the frustration in leasehold conveyancing in Small Heath can be bypassed if you appoint lawyers as soon as you market your property and request that they start to collate the leasehold documentation needed by the buyers conveyancers.
- Many freeholders or Management Companies in Small Heath charge for supplying management packs for a leasehold homes. You or your lawyers should discover the actual amount of the charges. The management pack sought as soon as you have a buyer, thus accelerating the process. The average time it takes to receive management information is three weeks. It is the most frequent cause of frustration in leasehold conveyancing in Small Heath.
Small Heath Conveyancing for Leasehold Flats - Examples of Queries Prior to buying
Who are the managing agents?
The best form of lease arrangement is a share of the freehold. In this arrangement the tenants have being in charge if their destiny and notwithstanding that a managing agent is often employed if it is bigger than a house conversion, the managing agent is directed by the tenants.
It is important to be aware whether a new roof is being installed or some other major work is due in the near future that will be shared amongst the tenants and may well materially impact the level of the service charges or require a specific invoice.