Questions and Answers: Tyldesley leasehold conveyancing
I want to rent out my leasehold flat in Tyldesley. Conveyancing solicitor who did the purchase is retired - so can't ask him. Do I need to ask my freeholder for their consent?
A small minority of properties in Tyldesley do contain a provision to say that subletting is only allowed with permission. The landlord is not entitled to unreasonably withhold but, in such cases, they would need to see references. Experience dictates that problems are usually caused by unsatisfactory tenants rather than owner-occupiers and for that reason you can expect the freeholder to take up the references and consider them carefully before granting permission.
I today plan to offer on a house that seems to be perfect, at a reasonable figure which is making it all the more appealing. I have just found out that it's a leasehold rather than freehold. I would have thought that there are particular concerns buying a house with a leasehold title in Tyldesley. Conveyancing solicitors have are soon to be appointed. Will they explain the issues?
The majority of houses in Tyldesley are freehold and not leasehold. This is one of the situations where having a local solicitor who is familiar with the area can help the conveyancing process. We note that you are purchasing in Tyldesley so you should seriously consider shopping around for a Tyldesley conveyancing solicitor and check that they have experience in transacting on leasehold houses. As a matter of priority you will need to check the number of years remaining. As a leaseholder you will not be at liberty to do whatever you want with the house. The lease comes with conditions such as requiring the landlord’sconsent to carry out changes to the property. It may be necessary to pay a service charge towards the upkeep of the communal areas where the house is part of an estate. Your solicitor should appraise you on the various issues.
I've recently bought a leasehold house in Tyldesley. Do I have any liability for service charges for periods before completion of my purchase?
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. A critical element 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).
I work for a reputable estate agency in Tyldesley where we have witnessed a number of flat sales derailed as a result of short leases. I have been given conflicting advice from local Tyldesley conveyancing firms. Please can you shed some light as to whether the seller of a flat can instigate the lease extension process 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. The benefit of this is that the buyer 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 before, 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 purchaser.
What are your top tips when it comes to appointing a Tyldesley conveyancing practice to carry out our lease extension conveyancing?
When appointing a conveyancer for your lease extension (regardless if they are a Tyldesley conveyancing firm) it is most important that they be familiar with the legislation and specialises in this area of work. We advise that you make enquires with several firms including non Tyldesley conveyancing practices before you instructing a firm. If the firm is ALEP accredited then so much the better. Some following of questions might be of use:
- If they are not ALEP accredited then what is the reason?
Tyldesley Conveyancing for Leasehold Flats - A selection of Queries before buying
Does this lease have in excess of 82 years unexpired?
Plenty Tyldesley leasehold apartments will incur a service bill for the upkeep of the block set by the landlord. Should you acquire the flat you will have to meet this liability, normally in instalments throughout the year. This can vary from a few hundred pounds to thousands of pounds for blocks with lifts and large common grounds. In all probability there will be a rentcharge to be met annual, normally this is not a exorbitant sum, say approximately £25-£75 but you need to check as sometimes it can be prohibitively expensive.
The prefered form of lease arrangement is if the freehold reversion is owned by the leaseholders. In this situation the leaseholders benefit from control and notwithstanding that a managing agent is usually retained if the building is bigger than a house conversion, the managing agent is directed by the tenants.