Questions and Answers: Victoria Dock leasehold conveyancing
My husband and I may need to let out our Victoria Dock garden flat temporarily due to taking a sabbatical. We used a Victoria Dock conveyancing firm in 2003 but they have since shut and we did not think at the time get any advice as to whether the lease permits subletting. How do we find out?
Even though your last Victoria Dock conveyancing solicitor is not available you can review your lease to check if you are permitted to let out the property. The accepted inference is that if the lease is silent, subletting is allowed. Quite often there is a prerequisite that you need to obtain permission from your landlord or some other party prior to subletting. The net result is you not allowed to sublet without prior permission. Such consent should not be unreasonably turned down. If your lease does not allow you to sublet you will need to ask your landlord for their consent.
My wife and I purchased a leasehold flat in Victoria Dock. Conveyancing and Yorkshire Building Society mortgage went though with no issue. I have received a letter from someone claiming to own the freehold. It included a demand for arrears of ground rent dating back to 1992. The conveyancing solicitor in Victoria Dock who previously acted has now retired.Do I pay?
The first thing you should do is make enquiries of the Land Registry to make sure that this person is indeed the new freeholder. It is not necessary to incur the fees of a Victoria Dock conveyancing solicitor to do this as you can do this on the Land Registry website for less than a fiver. Rest assured that in any event, even if this is the rightful freeholder, under the Limitation Act 1980 no more than 6 years of rent can be collected.
I am tempted by the attractive purchase price for a couple of flats in Victoria Dock which have about 50 years left on the leases. Will this present a problem?
There is no doubt about it. A leasehold apartment in Victoria Dock is a deteriorating asset as a result of the shortening lease. The nearer the lease gets to its expiry date, the more it adversely affects the salability of the property. The majority of purchasers and mortgage companies, leases with under 75 years become less and less marketable. On a more upbeat note, leaseholders can extend their leases by serving a Section 42 Notice. One stipulation is that they must have owned the premises 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 a residence 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 Victoria Dock conveyancing experts who will explain the options available to you during an initial telephone conversation free of charge. A more straightforward and quicker method of extending would be to contact your landlord directly and sound him out on the prospect of extending the lease You may find he or she is happy to negotiate informally and willing to consider your offer straight off, without having to involve anyone else. This will save you time and money and it could help you reach a lower price on the lease. 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 Victoria Dock conveyancing firm to carry out our lease extension conveyancing?
When appointing a property lawyer for lease extension works (regardless if they are a Victoria Dock conveyancing firm) it is essential 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 Victoria Dock 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:
- What volume of lease extensions have they carried out in Victoria Dock in the last twenty four months?
Our conveyancer has advised that he intends to complete and exchange simultaneously on the sale of our £450000 flat in Victoria Dock in six days. The management company has quoted £384 for Landlord’s certificate, building insurance schedule and previous years statements of service charge. Is it legal for a freeholder to charge exorbitant fees for a flat conveyance in Victoria Dock?
Victoria Dock conveyancing on leasehold flats ordinarily results in fees being invoiced by managing agents :
- Addressing pre-exchange questions
- Where consent is required before sale in Victoria Dock
- Supplying insurance information
- Deeds of covenant upon sale
- Registering of the assignment of the change of lessee after a sale
I invested in buying a split level flat in Victoria Dock, conveyancing having been completed 5 years ago. Can you let me have an estimate of the premium that my landlord can legally expect in return for granting a renewal of my lease? Similar properties in Victoria Dock with a long lease are worth £260,000. The ground rent is £45 invoiced every year. The lease terminates on 21st October 2081
You have 57 years remaining on your lease the likely cost is going to be between £29,500 and £34,000 as well as costs.
The figure that we have given is a general guide to costs for extending a lease, but we cannot give you a more accurate figure in the absence of comprehensive investigations. Do not use this information in tribunal or court proceedings. There are no doubt additional issues that need to be taken into account and you obviously should be as accurate as possible in your negotiations. Neither should you take any other action based on this information without first getting professional advice.
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