Questions and Answers: Yarm On Tees leasehold conveyancing
My wife and I may need to let out our Yarm On Tees garden flat for a while due to taking a sabbatical. We instructed a Yarm On Tees conveyancing firm in 2002 but they have since shut and we did not think at the time get any guidance as to whether the lease permits subletting. How do we find out?
The lease dictates the relationship between the freeholder and you the leaseholder; specifically, it will indicate if subletting is not allowed, or permitted but only subject to certain conditions. The accepted inference is that if the lease contains no specific ban or restriction, subletting is permitted. Most leases in Yarm On Tees do not contain an absolute prevention of subletting – such a clause would adversely affect the market value the flat. In most cases there is a basic requirement that the owner notifies the freeholder, possibly sending a copy of the tenancy agreement.
I've recently bought a leasehold house in Yarm On Tees. Do I have any liability for service charges relating to a period prior to my ownership?
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. However, 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).
What advice can you give us when it comes to appointing a Yarm On Tees conveyancing firm to deal with our lease extension?
When appointing a conveyancer for lease extension works (regardless if they are a Yarm On Tees conveyancing firm) it is essential that he or she should be familiar with the legislation and specialises in this area of work. We suggested that you speak with several firms including non Yarm On Tees conveyancing practices prior to instructing a firm. Where the conveyancing practice is ALEP accredited then so much the better. Some following of questions might be useful:
- If the firm is not ALEP accredited then why not?
All being well we will complete the disposal of our £275000 flat in Yarm On Tees in just under a week. The landlords agents has quoted £312 for Certificate of Compliance, insurance certificate and previous years service charge statements. Is it legal for a freeholder to charge an administration fee for a flat conveyance in Yarm On Tees?
Yarm On Tees conveyancing on leasehold apartments ordinarily results in fees being invoiced by management companies :
- Addressing pre-exchange questions
- Where consent is required before sale in Yarm On Tees
- Copies of the building insurance and schedule
- Deeds of covenant upon sale
- Registering of the assignment of the change of lessee after a sale
When it comes to leasehold conveyancing in Yarm On Tees what are the most common lease defects?
Leasehold conveyancing in Yarm On Tees is not unique. Most leases are individual and legal mistakes in the legal wording can sometimes mean that certain provisions 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
- A provision for the recovery of money spent for the benefit of another party.
- Maintenance charge proportions which don’t add up to the correct percentage
A defective lease will likely cause issues when trying to sell a property as they can affect a potential buyer’s ability to obtain a mortgage. Lloyds TSB Bank, Barnsley Building Society, and TSB all have express 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, obliging the purchaser to pull out.
I invested in buying a ground floor flat in Yarm On Tees, conveyancing formalities finalised 7 years ago. How much will my lease extension cost? Similar properties in Yarm On Tees with an extended lease are worth £173,000. The average or mid-range amount of ground rent is £55 invoiced annually. The lease terminates on 21st October 2089
With 67 years unexpired we estimate the premium for your lease extension to range between £10,500 and £12,000 as well as plus your own and the landlord's "reasonable" professional fees.
The suggested premium range above a general guide to costs for extending a lease, but we are not able to advice on a more accurate figure in the absence of comprehensive investigations. You should not use the figures in a Notice of Claim or as an informal offer. There may be additional concerns that need to be considered and clearly you should be as accurate as possible in your negotiations. Please do not take any other action placing reliance on this information before getting professional advice.