Questions and Answers: Hessle leasehold conveyancing
My fiance and I may need to sub-let our Hessle basement flat for a while due to a career opportunity. We used a Hessle conveyancing firm in 2004 but they have since shut and we did not think at the time seek any guidance as to whether the lease allows us to sublet. How do we find out?
A small minority of properties in Hessle do contain a provision to say that subletting is only permitted with prior consent from the landlord. The landlord is not entitled to unreasonably withhold but, in such cases, they would need to review 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.
Looking forward to exchange soon on a ground floor flat in Hessle. Conveyancing lawyers have said that they will have a report out to me on Monday. Are there areas in the report that I should be focusing on?
Your report on title for your leasehold conveyancing in Hessle should include some of the following:
- The total extent of the premises. This will be the apartment itself but may include a roof space or cellar if appropriate.
- Defining your rights in respect of common areas in the building.E.G., does the lease grant a right of way over a path or hallways?
- Does the lease require carpeting throughout thus preventing wood flooring?
- Ground rent - how much and when you need to pay, and also know whether this is subject to change
- Changes to the flat (alterations and additions)
- The landlord’s obligations to repair and maintain the building. It is important that you know who is responsible for the repair and maintenance of every part of the building
- What options are open to you if a neighbour is in violation of a provision in their lease?
I am attracted to a couple of maisonettes in Hessle which have about 50 years left on the leases. Will this present a problem?
There are plenty of short leases in Hessle. The lease is a right to use the property for a prescribed time frame. As the lease gets shorter the marketability of the lease reduces and it becomes more costly to extend the lease. This is why it is advisable to increase the term of the lease. More often than not it is difficult to sell a property with a short lease as mortgage lenders less inclined to grant a loan on such properties. Lease extension can be a difficult process. We recommend you get professional assistance from a solicitor and surveyor with experience in this area
I am a negotiator for a long established estate agency in Hessle where we have witnessed a few flat sales put at risk as a result of short leases. I have been given conflicting advice from local Hessle conveyancing firms. Could you clarify whether the owner of a flat can initiate the lease extension formalities 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 kick-start the lease extension process and assign the benefit of the notice to the purchaser. This means that the buyer can avoid having to sit tight for 2 years for a lease extension. Both sets of lawyers will agree to form of assignment. The assignment has to be done prior to, or at the same time as completion of the sale.
Alternatively, it may be possible 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.
Can you provide any top tips for leasehold conveyancing in Hessle with the purpose of saving time on the sale process?
- A significant proportion of the delay in leasehold conveyancing in Hessle can be reduced where you appoint lawyers as soon as you market your property and request that they start to collate the leasehold information which will be required by the buyers conveyancers.
- If you have carried out any alterations to the residence would they have required Landlord’s approval? Have you, for example installed wooden flooring? Hessle leases often stipulate that internal structural changes or laying down wooden flooring necessitate a licence from the Landlord consenting to such works. Where you fail to have the consents to hand do not communicate with the landlord without contacting your lawyer in advance.
- If there is a history of any disputes with your freeholder or managing agents it is essential that these are settled prior to the flat being put on the market. The buyers and their solicitors will be reluctant to purchase a property where there is an ongoing dispute. You may need to swallow your pride and discharge any arrears of service charge or resolve the dispute prior to completion of the sale. It is therefore preferable to have any dispute settled prior to the contract papers being issued to the buyers’ solicitors. You will still have to reveal particulars of the dispute to the buyers, but it is clearly preferable to present the dispute as historic rather than unsettled.
- If you are supposed to have a share in the freehold, you should ensure that you are holding the original share certificate. Arranging a replacement share certificate is often a lengthy formality and frustrates many a Hessle home move. Where a reissued share is necessary, you should approach the company director and secretary or managing agents (if applicable) for this at the earliest opportunity.
- You may think that you are aware of the number of years left on your lease but you should verify this via your lawyers. A buyer’s conveyancer will not be happy to advise their client to proceed with the purchase of a leasehold property the lease term is less than 75 years. It is therefore essential at an early stage that you identify whether the lease requires a lease extension. If it does, contact your solicitors before you put your property on the market for sale.
I purchased a studio flat in Hessle, conveyancing was carried out half a dozen 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? Comparable properties in Hessle with over 90 years remaining are worth £183,000. The ground rent is £60 per annum. The lease runs out on 21st October 2100
With 74 years left to run the likely cost is going to range between £9,500 and £11,000 as well as plus your own and the landlord's "reasonable" professional fees.
The figure that we have given is a general guide to costs for extending a lease, but we cannot give you the actual costs in the absence of detailed investigations. Do not use this information in a Notice of Claim or as an informal offer. There may be other concerns that need to be considered and you obviously should be as accurate as possible in your negotiations. You should not move forward based on this information without first getting professional advice.