Due to complete next month on a leasehold property in Holsworthy. Conveyancing lawyers have said that they are sending me a report on Monday. What should I be looking out for?

The report on title for your leasehold conveyancing in Holsworthy should include some of the following:

• You should receive a copy of the lease

I today plan to offer on a house that seems to meet my requirements, at a great price which is making it all the more appealing. I have just discovered that the title is leasehold rather than freehold. I would have thought that there are particular concerns buying a house with a leasehold title in Holsworthy. Conveyancing lawyers have not yet been instructed. Will my lawyers set out the implications of buying a leasehold house in Holsworthy ?

The majority of houses in Holsworthy are freehold and not leasehold. In this scenario it’s worth having a local conveyancer who is familiar with the area can assist with the conveyancing process. We note that you are buying in Holsworthy in which case you should be looking for a Holsworthy conveyancing solicitor and check that they have experience in advising on leasehold houses. As a matter of priority you will need to check the number of years remaining. Being a lessee 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 maintenance charge towards the maintenance of the communal areas where the house is located on an estate. Your solicitor should advise you fully on all the issues.

I am looking at a two maisonettes in Holsworthy both have approximately fifty years unexpired on the lease term. Do I need to be concerned?

There are plenty of short leases in Holsworthy. The lease is a legal document that entitles you to use the property for a prescribed time frame. As the lease shortens the marketability of the lease decreases and it becomes more expensive to extend the lease. For this reason it is often a good idea to increase the term of the lease. It is often difficulties arise selling premises with a short lease because mortgage companies less inclined to grant a loan on properties of this type. Lease enfranchisement can be a difficult process. We recommend you get professional help from a solicitor and surveyor with experience in this arena

I've recently bought a leasehold house in Holsworthy. Am I liable to pay service charges for periods before completion of my purchase?

In a situation where the service charge has already been demanded from the previous owner 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. It is an essential part 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).

When it comes to leasehold conveyancing in Holsworthy what are the most common lease problems?

There is nothing unique about leasehold conveyancing in Holsworthy. Most leases are individual and legal mistakes in the legal wording can result in certain clauses are wrong. For example, if your lease is missing any of the following, it could be defective:

• Repairing obligations to or maintain elements of the premises
• A duty to insure the building
• Clauses dealing with recovering service charges for expenditure on the building or common parts.
• Maintenance charge proportions which don’t add up to the correct percentage

You may encounter a problem when selling your property if you have a defective lease as they can affect a potential buyer’s ability to obtain a mortgage. Lloyds TSB Bank, Chelsea Building Society, and Clydesdale all have very detailed conveyancing instructions when it comes to what is expected in a lease. If a mortgage lender believes that the lease does not cover certain provisions they may refuse to provide security, obliging the buyer to withdraw.

Leasehold Conveyancing in Holsworthy - Sample of Questions you should consider Prior to buying

Is anyone aware of any major works anticipated that will likely increase the maintenance costs? This information is useful as a) areas may cause problems for the block as the common areas may begin to deteriorate if maintenance are not paid for b) if the leasehold owners have an issue with the running of the building you will wish to have all the details For most Holsworthy leaseholds the cost for major works tend not to be included within service charges, although a few managing agents in Holsworthy obliged leaseholders to pay into a sinking fund and this is used to offset against major works.

Other Topics

Lease Extensions in Holsworthy