Leasehold Advice - 57 years to go!

Richard_Webster

As an aside, don't listen to what the EA says. They are always optimistic about extending leases or purchasing freeholds. The real power in this situation is with the freeholder, and the relationships with the other tenants.

I agree. The estate agent won't have the first idea and will tell you anything to get you to buy the place.

mlz1413

Put your questions in writing to your solicitor.

Ask how much the managing company charge per annum for ground rent and maintenance.

How much 'fund' they have currently (there should always be a fund available for repairs things like painting the building, car park repair etc

How much they charge to renew the lease and how many years you get per extention.

How long you have to be an owner before you will be granted the extention.

If your flat is in a block of 6 then chatting to the neighbours could be really helpful in knowing how good the management company is, but if the flat is in a block of 20 + then just looking around will tell.
Do they have a digital communal aerial? Are communal area well lit and clean? Are the grounds weed free and generally cared for?

Falling in love with a flat can soon be tarnished if the management co charge £600 pm or don't do repairs.

Fire_Fox

Whilst you are not the leaseholder you have NO right to contact the freeholder and he has NO legal responsibility to negotiate with you. You need to speak to the current leaseholder direct, better still to your solicitor who will liaise with the freeholder via the current leaseholder. It will take probably many months and the cost depends on the value of the property plus the length of the lease so there is no ballpark. You may get a small mortgage on the flat as it is, but that doesn't resolve the matter of how you fund the lease extension and associated legal costs.

As has already been suggested, everything you need to know is on the LEASE website, it's all in plain English. If the flat is a repo then it may be that the lenders are now the leaseholder but they are unlikely to want to wait several months for extension. If you purchase then you will have to wait two years for the right to extend the lease, which puts you in a weak bargaining position. You also need to know how much of the service charge has gone unpaid, you will need to pay that off IN FULL at the point of purchase - the lender and your solicitor will usually insist upon that.
http://www.lease-advice.org/publications/

Personally I think would be a punt for a cash purchaser, if you haven't the foggiest about leasehold after some research it is madness. This is coming from a veteran of a three + year dispute with our old freeholder/ managing agents. If you do proceed you should appoint a solicitor experienced in leasehold disputes and Leasehold Valuation Tribunals NOT simply a conveyancer.

mart.vader

I have a feeling that at least most of what Fire Fox says is correct.

The FH does not have to deal with you, he only has an obligation to deal with the current Leaseholder, and even then he can mess about for years on end if he wants to , all the time the lease is shortening and his premium is getting bigger. Hope your FH is reasonable ! !

That's why there is a set-down procedure overseen by the Leasehold Valuation Tribunals, which stops his or your unreasonable delaying tactics. The LVT will probably give you a little advice as a prospective leaseholder though.

Definitely get a solicitor who knows this procedure, a crooked FH can cost you loads.