Interested to buy share of freehold flat

cherry76

I have done some research regarding share of freehold and I am still very confused. The flat I am interested consists of a block of 4. EA told me there is no lease or service charge and expenses are divided between 4. My uderstanding is share of freehold means I will have 25% but there is still a lease on the flat. I also understand you require consent from the other share of freeholders if you intend to sell in the future or extend the lease. When viewing what questions shoul I ask the owner regarding share of freehold? Will each flat has the same length of lease? Thanks

BitterAndTwisted

Take no notice of anything an EA may tell you about leaasehold/freehold. It appears that you have a better understanding than they do.

Leasehold and any share of the freehold are two completely separate things but are dealt with all of a piece. That is, you cannot go on sell the leasehold without the share of the freehold it's attached to. Well, you could but it would be crazy.

It's my understanding that if you buy this property and decide to sell at some point later the other leaseholders cannot restrict who you sell it to. And yes, it is common for all leaseholds to be the same length but not always in every case.

Some friends of mine own a flat in a property with three others and they don't have a service-charge either. They just meet up and agree what repairs or maintenance needs to be done and share the cost according to the leases.

GAH

You are effectively correct here, and the Agent is telling you fibs that there won't be a lease, as there will be.

Anything quoted by the EA or Vendor should be taken at face value, your solicitor will gather the correct information.

BitterAndTwisted

Issues regarding leaseholds are not the particular area of expertise for an LA. Their expertise is selling properties. Talk to the vendor. Once you make a decision to go ahead your conveyancing solicitor will have all the info once they have seen all the documentation. Even some people who have bought flats have a very sketchy understanding of what they have bought and how long the lease is.

Richard_Webster

First thing you must understand is that "shred freehold" is not a separate kind of ownership distinct form freehold or leasehold. It simply leasehold where the leasehold flat owners collectively directly, or indirectly through a company, own the freehold. Because of the confusion that is caused Propertyman has suggested a terrible fate for the person who invented the expression!

It's my understanding that if you buy this property and decide to sell at some point later the other leaseholders cannot restrict who you sell it to.

Strictly this is right, but you only have an unrestricted right to sell the leasehold. If the co-freeholders don't agree to the transfer of the "share" in the freehold then you are stuck. If freehold belongs to ABC and U (you) then when you want to sell your flat P your purchaser will want the share of the freehold transferred to him so ABCU all have to sign to transfer so the freehold is held by ABCP.

If the freehold belongs to a company controlled by the flat owners then a majority vote decides and the freehold doesn't get transferred at all - you simply get a share in or membership of the company.

Alternatively there should be a deed of trust which obliges the freeholders to transfer to a new flat buyer and provides a way of dispensing with the signature of an awkward or absent co-freeholder

brightonman123

freehold will be for the whole building. the flat is most likely on a lease.

check with http://www.landregistry.gov.uk/