Implications of owning the freehold please...

fimonkey

I've just been to see a one bed ground floor flat that is converted from a house (so one bed flat upstairs too). the ground floor flat owns the freehold (not share of freehold).

What are the responsibilities of the freeholder? If I bought this flat could I just introduce a ground rent charge, any figure? Also am I responsible for organising maintenance etc (and splittnig cost with upstairs flat).

Also, the freehold flat comes with the back garden, whereas the upstairs flat comes with the garage. As a freeholder, could I re-claim the garage for my own use? Or re-write the lease contract if the upstairs ppl were to ever move out, so that I get the garage?

Also, what would happen say if I refused to renew the lease if upstairs wanted to sell?

AND lastly, if I wanted to extend the flat out into the garden, (subject to planning permission) would I need to get the co-operation of the leaseholder upstairs?

Anyway I can get info on the responsibilities of being a freeholder towards the leaseholder please?

Many thanks

hedgehogpenguin

glad you're not going to be my freeholder!!

fimonkey

LOL, I know how it sounds,... got no intention of being a meany... but do want to know the implications...

I can't understand why both flats aren't share of freehold.

cattie

fimonkey wrote: »

Also, what would happen say if I refused to renew the lease if upstairs wanted to sell?
Many thanks

After owning a flat for 2yrs a leaseholder has a legal right to a lease extension & if a reasonable market price cannot be agreed with the freeholder the leaseholder can apply to a tribunal to set a fair price.

And no, you can't just charge what ground rent you like. Ground rents are set & detailed in the lease & typically can range from £10- £150 per year. You will not be able to make a fast buck by trying to hike a ground rent up to the hilt. Leaseholders have protection in law these days thankfully.

All the info you need regarding leaseholds property is available on this site http://www.lease-advice.org/newintro.htm

fimonkey

I'm honestly NOT thinking of making a fast buck! But I am interested in what responsibilities a freeholder has. A freeholder has to organise buildings insurance right? And also be responsible for the maintenance required. Am I right? Any others?

Thanks for the link.

EdInvestor

fimonkey wrote: »

If I bought this flat could I just introduce a ground rent charge, any figure?

No.

Also am I responsible for organising maintenance etc (and splittnig cost with upstairs flat).

Yes.

Also, the freehold flat comes with the back garden, whereas the upstairs flat comes with the garage. As a freeholder, could I re-claim the garage for my own use?

No

Or re-write the lease contract if the upstairs ppl were to ever move out, so that I get the garage?

No

Also, what would happen say if I refused to renew the lease if upstairs wanted to sell?

Not possible: in any case leases are not renewable when flats are sold, they are renewable when they expire, and/or are extendable by negotiation (and a fee) when they get a bit short ( typically under around 70 years).

AND lastly, if I wanted to extend the flat out into the garden, (subject to planning permission) would I need to get the co-operation of the leaseholder upstairs?

Probably not.

Read your lease.Therein lies all the answers.

Richard_Webster

Read your lease.Therein lies all the answers.

That's it really. Ask your solicitor if you aren't sure.

As a conveyancing solicitor I believe the information given in the post to be useful but I accept no liability except to fee-paying clients.

pigeonpie

Richard_Webster wrote: »

That's it really. Ask your solicitor if you aren't sure.

As a conveyancing solicitor I believe the information given in the post to be useful but I accept no liability except to fee-paying clients.

good idea to read the lease to see what isn't in it as well. Often just as NB as what is. (eg the communal garden here isn't specified as such in the lease as the parasite wanted to keep his options open to build on it).

salomi

On a similar case, I have been looking to a first floor flat in a converted house and I was told that when the ground floor was sold got the whole of the garden and the flat above (that I am interested in) has the freehold.
Could someone let me know what does this mean in practical matters ie ( will I be able to walk through the garden to go to the garage or I would have to go from the perimeter outside the property?Also for example if the whole building burns to the ground do they have a claim to the land? And who is responsible for the maintenance of the roof? Many thanks

Richard_Webster

salomi wrote: »

On a similar case, I have been looking to a first floor flat in a converted house and I was told that when the ground floor was sold got the whole of the garden and the flat above (that I am interested in) has the freehold.
Could someone let me know what does this mean in practical matters ie ( will I be able to walk through the garden to go to the garage or I would have to go from the perimeter outside the property?Also for example if the whole building burns to the ground do they have a claim to the land? And who is responsible for the maintenance of the roof? Many thanks

If the building burns to the ground then the ground floor flat lease still relates to the airspace formerly occupied by the flat so the freeholder could not simply build on it without first negotiating with the ground floor flat owner to remove their lease.

The other points as about access through the garden and maintenance of the roof will depend on the wording of the lease of the other flat and can vary from lease to lease.

salomi

Would you describe the sitiuation I described above as Flying Freehold?