Transfer of equity declined by leasehold

D_1988

Hi,

Can anyone tell what it means when the transfer of equity has been declined by the leasehold?

It has been accepted by my mortgage company and as far as I was aware had been completed, I have had confirmation from my solicitor and mortgage company about a month or two and as far as I was aware was finished.

I received a letter from my solicitor today saying that the leasehold have declined the transfer due to there being some arrears with them!

Could anyone tell me whether this is going to affect the transfer with the mortgage, land registry etc as I am a bit confused??

Thanks

kingstreet

It is the freeholder of the property who has he right to block a change of ownership if the current leaseholders have arrears of ground rent and service charges.

You would need to pay what's owing, before your transaction will be allowed to complete. If you do not do so, your mortgage lender will have to pay the arrears and will charge you for doing so.