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Help - has anyone been charged a "Fee Charged by Freeholder for Notice of Mortgage"
paper_turnip
Posts: 7 Forumite
Hi there,
We have just started the process of buying a new build flat and in the solicitor's initial letter to us specifying the charges we are likely to pay there is a "Fee Charged by Freeholder for Notice of Mortgage (only applicable if purchasing with a mortgage) 0.5% of purchase price"
I've never come across this charge before and 0.5% of the £245,000 purchase price would be £1,200 so not a small amount! :mad:
Is this charge normal/fair/expected. Can I challenge it at all?
many thanks!
We have just started the process of buying a new build flat and in the solicitor's initial letter to us specifying the charges we are likely to pay there is a "Fee Charged by Freeholder for Notice of Mortgage (only applicable if purchasing with a mortgage) 0.5% of purchase price"
I've never come across this charge before and 0.5% of the £245,000 purchase price would be £1,200 so not a small amount! :mad:
Is this charge normal/fair/expected. Can I challenge it at all?
many thanks!
0
Comments
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paper_turnip wrote: »Hi there,
We have just started the process of buying a new build flat and in the solicitor's initial letter to us specifying the charges we are likely to pay there is a "Fee Charged by Freeholder for Notice of Mortgage (only applicable if purchasing with a mortgage) 0.5% of purchase price"
I've never come across this charge before and 0.5% of the £245,000 purchase price would be £1,200 so not a small amount! :mad:
Is this charge normal/fair/expected. Can I challenge it at all?
many thanks!
Freeholder/landlord notice fees are not uncommon (im assuming your purchasing a leashold property?).
Usually in leasehold cases the freeholder or managing agents charge a fee for notice of assignment and charge.
Unless your solicitors have already got the management information then I assume they have just given you an estimate although doing it as a percentage of the purchase price is odd as I have never seen any agent charge like that.
Notice fees vary depending on managing agents/freeholder but would usually be from nothing - £100+vat. So if your having a mortgage then two notices will be served so in the majority of cases you wouldnt expect to pay more than £240, but usually a lot les.0 -
These clauses are not unusual and belong to particular stable of landlords known to extract the urine or in this case blood from a stone.
Sadly these clauses are enforceable and not covered by protections, and apply to subletting and to any future buyer.Stop! Think. Read the small print. Trust nothing and assume that it is your responsibility. That way it rarely goes wrong.
Actively hunting down the person who invented the imaginary tenure, "share freehold"; if you can show me one I will produce my daughter's unicorn0
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