Property register query

m0bov

Hi all, I know the following will be answered by my sol, but I'm impatient!

Whilst doing research for my ongoing purchase (share of freehold house), I went onto 192.com and ordered a report.

I noticed in the Property register it shows rent £30 rising to £60.

I am surprised at this since the vendor and EA have said its rent free as its share of freehold. The freehold is owned by a residence management company. Would I be paying rent or not? The lease was 999years when it started.

Also, the land registry shows a red line around the entire estate, nto just the house I am buying. :question:

Any ideas?

G_M

Firstly, ignore 192.com and buy the Title and Plan (£3 each) for the property from the Land Registry here.

Next- what do you mean by "share of freehold house"? Is this a 'shared ownership scheme? ie you are part buying and part renting? What proportion are you buying? Who will own the other % which you will be renting? If it is a shared owership scheme then yes, you will be paying rent - that's how shared ownersip works! You own half and rent the other half.

Next, on the LR Title, are there both a leasehold and a freehold Title? Which are you buying? One or both? Who currently owns each of them? Your 'seller' or someone else?

As for the red line
a) using 192.com is not going to give you definitive information
b) the Plan shown is probobly the area owned by the development company before they built houses and sold them off individually
c) the Title document that goes with the Plan you are looking at should describe what the red line means - but I suspect you've not got the Title have you?

No Plan (with or without coloured lines) is meaningful unless you read the associated Title document.

m0bov

Hi GM its not shared ownership. Its leasehold but i get an equal share of the freehold.

AnotherJoe

m0bov wrote: »

Hi GM its not shared ownership. Its leasehold but i get an equal share of the freehold.

I think you'll find in that case it's really two purchases, and that the leasehold pays a rent to the freeholder, but since that's you, there's no actual charge incurred.

Land_Registry

It reads as if you are buying a leasehold title and will also become a shareholder in the Management Company who own the freehold. This is quite common with all the flat/home owners having a share in the freehold/Management Company.

The freehold title will list the registered leases and its title plan will show a red line outlining the freehold extent
The leasehold title will refer to the lease details and its title plan will sometimes show the indicative extent but the lease tends to be the crucial document for understanding the demised extent.

The lease will also define any rent/maintenance charges.

Your solicitor will explain everything to you but the above, in my experience, tends to be the normal explanation

m0bov

Ok, that's fine. Yes I was told I would have share in FH. My sol is working on it, but just like to research these things myself to get a full understanding of it all. Thanks all.

G_M

m0bov wrote: »

Hi GM its not shared ownership. Its leasehold but i get an equal share of the freehold.

As others have explained, that is very different from "share of freehold house".

You are buying a lease. As I suggested, you can get a copy (for £3 each) of the lease's Title, and it's Plan.

You are also buying a share in the freehold Title. Again, for £3 each, you can get the Title and Plan for the freehold.

The lease will almost certainly require an annual ground rent payment by the leaseholder (you) to the freeholder (you and others jointly).