First time buyer , Unregistered/absent freeholder with registered good leashold title

davidmcn

mailjason07 said:

If any of you had to buy this house knowing about this issue of unregistered freehold, How much more would you have negotiated on the price ?? Just a rough Estimate in percentage / would you negotiate at all ?

If you've got an indemnity policy covering the (tiny) risk, then there is no effect on the value.

mailjason07

@davidmcn i agree if its a tiny issue . What about making and extension or an alteration. can I do these on this property. As far as the knowledge that I have I need to get councils permission and for this scenario I wont get any permission because they will reject saying freehold unregistered or anything of that sort. can I proceed without the knowledge of the leaseholder and take up an insurance. 
can you advice me on it, please.

greatcrested

mailjason07 said:

@davidmcn i agree if its a tiny issue . What about making and extension or an alteration. can I do these on this property. As far as the knowledge that I have I need to get councils permission and for this scenario I wont get any permission because they will reject saying freehold unregistered or anything of that sort. can I proceed without the knowledge of the leaseholder and take up an insurance. 
can you advice me on it, please.

By 'council permission' do you mean Planning Permission? The Planners will neither investigate nor care about the freeholder, or the lack of freehold registration

If you mean the council might have an involvement via rights over the land, that would suggest they are the freeholder.....

mailjason07

I agree the planners wont be bothered . But I read through some post in one of the forum, where the council does not grant the permission for an extension because of the unregistered freehold.  That's what concerns me the most. 
My solicitors woke up after three months to tell me that there is such a risk on the property or else we would have left the property and not wasted our time behind this. 

davidmcn

mailjason07 said:

But I read through some post in one of the forum, where the council does not grant the permission for an extension because of the unregistered freehold.

Can you direct us towards this post? I suspect either you've misunderstood something, or somebody was talking rubbish on it.

greatcrested

mailjason07 said:

I agree the planners wont be bothered . But I read through some post in one of the forum, where the council does not grant the permission for an extension because of the unregistered freehold.  That's what concerns me the most. 
My solicitors woke up after three months to tell me that there is such a risk on the property or else we would have left the property and not wasted our time behind this. 

The council only needs to 'grant permission' if

* planning consent is needed (already discused above) or

* they are themselves the freholder!

Please show us the link to the ridiculous- sounding post you saw.

mailjason07

@greatcrested and @davidmcn
I am trying my best to pull up that link that I read couple of days back. hopefully I will find it.

rik111

Your biggest worry should be if you can get a mortgage on this place. Banks can be funny about absentee freeholders. Might be different as it’s a house and not a flat....

davidmcn

rik111 said:

Your biggest worry should be if you can get a mortgage on this place. Banks can be funny about absentee freeholders.

A few, but most of them don't even need to be told about it if there is indemnity insurance in place.

mailjason07

@rik111 as mentioned by davidmcn the bank need not have to know, thats what even my solicitors mentioned. There is a clause in the mortgage terms and conditions which states if its a good title and in a marketable condition the bank doesn't have problems in lending the money. With all the indemnity insurances they are Okay to lend.