What is the actual process of selling/transfering a leasehold flat

mcplumb

I'm in the early stages of planning a sale of my flat to my own Ltd company. I'm happy with the legal and tax implications so all good.

My main query is - what is the actual process of selling a leasehold flat and how long does it take. The main differences with my sale/transfer being - no mortgages involved, no searches, no lease pack required.

I'm no sure of the freeholders role in the sale, are they involved pre completion ?

eddddy

mcplumb said:

I'm no sure of the freeholders role in the sale, are they involved pre completion ?

Your lease is your 'contract' with your freeholder - so it will say what you must do in relation to your freeholder. But, for what it's worth...

• Leases sometimes say you need a 'licence to assign' - that's permission from the freeholder to transfer ownership. (The freeholder will want a fee for this.)

• Just about all leases will require the new leaseholder to serve "a notice of assignment" - to give the freeholder details of the new leaseholder (The freeholder will want a fee for this as well.)

• There's also a "notice of charge" - to give the freeholder details of a mortgage lender - but you say you don't need a mortgage.

• Some leases require the new leaseholder to sign a 'deed of covenant - they sign confirming they will adhere to the terms of the lease. Most lawyers agree that this is unnecessary from a legal perspective, but if the lease says you have to do it - then you have to do it. (The freeholder will want another fee for this as well.)