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  • FIRST POST
    • MSE Jenny
    • By MSE Jenny 8th Mar 12, 12:54 PM
    • 1,239Posts
    • 3,569Thanks
    MSE Jenny
    Buy Your Freehold - guide discussion
    • #1
    • 8th Mar 12, 12:54 PM
    Buy Your Freehold - guide discussion 8th Mar 12 at 12:54 PM



    Hi all, we've written a new Buy The Freehold guide to help you buy your freehold or get the right to manage.

    How did you find the info? If you've done it, how did it go and do you have any other tips you'd add? How much value do you think it added to your property?

    Thanks
    for your help!


    MSE Jenny

Page 1
  • podski111
    • #2
    • 10th Apr 12, 11:35 PM
    Query
    • #2
    • 10th Apr 12, 11:35 PM
    When i moved into my leasehold flat the freeholders lived in Australia.
    At some unknown point a few years later, i noticed the ground rent notice showed the freehold now belonged to the wife of one of the managing agents for the block.
    I queried this and they advised that it had been left in a will to the wife of the managing agent. They took great offence when i suggested that there was some underhand activity had taken place and suggested court action for my slanderous unfounded accusation.
    I just found it immensely unlikey that the three names previously on the freehold would have left the freehold in a will to the wife of the then mananging agents for the block without some back hand action. What are the chances that they were chosen at some point to manage the block then a wife of the partner should be left the freehold in a will? Or am I just too cynical?!
    My question therfore is, can I get someone to investigate the change of freeholders as at no point as leaseholders were we offered the chance to purchase the freehold for the block.
    There are ten flats in the block and I believe we could have sourced greater than 50 % interest in the purchase.
    These same people want in excess of 13000 to increase the lease by only as many years as will match the level of the first person that paid for lease renewal...i.e 13000 for approx 30 years increase. Does this sum sound excessive for a property worth only 125000?
    Sorry if I am being a bit question heavy!!
    • property.advert
    • By property.advert 10th Apr 12, 11:46 PM
    • 4,037 Posts
    • 2,158 Thanks
    property.advert
    • #3
    • 10th Apr 12, 11:46 PM
    • #3
    • 10th Apr 12, 11:46 PM
    Buy freeholds when interest rates are high and watch values rise as interest rates fall.
  • mouldylocks
    • #4
    • 11th Apr 12, 1:58 AM
    What value, if any, does my freehold have?
    • #4
    • 11th Apr 12, 1:58 AM
    My flat is one of two in a house conversion. I bought the freehold when I bought the flat - the other flat owner wasn't interested.
    Does the freehold have any real value, apart from the notional 1% when selling? I pay my own buildings insurance - should I be covering the upstairs flat too? Does the upstairs flat lease from me?
    Thanks for any advice
    • SKPatel
    • By SKPatel 11th Apr 12, 8:09 AM
    • 63 Posts
    • 24 Thanks
    SKPatel
    • #5
    • 11th Apr 12, 8:09 AM
    • #5
    • 11th Apr 12, 8:09 AM
    My flat is one of two in a house conversion. I bought the freehold when I bought the flat - the other flat owner wasn't interested.
    Does the freehold have any real value, apart from the notional 1% when selling? I pay my own buildings insurance - should I be covering the upstairs flat too? Does the upstairs flat lease from me?
    Thanks for any advice
    Originally posted by mouldylocks
    Hi, whether the freehold has any value depends on the length of your lease and your neighbour's lease. As to buildings insurance, you should check both leases (although both maybe be similar if not the same) to find out your obligations as the landlord or 'lessor'. You may also be entitled to ground rent from your neighbour as well as other contributions so its important you read the lease.
    Specialist in Lease Extensions and Freehold Acquisitions. Posts do not constitute advice.
  • mart.vader
    • #6
    • 11th Apr 12, 9:55 AM
    • #6
    • 11th Apr 12, 9:55 AM
    I queried this and they advised that it had been left in a will to the wife of the managing agent. They took great offence when i suggested that there was some underhand activity had taken place and suggested court action for my slanderous unfounded accusation.
    Originally posted by podski111
    I am not legally up-to-date with the other aspects of your question, but, if you just put your allegations to them, and did not publish in, say, a newspaper, magazine or blog, it's definitely NOT slanderous, libellous or even defamatory. There can be no court action.
    • moneyuser
    • By moneyuser 11th Apr 12, 10:04 AM
    • 1,058 Posts
    • 466 Thanks
    moneyuser
    • #7
    • 11th Apr 12, 10:04 AM
    • #7
    • 11th Apr 12, 10:04 AM
    What's the difference between a leasehold flat and house? Does this article still apply for a leasehold house?

    I've been looking at a house which is on a nice estate but I'm put off due to it being leasehold. Haven't come across a leasehold house in this area before.
    Last edited by moneyuser; 11-04-2012 at 10:29 AM. Reason: spelling :(
  • MoneyMagic01273
    • #8
    • 11th Apr 12, 10:20 AM
    • #8
    • 11th Apr 12, 10:20 AM
    Wonder if someone can help:

    I live in a building that contains 3 converted flats (converted long ago). The owner of one of the flats apparently owns the freehold for the whole building.

    In this case I don't want to buy the entire freehold off him but am interested in whether I can buy a share of the freehold - and what process would I have to follow to do this.

    Do I have any rights in the case where I only want to purchase a 50% share of the freehold (assuming the other flat is not interested in purchasing a share)?

    Everything I read always talks primarily where you and the other leaseholders want to purchase the freehold wholey from the current freeholder but not sure about my situation...
    • MSE Jenny
    • By MSE Jenny 11th Apr 12, 10:22 AM
    • 1,239 Posts
    • 3,569 Thanks
    MSE Jenny
    • #9
    • 11th Apr 12, 10:22 AM
    • #9
    • 11th Apr 12, 10:22 AM
    What's the difference between a leasehold flat and house? Does this article still apply for a leasehold house?

    I've been looking at house which is on a nice estate but I'm put off due to it being leasehold. Haven't come across a leasehold housse in this area before.
    Originally posted by moneyuser
    Hi moneyuser,

    Leasehold houses are rare and the legislation is tricky, so seek advice from a solicitor with experience in the area. See the Leasehold Advisory Service's full guide to buying your house's freehold.
    • SKPatel
    • By SKPatel 11th Apr 12, 10:26 AM
    • 63 Posts
    • 24 Thanks
    SKPatel
    Different rules for extending leases and acquiring the freehold apply to leasehold houses. I would suggest you ask to see a copy of the lease and check your obligations and those of your landlord. Some house leases are quite short compared to flat leases and your obligations may relate mainly to contributing to the upkeep of the estate etc. The other thing to check is the term of the lease and what ground rent and service charges are payable.
    Specialist in Lease Extensions and Freehold Acquisitions. Posts do not constitute advice.
  • mouldylocks
    Thanks, Sajel
    Hi, whether the freehold has any value depends on the length of your lease and your neighbour's lease. As to buildings insurance, you should check both leases (although both maybe be similar if not the same) to find out your obligations as the landlord or 'lessor'. You may also be entitled to ground rent from your neighbour as well as other contributions so its important you read the lease.
    Originally posted by SKPatel
    Thank you, Sajel, for taking the trouble to advise me.
    Can you advise on how I would check my neighbour's lease? Would I have to contact her (she lets out her flat) and ask to see it?
    • retro1981
    • By retro1981 11th Apr 12, 12:26 PM
    • 27 Posts
    • 9 Thanks
    retro1981
    Freehold from housing executive / council in Northern Ireland
    Hi,

    Does anyone know where I stand on this and if I can buy freehold, since it is a council and not a private agency? I bought my apartment in 2004, with a 100 year leasehold. The previous owner bought the apartment at a reduced rate after being a Housing Executive tennant.

    It is part of a block of 6, I pay the Housing Executive approx 80p per week for maintenance, service charges & buildings insurance, and 10 ground rent per year.

    Thanks!
  • propertyman
    When i moved into my leasehold flat the freeholders lived in Australia...................................Sorry if I am being a bit question heavy!!
    Originally posted by podski111
    If there are sufficient leaseholders that would qualify for the right to first refusal ( ie offend to sell to residents before another) then under the Landlord and Tenant Act 1987 that majesty can compel the current owners to declare what happened. You can then exercise your rights to compel a sale.

    http://www.legislation.gov.uk/ukpga/1987/31/section/11A

    You could also consider exercising the right to manage and remove the agent and run it yourself. You then only deal with them on freehold matters on which valuation advice,and time, would be required.

    This is an idea if only a few of you wish/can afford to purchase the freehold, ensuring that everyone is involved in managing under RTM, by encouraging them to support the minority group in buying the freehold by ensuring they are on equal footing for service charge expenditure and management.
    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 unicorn
  • propertyman
    Hi,

    Does anyone know where I stand on this and if I can buy freehold, since it is a council and not a private agency?

    Thanks!
    Originally posted by retro1981
    This NI government advice site may help

    http://www.housingadviceni.org/rights-when-renting/leaseholders-rights/overview-of-leasehold-law.html
    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 unicorn
    • SKPatel
    • By SKPatel 11th Apr 12, 4:18 PM
    • 63 Posts
    • 24 Thanks
    SKPatel
    Thank you, Sajel, for taking the trouble to advise me.
    Can you advise on how I would check my neighbour's lease? Would I have to contact her (she lets out her flat) and ask to see it?
    Originally posted by mouldylocks
    Sure, you should be able to obtain a copy of the Lease from the Land Registry website for a small fee.
    Specialist in Lease Extensions and Freehold Acquisitions. Posts do not constitute advice.
  • jakedamuss
    Hi all very informative thread. Just thought it might be a bit relevant due to the nature of the thread to write a post about commercial property lease.
    Anyway i was wondering if there is anyway legally i can purchase the freehold of a commercial property that i am the leaseholder of. I have took out 21 year lease??
    Having written to the Landlord regarding freehold purchase he has refused.
    Would really like to buy the freehold but not sure if i have any rights as to freehold as it is commercial property.
    Any help or advice PLS
  • anniewan
    Hi everyone. I was interested in buying a freehold 1st floor flat. Below is a leasehold flat. This person pays maintenance to the freeholder. I have tried various mortgage brokers and they all will not give a mortgage on a freehold flat. Yet this site is encouraging people to change from leasehold to freehold. Can anyone explain please?
    Last edited by anniewan; 13-04-2012 at 4:03 PM.
  • peteshev
    How to buy the freehold
    Hi there

    I have a top floor leasehold flat in a converted house (two flats) and I want to buy the freehold, is it true that I need both owners to buy the freehold?

    The owner of the ground floor flat does not live there and has people renting. I have no way of contacting the owner as the couple renting will not pass on the details of the owner. Can I just go ahead and purchase the freehold?

    Thanks

    Pete
    • SKPatel
    • By SKPatel 12th Apr 12, 4:21 PM
    • 63 Posts
    • 24 Thanks
    SKPatel
    Hi there

    I have a top floor leasehold flat in a converted house (two flats) and I want to buy the freehold, is it true that I need both owners to buy the freehold?

    The owner of the ground floor flat does not live there and has people renting. I have no way of contacting the owner as the couple renting will not pass on the details of the owner. Can I just go ahead and purchase the freehold?

    Thanks

    Pete
    Originally posted by peteshev
    Unfortunately, both you and your neighbour will need to participate in order to buy the freehold.

    A way around this would be to ask the landlord to serve formal notices on both of you with a view to selling the freehold. If your neighbour has not replied within the time frame given, the landlord can proceed to sell to you alone. However, this scenario assumes that the landlord wants to sell the freehold.
    Specialist in Lease Extensions and Freehold Acquisitions. Posts do not constitute advice.
  • propertyman
    Unfortunately, both you and your neighbour will need to participate in order to buy the freehold. .
    Originally posted by SKPatel
    That's not entirely correct I am afraid.

    As there two qualifying leaseholders the landlord must offer the freehold to all leaseholders-aka right to first refusal.

    If you cannot agree to purchase the freehold within the time frame, then the freeholder may sell it to you, this is not as suggested a work around, as it is exactly how the Act ( the law) intended for things to be.

    More commonly where a majority want to remove the freehold from the freeholder but lack the ability or will to do so themselves, they can nominate a purchaser. In this case you and the other flat exercise the right to buy and you are nominated as the nominated purchaser.

    If the freehold is owed by a company and the freehold is the sole asset ( and there are no liabilities) you can purchase the company without triggering the right to first refusal.
    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 unicorn
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