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    • anticlaus105
    • By anticlaus105 8th Apr 18, 5:56 PM
    • 332Posts
    • 71Thanks
    anticlaus105
    Chief rent / Rentcharge issue - UPDATED please help
    • #1
    • 8th Apr 18, 5:56 PM
    Chief rent / Rentcharge issue - UPDATED please help 8th Apr 18 at 5:56 PM
    I bought a property around 14 years ago with a business partner. Around a year later I bought the other half from my partner. During this 2nd purchase I also paid for !!!8220;absent landlord indemnity policy!!!8221;, but have no paperwork other than it being listed on the solicitor invoice. A couple of years later my ex business partner forwarded me some demands for chief rent for ~5pa. I investigated it and found it was legit, so have been paying it ever since. It didn!!!8217;t occur to me if my policy could have been used at this time. I once inquired about buying it out and was offered it for 500. Given this would take me 100 years to make back I just carried on paying it yearly. I did not know about the scheme to redeem it for approx. 16x its yearly value and have only just become aware of this.

    My last payment for ~5 was until end April 2018 and is listed as Chief Rent Charge.

    A few days ago I received a letter addressed to !!!8220;the long leaseholder!!!8221; from another company stating they had bought the !!!8220;freehold!!!8221; to my property and that all future rent payments !!!8220;under my lease!!!8221; are to be made to them. This letter contains an address discrepancy, asks for ~8pa, and says it is due for period end March 2018.

    I have emailed the company to enquire about the address discrepancy, the difference in charging period and amount and if they are trying to collect chief rent/rent charge? I am waiting for them to come back to me after the Easter break.

    The letter also says the !!!8220;relevant lease!!!8221; states the property must be insured by an insurance company that is !!!8220;approved by the landlord!!!8221; or I need to pay the 25pa. There are several mentions of lease for various reasons throughout the letter.

    I have the title plan from the land registry which has the lease as being for 40.0s.0d for 999 years in 1872 and a few properties (I think this may be where the new price comes from). There is also another paragraph - By an Assignment dated 1896 made between (1) (redacted) (2) (redacted) and (3) (redacted) and others the land in this title was informally exonerated from the rent reserved by the lease. I also have another document that is written in very old language that mentions apportionment.

    I have read some horror storied of people not paying these small amounts and then getting stung by old draconian laws. In fact, it appears that in some cases buying up these rent charges is done so unwitting property owners can be scammed for disproportionate admin fees later down the line. I wish I had known about the redemption option earlier but given the letter I have received am unsure if this would have been an option.

    Can anyone offer any advice/insight into what I can do going forward? I have had a look at the form to submit to redeem the rent charge but am unsure about a few elements. I!!!8217;m not sure if it applies to my case anyway. If it does would it be possible to complete myself with some online help, or am I going to need a solicitor? If so does anyone have a recommendation and likely cost? It asks for things like !!!8220;The type of deed (e.g. conveyance, registered transfer)!!!8221; and a few other things I don!!!8217;t think I have the details of. I am also concerned about the approved insurer part. This was never mentioned previously and I can see no mention of it in any paperwork I have. Can they impose/enforce this? TBH I'm also getting a bit mixed up with the various terminology.

    I also understand rent charges need to be paid within 40 days of their due date, whether asked for or not, otherwise the owner can create a lease/occupy the premises?
    Last edited by anticlaus105; 13-04-2018 at 11:49 AM.
Page 2
    • z1a
    • By z1a 13th Apr 18, 7:32 PM
    • 1,433 Posts
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    z1a
    I think it said 40.0s.0d so that is 40 old pre decimalisation s.

    I don't think chief rent had anything to do with the lease. You could have a freehold house and still have to pay chief rent.
    Originally posted by Cakeguts
    A is a Pre decimalisation or post.
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