I own a freehold residence in Malpas yet invoiced for rent, why is this and what is this?
It is rare for properties in Malpas and has limited impact for conveyancing in Malpas but some freehold properties in England (particularly common in North West England) pay an annual sum known as a Chief Rent or a Rentcharge to a third party who has no other legal interest in the land.
Rentcharge payments are usually between £2.00 and £5.00 per year. Rentcharges date back many centuries, but the Rent Charge Act 1977 barred the establishment of fresh rentcharges post 1977.
Previous rentcharges can now be extinguished by making a lump sum payment under the Act. Any rentcharges that are still in existence post 2037 will be dispensed with completely.
My bid for a property was accepted at auction in Malpas. Conveyancing is necessary. What is next?
Having exchanged you now have to appoint a conveyancing practitioner quickly as you are faced with a fast approaching a drop dead date to complete the conveyancing. An auction property will have an associated legal set of papers. This should include most,if not all of the paperwork that your conveyancer will need. Where you are dealing with leasehold property the conveyancing pack should provide a copy of the lease, management information and a sellers leasehold information form and other conveyancing paperwork pertinent to a leasehold property. You need to give this to the solicitor working for you at the earliest opportunity. You also need to ensure that you have funds in place to complete on the date specified in the contract.
My conveyancer has informed me that absentee landlord insurance is necessary on my purchase. What is the level of cover for Malpas conveyancing?
The appropriate level of absentee landlord indemnity insurance depends on your lender. It would differ for example between Barclays and Barnsley Building Society. Conveyancing practitioners as opposed to borrowers take out such policies.
We have agreed to purchase a house in Malpas. A rare aspect is that the roof has a solar panel. Co-operative have issued a mortgage offer so presumably this is not a concern to them. Why is my solicitor raising questions about the panel?
As you are obtaining a mortgage with Co-operative your lawyer must follow the conveyancing requirements set out in Section two of UK Finance Lenders’ Handbook for Co-operative. The CML Handbook sets out minimum provisions for solar panel roof-space leases, and property lawyers are required to report to Co-operative where a lease does not comply with these specifications. The specifications relate to the installation of panels on properties countrywide and is not isolated to Malpas.
My colleague recommended that where I am buying in Malpas I should ask my conveyancer to execute a Neighbourhood, Planning and Local Amenity Search. What does it cover?
A search of this type is sometimes quoted for as part of the standard Malpas conveyancing searches. It is not a small report of more than thirty pages, listing and setting out significant information about Malpas around the property and the people living there. It includes an Aerial Photograph, Planning Applications, Land Use, Mobile Phone Masts, Rights of Way, the local Housing Market, Council Tax Banding, the type of People living in the area, the dominant type of Housing, the Average House Prices, Crime details, Malpas Education with maps and statistics, Local Amenities and other useful data concerning Malpas.
Given that I am about to part with hundreds of thousands of pounds on a house in Malpas I would like to talk to a lawyer about myconveyancing ahead of instructing the firm. Can this be arranged?
This is something that we encourage - it is our preference to talk to you we do not take any clients on without you first talking to the solicitor who will be carrying out your property ownership legalities in Malpas.There is no ‘factory style conveyancing’ - each client is unique person, not a matter number. The solicitors that we put you in touch with believe that the figure you are provided with for your conveyancing in Malpas should be the figure that you are charged.
I am looking at a two flats in Malpas both have about 50 years remaining on the leases. Should I regard a short lease as a deal breaker?
There is no doubt about it. A leasehold flat in Malpas is a wasting asset as a result of the reducing lease term. The closer the lease gets to zero years unexpired, the more it adversely affects the salability of the premises. The majority of purchasers and banks, leases with less than eighty years become less and less attractive. On a more upbeat note, leaseholders can extend their leases by serving a Section 42 Notice. One stipulation is that they must have owned the property for two years (unlike a Section 13 notice for purchasing the freehold, when leaseholders can participate from day one of ownership). When successful, they will have the right to an extension of 90 years to the current term and ground rent is effectively reduced to zero. Before moving forward with a purchase of a residence with a short lease term remaining you should talk to a solicitor specialising in lease extensions and leasehold enfranchisement. We are are happy to put you in touch with Malpas conveyancing experts who will explain the options available to you during an initial telephone conversation free of charge. A more straightforward and quicker method of extending would be to contact your landlord directly and sound him out on the prospect of extending the lease. They may agree to a smaller lump sum and an increase in the ground rent, but to shorter extension terms in return. You need to ensure that any new terms represent good long-term value compared with the standard benefits of the Section 42 Notice and that onerous clauses are not inserted into any redrafting of the lease.
I bought a leasehold flat in Malpas, conveyancing was carried out 10 years ago. Can you let me have an estimate of the premium that my landlord can legally expect in return for granting a renewal of my lease? Equivalent properties in Malpas with an extended lease are worth £195,000. The ground rent is £45 invoiced every year. The lease ceases on 21st October 2088
With only 63 years unexpired we estimate the price of your lease extension to be between £16,200 and £18,600 plus costs.
The suggested premium range that we have given is a general guide to costs for extending a lease, but we cannot give you the actual costs without more comprehensive due diligence. Do not use this information in a Notice of Claim or as an informal offer. There are no doubt other issues that need to be taken into account and clearly you should be as accurate as possible in your negotiations. You should not take any other action based on this information before getting professional advice.
Our conveyancer in Malpas has identified a defect with the lease for the property we are buying in Malpas. The seller’s lawyers have offered title insurance as a solution. We are happy with insurance and will cover the costs. Our solicitor has advised that as he is on the lender conveyancing panel he must check that the lender is happy with this solution. Who is the client here, us or the lender?
The short answer to your last question is that, notwithstanding the potential for a conflict of interest, you and the mortgage company are the client. A precondition to being on the lender approved panel is to comply with the UK Finance Lenders’ Handbook requirements. The UK Finance Lenders’ Handbook conditions require your lawyer to disclose issues such as defects will the lease so that the lender can be afforded the opportunity to check with their valuer as to the extent that the value of the property is affected . Should you refuse to allow your lawyer to make the appropriate notification then your lawyer will have no choice but to discontinue acting for you.