Freehold/leasehold carry on

Status
Not open for further replies.

Joe Public

Striker
The bloke who owns the flat downstairs from mine has messaged me saying he needs to increase the leasehold on his flat ahead of a sale (me being the freeholder) , what's the usual process to sort this? Do I need a solicitor and ask him to put everything through them? I know he is sidling up to me to try and get it on the cheap.
 


The bloke who owns the flat downstairs from mine has messaged me saying he needs to increase the leasehold on his flat ahead of a sale (me being the freeholder) , what's the usual process to sort this? Do I need a solicitor and ask him to put everything through them? I know he is sidling up to me to try and get it on the cheap.

Do you own the lease on his flat?
 
I'd just like to weigh in here and say
"Freehold Managers are a massive bunch of kernts"

Thank you for your time
 
Not sure if it'll help but I extended my flat lease, took about 10-12 months from start of process to finish, I wrote off informally asking how much it would be to extend, the management company replied with an amount and change in ground rent charges after I'd paid an admin fee, which would see the ground rent rise periodically going forward with RPI. I then appointed a surveyor to give a valuation, they sent a surveyor up from down South to do the same and I paid my surveryor to negotiate and asked my solicitor to serve the statutory notice as I'd lived in the flat longer than 2 years (section 42), and could then get rid of the ground rent to £0 and force a 125 year extension. Once the price was sorted it was handed over to my solicitor to sort out, it took a lot of time to sort with land registry. You should be able to get your surveyor and legal fees paid for by the leaseholder. If the lease is under 80 years they prove more costly for the leaseholder to extend, and mortgage companies don't tend to like on them if the lease has less than 55-60 years on them.
 
He's down to 69 years and has it up for sale for 75k, the online calc says it should be about £5k, think I'd be willing to take 3ish tho.

How much did U pay if you don't mind me asking.

He's owned it for about 9 years but I've never asked him for any ground rent.
 
I have a flat with about 90 years on it.

Really could do with extending it but I reckon it would cost me a lot. I think there is an arbitration process
 
He's down to 69 years and has it up for sale for 75k, the online calc says it should be about £5k, think I'd be willing to take 3ish tho.

How much did U pay if you don't mind me asking.

He's owned it for about 9 years but I've never asked him for any ground rent.
They wanted just under 16k for a flat that's valued roughly £75k but these are a firm who turnover millions doing this process. They wanted the ground rent to go from £20 to £250 then i think rising with inflation each 3 years. I had 57 or 56 years left so that does make a big difference to your case. The surveyor I used got it down to a range of £8250 to £10000 ish and agreed somewhere about 9-9.5k, with me paying about 3.5-4K for both lots of fees. I'd personally get a surveyor and take it from there. I did talk to my neighbours who managed to get the initial quote down from the 16k informally by writing to the management company to more like 13k but I suspect they still paid at least the management company legal and surveyor fees and I suspect own legal fees. I knew when I bought I'd have to do it and had a rough price of 15k in my head, and had bought it as a repossession in 2010 discounted by about 20k to what other flats were going for.
 
Is it a Tyneside flat/crossover lease (you both have each other's FH)?

If not, there a calculator online on the Leasehold advisory site if that helps which should help you/them.
 
Is it a Tyneside flat/crossover lease (you both have each other's FH)?

If not, there a calculator online on the Leasehold advisory site if that helps which should help you/them.

It's a Tyneside flat, but I'm upstairs and I own the freehold.

I've done the calc and it comes out at £5k, but think id take a bit less.
 
Had a message off the lad saying he doesn't think he has to pay anything other than the legal costs for extending it, anyone heard of this before?!?
 
Had a message off the lad saying he doesn't think he has to pay anything other than the legal costs for extending it, anyone heard of this before?!?

He can think what he likes but either you enter an informal agreement where he pays you an agreed fee , valuation fees and his legal fees or go down a formal route where he will have to pay the above plus your legal fees. I would get some advice from a property lawyer , a lot of places give a free initial first consultation which will cover the process
 
Had a message off the lad saying he doesn't think he has to pay anything other than the legal costs for extending it, anyone heard of this before?!?

He probably gets his advice off here anarl mate.

Take him to the cleaners as he's trying to be a clever ****.
 
He's owned it for about 9 years but I've never asked him for any ground rent.

Is that wise? I confess to not being a contract law expert, but lots of things don't seem to be deemed as a contract until their is some financial consideration in place, a peppercorn rent would probably suffice.

Slightly different, but I know I have been advised not to do "free" work for charities so that a contract is enforced (ie. showing they agreed to my terms) so I charge them £1, invoice them for that and then put it in their collection tin!
 
Had a message off the lad saying he doesn't think he has to pay anything other than the legal costs for extending it, anyone heard of this before?!?
Wish that was the case with mine, as said above take the fee that's owed, it's your legal right, it's his problem to sell it and if he doesn't and let's it run it's all good for you in the long term. A lot of people will have bought these and not paid any attention to how long the leases have left. This is who I used http://mjboaden.co.uk/leasehold-timebomb/
 
Status
Not open for further replies.

Back
Top