Most flats in England and Wales are sold as leasehold. You own the right to live in the flat for the length of the lease, while the freeholder or landlord owns the building and the land. That means there is more to check than with a freehold house.
The length of the lease
Leases are granted for a fixed number of years. As the remaining term gets shorter, the flat can become harder to sell or mortgage, and many lenders have minimum requirements. We check how many years are left and what that means for you. We do not handle lease extensions ourselves, but we will tell you if one may be needed.
Ground rent and service charges
Ground rent is paid to the landlord. Some leases include ground rent that increases over time, which can affect value and mortgage options. Service charges cover the costs of running the building, such as insurance, cleaning and repairs. We review the accounts and budgets, and ask about planned major works.
Restrictions in the lease
Leases often control what you can do with the flat, such as alterations, letting it out, keeping pets or the type of flooring you can use. We tell you about any terms that could affect how you plan to use the property.
Building safety
For some buildings, particularly those of several storeys, there is additional building safety information to review. We make the right enquiries and explain the answers.
The management pack
The landlord or managing agent provides an information pack about the building, the service charges and the management. They charge a fee for it, which is a disbursement passed on at cost.
Our fees for leasehold purchases
A leasehold supplement applies to our fee because of the extra work involved. You can see the figure, with VAT, in our price list and instant quote.
This guide is general information, not legal advice for your situation. Every transaction is different, so please contact us to talk about yours.