Paul Hurdsfield - Joint Manchester AO Posted November 9, 2004 Share Posted November 9, 2004 I pay my annual ground rent to the developer who built my house, (£80 per year), I can buy the leasehold from them for 12x annual ground rent plus an admin charge, works out about a grand. To me it sounds a bargain, BUT do i need to go through a solicitor? or can i just go ahead and buy it from them? is it that straightforward? Have any of you guys done it? Any advice welcome, Ta Quote Link to comment Share on other sites More sharing options...
peterg Posted November 9, 2004 Share Posted November 9, 2004 I'd want a solicitor to have a look over what you're actually buying...... I bought a flat which was leasehold back in 1981 but don't understand if you're living there how come you don't have it already are you renting the property or did you buy it? if you bought it I'd have thought you would have bought the leasehold (rather than the freehold) at the time....now do you see why it might be worth getting a solicitor involved Quote Link to comment Share on other sites More sharing options...
Bananaman Posted November 9, 2004 Share Posted November 9, 2004 Paul Sounds like it's worth it, saves the hassle of paying every year, might make selling easyer, worth speaking to solicitor so you don't get shafted.... I wouldn't have thought that they would charge you much atall, especially if you go to the one who you used to buy the house as they wil know about this already - or they ******g well should..... Quote Link to comment Share on other sites More sharing options...
Paul Hurdsfield - Joint Manchester AO Posted November 9, 2004 Author Share Posted November 9, 2004 Thanks for the quick replies chaps Its what i thought really, just wanted a bit of back up. I did mention it to the solicitor who dealt with the house sale and he said give us a call when your ready (well he would wouldnt he ? they'll do anything for more money for doing very little), the guy came accross as a bit of a dozy tw*t when he did my house sale/purchase, and I just thought who needs a tw*t like that, and why should I pay him good money, but I suppose in the long run it's the right way to do it Quote Link to comment Share on other sites More sharing options...
Aves Posted November 9, 2004 Share Posted November 9, 2004 If you think you're buying the leasehold (when you're actually buying the freehold)..........I'd get some advice Quote Link to comment Share on other sites More sharing options...
S8ight Posted November 9, 2004 Share Posted November 9, 2004 If you think you're buying the leasehold (when you're actually buying the freehold)..........I'd get some advice thought if you bought the leasehold it becomes freehold ?? Quote Link to comment Share on other sites More sharing options...
samcooke Posted November 9, 2004 Share Posted November 9, 2004 If you think you're buying the leasehold (when you're actually buying the freehold)..........I'd get some advice Correct. Sounds like you already own the leasehold, you are probably being offered the freehold. Sooo many potential hidden responsibilities and clauses. Get a solicitor. Prolly only £300. Money very well spent. Quote Link to comment Share on other sites More sharing options...
higgsti Posted November 9, 2004 Share Posted November 9, 2004 well worth buying especially if its a new house the lease holder can inpose restrictions on you while the own it. and if a company takes over the leaseholds and you forget to pay 1 year they can legally take your house off you or slap you with a ridiculas admin fee .try £3.75 per year missed 2 years simarc the leaseholder charged me just under £500 this was 11 years ago.i bought the freehold after that .yes you do need a solicitor Quote Link to comment Share on other sites More sharing options...
Paul Hurdsfield - Joint Manchester AO Posted November 10, 2004 Author Share Posted November 10, 2004 If you think you're buying the leasehold (when you're actually buying the freehold)..........I'd get some advice thought if you bought the leasehold it becomes freehold ?? Thats exactly what I thought, you purchase the Leasehold the property then becomes Freehold. At the mo if I want to make any alterations/additions to the property even if its only a shed in my garden I have to get permission from the Leaseholder as well as Planning, building regs and God knows what else too. Quote Link to comment Share on other sites More sharing options...
Blatman Posted November 10, 2004 Share Posted November 10, 2004 I think you're getting the terms confused. You don't necessarilly buy the leasehold. You buy the lease. If you own the lease, then you own the ground and can lease it to someone else. They then become the leaseholder, while you retain the freehold, as you own the lease... I think... Anyhow, trust me when I say that Aves knows *precisely* what words to use, and when... Quote Link to comment Share on other sites More sharing options...
samcooke Posted November 10, 2004 Share Posted November 10, 2004 Thats exactly what I thought, you purchase the Leasehold the property then becomes Freehold No Mr H - talk to a solicitor or conveyancer. As Blatman says you have the right theory, but the wrong terminology. And FWIW the developer can still place restrictions (covenants) on the property even if you buy the freehold. This can include getting their permission for extensions and erections (oo-er) as you mention. Quote Link to comment Share on other sites More sharing options...
Paul Hurdsfield - Joint Manchester AO Posted November 10, 2004 Author Share Posted November 10, 2004 If you think you're buying the leasehold (when you're actually buying the freehold)..........I'd get some advice I think you're getting the terms confused. You don't necessarilly buy the leasehold. You buy the lease. If you own the lease, then you own the ground and can lease it to someone else. They then become the leaseholder, while you retain the freehold, as you own the lease... I think... Anyhow, trust me when I say that Aves knows *precisely* what words to use, and when... Thanks for all the replies guys I think I really knew what I had to do before I asked the Question cos' I said it here but I suppose in the long run it's the right way to do it Its just that the last time I bought a house was 30 years ago So I aint had many dealings with Conveyancing Solicitors for a long time, and as I said before, the guy who dealt with my latest sale/purchase really did come over as a dozy tw*t, I made it really easy for him:- No chain, 1 outright purchase, followed by 1 outright sale, couldn't be much easier than that, could it ? Quote Link to comment Share on other sites More sharing options...
samcooke Posted November 10, 2004 Share Posted November 10, 2004 If you let me choose a solicitor for you I get £100. So I expect you'd like to do that wouldn't you? Quote Link to comment Share on other sites More sharing options...
Mat Jackson Posted November 10, 2004 Share Posted November 10, 2004 Paul, Where are you based? I know an excellant solicitor for conveyancing etc who would be able to do this for you, she is also very reasonable. The company is exceptionally profesional and do not have the "money for old rope" attitude that some conveyancing solicitors have. Regards, Mat Quote Link to comment Share on other sites More sharing options...
Mike H Posted November 10, 2004 Share Posted November 10, 2004 If you know you are going to be there for more than 12 years then it may be worth it. Otherwise I wouldn't bother. Anywhere between 12 and 15 times the annual rent + charges is normal. Your landlord can impose restrictions on you to a certain extent, but as long as your lease states "such consent not to be reasonably witheld" or something like that then your landlord can't really stop you doing things to your property when you 'ask' him (ie when you write to your landlord before building above your garage). If your lease is a 'three nines' as they call it - ie 999 years then you are as good as freehold anyway. Not paying your ground rent may ultimately get you to court but all you have to do when that happens is pay your rent and the court will no longer be interested. AFAIK anyway. If in doubt get someone who knows "landlord and tennant" law to give your lease a quick once over, doesn't have to be a solicitor it can/should be a chartered surveyor. Mike Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.