We, unfortunately am going to have sell my Fathers flat to pay for a nursing home. I am a part freeholder on the property, the owner of the downstairs flat is the other part freeholder. The lease on my Dads flat is very short, approx 44 years. If we sell the flat part freehold will I still have to extend/renew the lease or as the part freehold is going with the place it won't matter? Your thoughts please.
Calling Estate agents
- Thread starter Paulus
- Start date
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Spinney
Bimbleur extraordinaire
- Location
- Back up north
You're going to need a conveyancer when you get a buyer - might be safest to ask them. Estate agents won't necessarily know.
Piemaster
Guru
- Location
- UK City of Culture
As above, ask a conveyancer. But I'm confused and curious anyway, your Fathers flat has a 44 year leasehold left on a property you part freehold? Or you have the freehold of the flat and your Father had a 44 year lease left with you?
I was under the impression most flats were leaseholds and the freehold of the building was separate, but then I've never owned one.
I was under the impression most flats were leaseholds and the freehold of the building was separate, but then I've never owned one.
The Jogger
Legendary Member
- Location
- Spain
Can you not just put a 999 year lease on it?
U
User6179
Guest
I am the part Freeholder, and he has a 44 year lease with me.. Flats were always leasehold, but now you can split the freehold between the owners. No mortgage lender will lend on a property with less than a 75 year lease, so my question is, when the property is sold, can I sell it part freehold and the short lease doesn't matter, or do I have to extend the lease?
Piemaster
Guru
- Location
- UK City of Culture
In that case I would have thought whatever you wanted to do with it. A thought though, to reduce the size of your Fathers assets, if it will make any difference to your local authority with paying for the nursing home, sell the flat as is (or even increase the lease to keep mortgage companies happy) but make it clear the freehold is also available separately from yourself. Will reduce asking price for the flat, so will need the sums doing.
MacB
Lover of things that come in 3's
- Location
- Farnborough, Hampshire
Lease is immaterial if you sell with share of freehold
Over The Hill
Guru
- Location
- Ridden off into the sunset
Conveyancer here!
It is probably a maisonette so Lease of 44 years owned with share of Freehold owned along with the other 1 or 3 flats.
Issue is that if (when) the lease runs out you revert to being a co-owner with the others not an owner. Also rightly or wrongly buyers will be put off and some lenders are idiots and work from tick boxes. Generally buyers are put off with anything less than 60 years unless in London.
It is a mess about but really not a huge job to grant a new lease or extend the term of the old one. It will make the title more attractive to buyers.
New lease - nice up to date terms as older leases have issues now.
Extend existing - Easier but carries over the bugs.
You may be able to get all the owners to agree to do all the leases together. I think one conveyancer could act for you all with the cost split.
IF others have a mortgage then they agree the lease but leave their title as it is and then take up the new lease on their sale. Reason for this is that the lender will have their lease title locked up and will be a pain and have charges to change. But you can add a long lease above their short lease.
It is probably a maisonette so Lease of 44 years owned with share of Freehold owned along with the other 1 or 3 flats.
Issue is that if (when) the lease runs out you revert to being a co-owner with the others not an owner. Also rightly or wrongly buyers will be put off and some lenders are idiots and work from tick boxes. Generally buyers are put off with anything less than 60 years unless in London.
It is a mess about but really not a huge job to grant a new lease or extend the term of the old one. It will make the title more attractive to buyers.
New lease - nice up to date terms as older leases have issues now.
Extend existing - Easier but carries over the bugs.
You may be able to get all the owners to agree to do all the leases together. I think one conveyancer could act for you all with the cost split.
IF others have a mortgage then they agree the lease but leave their title as it is and then take up the new lease on their sale. Reason for this is that the lender will have their lease title locked up and will be a pain and have charges to change. But you can add a long lease above their short lease.
