This guide outlines some of the additional matters you need to be aware of when selling a leasehold property.
If the property is leasehold and you have a landlord or make payments to a management company then in addition to the usual forms we shall also require:
- Copies of the last three years accounts.
- Receipts for ground rent, insurance and service charge contributions. Copy of the buildings insurance policy together with current schedule of cover.
- Copy of the memorandum and articles of association of the management company.
- If the management company is limited by share capital a copy of your share certificate in the management company.
- If the management company is limited by guarantee then a copy of the membership certificate.
- Name and address of the landlord/managing agent.
These will need to be supplied by your landlord or managing agent who may charge for this. The earlier it is applied for, the quicker the information can be provided to the buyer.
There will be additional forms to send to you relating to the leasehold interest. The buyers solicitors may also raise additional enquiries relating to the managing of the property. These can often be dealt with by the landlord/managing agents. Your buyers will require confirmation that there are no items of repair or maintenance which are likely to increase the level of service charge attributable for the next one/two year period.
Between exchange and completion we will need to obtain formal receipts made up to the actual completion date agreed. We will deal with any allowance or apportionment in your favour depending upon the dates up to which payments have been made.
Your buyers solicitors will serve notice on the landlord/management company informing them of the change of ownership and your buyer will be responsible for any such apportionments from this date.