Management pack vital to sell leasehold property

A leasehold property is where you own the internal parts of a building for a fixed period of time, as per your legal agreement with the freeholder.

These are usually flats, but if your property is a shared ownership property, you may have a leasehold house.

If you are wanting to sell a leasehold property, this will transfer the lease to the new leaseholder. When the lease remaining has less than 80 years left, you may encounter difficulties with selling the property and you might need to think about extending the lease.

In order to sell a leasehold property, it’s vital that a leasehold management pack is obtained either from the freeholder or the management company/ managing agent to provide to the buyer.

This will include a collection of documents with relevant information about details required such as ground rent and service charges.

Ground rent – the pack will contain information as to how much ground rent you pay and when it is due.

It will demonstrate the total amount you have paid so far and will make the buyer aware of when the next payments are to be made.

If you have already paid beyond your period of ownership, your legal representative will deal with apportionments to reimburse you.

Service charge statement – this will show any charges that are currently paid monthly for things like the upkeep and maintenance on the building.

Within these packs, they will also outline details such as any planned future works on the property.

This is important for the future buyer to be aware of as it will entail a cost that they will be liable for in the future when these works are carried out.

There is a charge for the packs and this is usually between £200 and £300, so you need to factor this into your budget for the sale. These packs aren’t standardised and so the turnaround time after requesting one of these can take up to four weeks.

If you’re unsure on how to obtain a leasehold management pack and would like to speak to a member of our team about this, you can reach out today on (023) 9298 1000.