21/06/2024
Q & A with Becky Tang, a Conveyancer in our Property Team.
What documents are required when selling a Leasehold Property?
Firstly, the Lease. This is the legal deed which determines the property and is an important part of the process. You should supply this to your solicitor, but don’t worry if you haven’t got a copy, Land Registry should hold a copy which can be downloaded for a small fee.
You will be asked to complete a Leasehold Information Form (TA7) by your solicitor to provide as much information about the property as possible. You should return this to your solicitor as soon as possible. This form should be completed along with the Property Information Form (TA6) and the Fixtures and Contents Form (TA10).
The following requirements differ depending on whether you are selling a leasehold house, or a leasehold flat/apartment.
Leasehold House
In the simplest form, this should only require a receipt from the person or company you pay your ground rent to. A ground rent demand is not sufficient, and you must obtain evidence of a clear account, such as a rent statement or a receipt. If the rent is collected by a company, a “notice fee” may be charged to the new owner on completion and as the seller, you are obliged to find out what that fee is. It is always advisable to obtain this information in writing to ensure there are no discrepancies.
Where the house is built on a managed estate, usually an estate with green space or common areas, it may be that you also pay a service charge. If this is the case, you will need to obtain a Sales/Management Pack from the management company. The cost of the pack will differ from property to property, and as they take some time to produce, it is always advisable to obtain the information as soon as possible once a sale is agreed. The packs are usually valid for 6 months.
Leasehold Flat/Apartment
As well as obtaining a ground rent receipt and the collector’s notice fees, you will need to obtain a management company pack for the property. Leasehold flats have more common interests than leasehold houses, such as buildings insurance, previous years’ service charge accounts, and the packs tend to be quite lengthy. The pack will include a LPE1 form which the management company complete to confirm various information about the property and the site itself. This information will be required by the purchaser/their solicitors and is essential to progress the sale and you should arrange to order your pack as soon as possible once a sale is agreed. Again, the cost of the pack will be different for each leasehold flat/apartment, and this typically ranges from £200 - £500 (plus VAT).
For any leasehold property queries, please contact our Conveyancing Team on 0161 696 9786 who will be happy to help.