Get to know your Lease
March 26th, 2014
So the search is over, you have finally found the perfect flat and your offer has been accepted. The experience has been both exciting and overwhelming but you now find yourself reading your Solicitor’s report on the lease, you are but moments away from formalising the matter and are keen to scribble your initials on the dotted line but do not be so hasty. Whether you are a first–time buyer or maintain vast experience in the property sector, it is very easy to get tied up in knots.
A lease is a form of contract and it sets out your contractual obligations as a leaseholder and those of your landlord so it is important you know and understand it. From the moment you take on the lease you are agreeing to abide by its covenants and to fulfil certain obligations, therefore you will have to take responsibility for those things outlined in the lease and in return rights are granted in your favour.
It is vital that you read the whole of the lease and are aware of what you are getting into, make sure you understand the principle terms and ask your solicitor to help if you are unsure, it will prove to be beneficial. It is important to remember that you are paying your solicitor for overseeing and giving you advice on this transaction so do not feel embarrassed to quiz them on any uncertainties you may have concerning the lease and its content.
The lease agreement will cover all aspects regarding your property and can help you understand some commonly asked questions such as the extent of any common parts or maintained areas, what falls within your demise, what your percentage of service charge is and how much your ground rent is per annum. As Managing Agents acting on behalf of freeholders we are faced every day with leaseholders enquiring about basic lease terms, we will endeavour to answer all such enquiries of course but more often than not the answer can be right under your nose, so get to know your lease.
James Buck (BSc) Hons
Asset Manager
