Leasehold property refers to that property which is granted to someone from an authority like government etc, to remain in his /her procession for a specific period of time. This period of time is called the lease period. It is different from freehold property which you can have for indefinite period of time. In case of leasehold property the lessee has to pay a lease premium and also a lease amount annually, as per the conditions of the lesser.
How to manage a leasehold property
1.) Whenever you put your property in the market for sale, always appoint your own convener. Tell him to begin collating all information related to management and documentation for the sale of your property. He should not charge you until your property is sold out.
2.) Whenever you think about putting up your property for sale, think about any alterations that you have done to your property since you acquired it, always remember to enlist those alterations and bring it to the notice of your convener.
3.) When purchasing that property you must have shown some references to the freeholder .Please make sure that they are aware of your decision of sale.
4.) Make sure that your buyer has good relations with the bank which is going to finance him for the purchase purposes. Find out whether he is doing his part sincerely otherwise you may suffer from delayed payment.
5.) Any disputes that you had with your freeholder or the managing agents should be resolved before you market the property with you for sale. You can approach Leasehold Valuation Tribunal, a statutory body which, in the absence of agreement between the parties, may deal with service charge disputes and the appointment of managers. Also any previous disputes should be revealed to the buyer even if they are resolved now.
6.) If you also have a share in the freehold enterprise. Then obtain the original certificate of your share. Try to avoid duplicate certificate, because this may lead you into lengthy legal procedures.
7.) Even if you have a share in the freehold, still then make sure that there are enough years remaining in your lease. It should still be 50-60 years .This is because no buyer will be interested in buying a property that is not in lease for a longer period of time.
