Understanding leasehold fees
If you’re buying or selling a leasehold property, you may have to pay additional fees that don’t apply to freehold properties.
We always do our best to alert clients to these fees and to explain what they are likely to be. And now our friends at the Conveyancing Association have produced a helpful guide that explains leasehold fees in more detail.
The Leaseholder Guide to Lease Administration Fees outlines:
- * which charges to expect
- * how much is a reasonable amount to pay
- * what to do if the charges are excessive
It also emphasises the importance of finding out what the charges will be before exchanging contracts.
Harvey Harding, managing director at PM Property Lawyers comments:
“There has been a lot of publicity recently about issues such as escalating ground rents, leasehold new-builds, management fees and service charges. Our clients often have no idea that they may have to pay extra leasehold fees to the landlord or managing company. And without paying the fees they can’t buy or sell the property. This guide will be invaluable for them.”
“We believe this is a major step in the right direction from the Conveyancing Association. We will be issuing the guide to all our leasehold clients and working to improve the understanding around this process.”
PM Property Lawyers has been working closely with the Conveyancing Association as it focuses on the leasehold process, in particular, lobbying to cut the excessive fees some lease administrators can charge, and the delays that can occur.