Freehold never purchased!

E

Eurofan

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I'm in the process of selling my home and the purchaser has raised the issue of a leasehold on the deeds (from 1913, old victorian house north city centre).

I originally bought the property 6 years ago and one of the conditions of my mortgage was that the freehold be bought out. It now transpires that my solicitor for the purchase never carried this out and I'm both astonished and furious that I was never told.

I'm using a seperate solicitor for the sale now anyway but would be vey grateful for any independent advice for how to proceed and as to whether or not any liability is attached to the original solicitor for any losses I may now suffer?
 
What length of leasehold is to run? i.e. was this a 99 year lease from 1913 or a 300 year of more?

If the lease has less than 70 years to run, then your purchaser will have trouble geting finance - the general rule is that a lease must have not less than 70 years to run.

If it has more than 70 years to run, then so long as they qualify under Landlord & Tenant legislation, you could seek to sell it as a leasehold interest only.

Check it out to see whether you are likely to be at any loss.

mf
 
Many thanks for the reply.

Been speaking to my own solicitor and it turns out there is advice from Counsel with the deeds that the freehold can be bought out, why my original solicitor never actioned this 6 years ago I don't understand(he suggests he was under time pressure from the bank to send in the deeds).

I'm told it would just be a formality but could take up to 12 months! So I'm having to sell with the leasehold in place and the purchaser must buy it out..

I'm not happy this wasn't done I must admit. Does my original solicitor have any liability for failure to carry this out in the first place? (especially considering it was a condition of my mortgage!)
 
Does my original solicitor have any liability for failure to carry this out in the first place? (especially considering it was a condition of my mortgage!)

But are you or will you be at any loss? If there is no loss, there may be an annoyance factor but what is the loss? If you're selling, then the mortgage and its conditions is no longer relevant.

Yes, its annoying, people should do what they say they will but these things happen and if there is no loss.............

mf
 
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