Anyone know about buying freehold to a house in the north

[SillyOldDufferModerator @sillyoldduffer]

Posted by peak4 on 16/10/2019 21:26:53:

Posted by Ian Parkin on 16/10/2019 20:53:08:

Bill

its the church actually

 

At least they're likely to be a reasonable landlord…

The Church of England's assets are managed by the Church Commissioners not by the Church. The Commissioners focus on finance rather than religion, and although they are supposed to act ethically there have been a few embarrassments. The Board of Govenors includes the First Lord of the Treasury and the Lord President of the Council. (Currently Boris Johnson and Jacob Rees-Mogg.)

Not sure how worried I would be about a 999 year lease. These old long term leases generally have a low impact because many landlords don't even bother to collect the token rents. (£12 a year was well worth collecting in 1918, not now!) But there have also been attempts to raise money by aggresively insisting householders fully meet all the Terms and Conditions of the original agreement. These can get in the way of sales, property development, and impose other inconveniences. The idea seems to be to create enough nusiance so that housholders cough up a relatively small sum to get rid of them. It can all be challenged in the courts but the costs are intimidating. Unlikely that the Church Commissioners are going to behave badly, but they do have a lot of pensions to pay and expensive buildings to maintain. It's their job to raise money…

Dave

 

Edited By SillyOldDuffer on 16/10/2019 22:25:56

[julian atkinsParticipant @julianatkins58923]

The 'furore' over NEW leaseholds has nothing to do with Ian's case which will be an old probably Victorian long lease with a minimal ground rent and no other charges.

Please note the facts relevant to Ian's case, and not go 'off thread'.

Cheers,

Julian

[Mark Simpson 1Participant @marksimpson1]

Buying a freehold from the church Commissioners can be legally "interesting"… I've spent a lot of time with our village Scouts and Guides over the years and we wanted to buy the freehold for a strip of land through which the only road access to our HQ ran. An unoffcial arrangement in 1946 between the vicar led to the 1st HQ being built on his chicken run (wartime meant he was unable to get more hens); no problems for the next 60 years.

Fast forward to the 2000's and with a new HQ built on land we managed to buy behind the original site, we started to try and buy the leasehold for the little access strip.

After more than 10 years we got offered a fair price, but the church set the terms and wanted to use their standard contract. Then it got really interesting, we got a document from their solicitors with dozens of pages of adenda. We were extremely fortunate to have a parent who was a really good land lawyer to strip away 98% of it.

We are not now responsible for the maintenance of a window in the diocesan cathedral or a small %age of the salary of the verger in in the local deanery church and others. It seems that when land was given to the local church in previous centuries, usually to build a school or church, then also there was some commitment to the church hierarchy for the allowing it to happen.

There will probably be some retentions on the land, they get a %age if you sell it at vast profit, you can't turn your house into a "house of ill repute" or a video store??? (always wondered about the video store bit)

Sorry about the length of this diatribe, just make sure your lawyer reads the small print, if it's a standard freehold transfer that should be fine; but look out for all the stuff at the end.

I would get the freehold if you can do it for a sensible price

[RMAParticipant @rma]

In my opinion it's a 'no brainer'. In years to come you'll think it was a bargain, go for it.

[Colin HeseltineParticipant @colinheseltine48622]

I am just going through this process on my 98 year old fathers behalf so we can sell house when required. Lease had 46 years to run Freehold cost £10800 + survey and solicitors fees (plus vat on fees). With such a short lease time left Banks/Building Societies will not give a mortgage.

Colin

[Neil WyattModerator @neilwyatt]

[Nigel McBurney 1Participant @nigelmcburney1]

Dont haggle just buy the leasehold asap while the offer stands,it could be a bargain in future when it comes to selling,I like many other house buyers would never buy a house with any type of lease,you never know when something nasty climbs out of the woodwork, just ask yourself why would any company buy your lease unless there was profit in it ,and in future you may be paying for that profit.And when buying the lease check the small with your solicitor.

[SillyOldDufferModerator @sillyoldduffer]

Freehold can also come with strange covenants and conditions. My house deeds state that the pub at the end of the road has the right to discharge sewage across my garden! (The pub is Victorian, built when the area was still fields.) Not too worried because my house is at least a metre higher than the pub and Public Health legislation forbids spraying human effluent about. The minerals rights under the property belong to the Church of England and I'm forbidden from keeping pigs in the house. It's why I had to take up Model Engineering rather than indulge myself in porky pleasures…

Dave

[Howard LewisParticipant @howardlewis46836]

Even if it the Church Comissioners, BUY!

Having "owned" and lived in leasehold property, once out of it, I have always gone for freehold. You are then the master of your own destiny, and free from the risk of ground rent being increased, terms and conditions changing etc.

Freehold property usually command s a higher price than the same as a leasehold.

Howard

[MeunierParticipant @meunier]

Also, if the lease is less than approx 75yrs ( not the case in this example but.. ) then mortgage lenders are more reluctant to lend on the property if you were to sell, which could well have a negative impact on potential buyers.
DaveD

[colin wilkinsonParticipant @colinwilkinson75381]

Bill, Why the question ref Simarc? I have a 900+ year lease with Simarc,£5 every 6 months although there is no possibility of me moving house anyway. Colin

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