There have been cases where people have bough leasehold properties on leasehold land, leaving themselves wide open to pay sometimes eye watering rates. While some charges start off reasonable, they very often increase sharply.
There have also been cases where the land beneath the leasehold property has been sold on, with the new contractor then imposing new rules and rates.
Source: Wikimedia.org/ labeled for re-use
Either way, homeowners face huge charges and are unlikely to be able to onward sell their properties for a decent price.
Four things you should be able to tell clients about when selling leasehold properties:
Ground rent. Usually paid annually to the landlord and may rise over time. How much is it, and what are the terms? i.e. Does it double every year or follow inflation? These costs can quickly spiral out of control.
Service charge. How much is it and what does it cover?
Reserve fund. This is a sum that leaseholders pay to a managing agent for works that may have to be addressed in the future. Is there one, and has it built up? This can be presented as a benefit to a buyer, as potential future repairs may already be covered.
Length of lease remaining. Very often, an add will advertise the lease length as it was at the very beginning of the properties life span. So, this may say 999 years’ lease. Even though only 100 years remain. If the remaining lese length is 85 years or less, be aware. Many lenders will not lend on less than 80 years. The cost of extending a lease after that time also increases dramatically.
The first noted beach hut goes back to Australia as early as 1862. The bathing boxes are thought to have been constructed to protect the Victorian’s morality during a time of both male and females covering their bodies, even while on the beach. Just after this time, beach huts were seen in England, France and Italy.
Typically, a beach hut is a brightly coloured small wooden construction placed on/ near the beach. On the inside they are simply furnished, with a small fridge freezer and a sofa.
The garden is one key point for making a good impression! Just take a look at your garden now and try to imagine how it can be better organized or designed. Some extra elements might do the trick (create a small pond or a path with paving stone) and turn your garden into the selling proposition of your property.
However, the best advice in the article on Property Division is this one: always keep in mind the type of buyer you are targeting. Millennials will need a simple, but friendly garden – the gathering place for BBQ s and late dinners with friends. Couples with children will want the garden for the children to play and with a very ‘homely’ design. Elders see the garden as a relaxing place and will want a comfortable garden with low maintenance.
