Selling or Letting out your flat

Assigning_your_lease
Pre-Sale_Packs
Buying_the_freehold_of_the_block
Subletting_your_property

Assigning your lease

You do not need the permission of Elmbridge Housing Trust to sell your flat; however it is a condition of your lease that we are notified within one month of completion. This is done by way of formal notice of assignment and is a legal document outlining the assignment of the lease from the current lessee to their purchasers.

This process is carried out by the purchaser’s solicitors and the notice must be served on Elmbridge Housing Trust at Case House, 85-89 High Street, Walton-on-Thames, Surrey. KT12 1DZ. There is a fee, currently £25 per document plus VAT for serving the notice.

The notice of assignment is required in order to update our records. If no notices are received, you will still be liable for any charges against the property.

Pre-Sale Packs

Prior to a sale, your solicitor will request information by way of a leasehold questionnaire to obtain information that your purchasers will need to know, for example:-

• Information on buildings insurance policy
• Three years service charge accounts
• Details of any money owing
• Planned major works or improvements
• Details of monies held in reserve
• Any other relevant information

The supply of such information is subject to an administration fee, currently £50 plus VAT.  In some instances of re-mortgage, the above information will also be required and this is subject to the same administration fee.

Buying the freehold of the block

The Leasehold Reform Act 1993 (as amended) provides the right for leaseholders via a collective enfranchisement to purchase the freehold of the block they live in from the landlord.

To have the right to take part in the enfranchisement process you must be a qualifying tenant, this means you must be a long leaseholder of a flat and you can only buy the freehold with a group of other qualifying tenants providing the building satisfies the following criteria;

• There must be at least two or more flats in your building. If there are only two flats in the block, both must participate in the exercise.
• At lease two thirds of all the flats in your building must be held on long leases:
  And
• Not more than 25% of the internal floor area (apart from common parts such as stairs) of the building in non-residential use or intended for non residential use.
• The number of tenants participating must also equal at least half the flats in the block.

For example

In a block of 12 flats, at least 8 flats must be held on long leases and at least 6 long leaseholders would need to participate in the enfranchise process.

When you inform your landlord that you wish to purchase the freehold, you must name someone to act for you throughout the process; this person is known as the nominee purchaser and will own the freehold for you after enfranchisement.

If the block contains flats let to public sector tenants, Elmbridge Housing Trust must take a lease back of these flats. This means that we would lease the remaining units from the nominee purchaser.

The process of enfranchisement can be very complicated and you are recommended to obtain independent legal advice prior to any application.

It is important that you consider the following point when making your decision to make an application for enfranchisement:-

Elmbridge Housing Trust would no longer be your landlord and as such you would all be responsible for the management, maintenance, insurance and for providing any other services for your block and are jointly responsible for the costs incurred. Also you will no longer be able to involve us if any neighbour disputes arose.

Subletting your property

You have the right to sub-let your property; however as the registered leaseholder you remain responsible for payment of any service charge attributed to you flat. 

It is your responsibility as the leaseholder, to ensure that your tenant/s comply with the terms of the lease.  You are also responsible for the behaviour of any people living at the premises, whether you are living there or not.   Please ensure that your tenant has been advised accordingly.

If you plan to sub-let, we advise you to speak to your mortgage lender first to find out if there are any conditions you need to meet.