Preparing to sell your leasehold property? Here are five tips to kickstart your sale process.
1. Find your solicitor.
The importance of finding your perfect match cannot be overestimated. The human factor is at the core of a seamless and transparent process. Good practice is to follow recommendations from friends and family (or your agent), review firm’s/lawyer’s website/profile, and of course compare quotes and establish the law firm’s usual response and transaction times. I would always recommend speaking with your solicitor prior to instructing them: a video call is a good starting point especially if you are based overseas.
2. Complete your client onboarding.
- If you are already an existing client with your chosen firm, this point may be ticked off already. If not, then make sure you complete your client onboarding in timely manner: provide your ID and proof of address (could be a utility bill or bank statement dated not less than three months from the point of submission).
- Have a look through your paperwork and data files: it is beneficial to provide various property documents which are in your possession to your solicitor at this stage too. These documents could be electrical installations certificates, Gas Safe certificates, NHBC, any planning or building documentation. This means that your solicitor will be able to provide these to the buyer’s solicitor with the initial contract pack, as opposed to raising with you at a later stage.
- If you have a mortgage, do provide your latest mortgage statement to your solicitor too, so that they liaise with your lender to obtain the up-to-date redemption figure (you will usually be redeeming your loan on completion).
3. Complete your leaseholder deed of certificate and serve on the landlord.
If your property is a flat in a high-rise block, the recent legislation called the Building Safety Act 2022 (BSA 2022) will require you to serve a leaseholder deed of certificate (your solicitor will advise you, if required and will assist in preparing the document). The leaseholder deed of certificate is served on your landlord, and the landlord will in turn have four weeks to prepare their landlord’s certificate. The leaseholder deed of certificate will confirm whether your lease qualifies for protections under BSA 2022 (with respect to fire safety remediation works). It is therefore good practice to complete and serve the deed even before you have a buyer.
4. Complete your protocol forms.
Your solicitor will provide you with Law Society forms to complete and provide the relevant documentation referred to in the forms. These forms consist of standard questions about your property and must be completed by the seller. If you have questions on the forms, it is advisable to raise these at early stages of the sale process.
5. Last, but not least — review and confirm your timetable/preferences with your solicitor and estate agent.
Will you require a certain period between exchange and completion? Inform your lawyer at the start of the process. Would you prefer to exchange and complete on the same day? Your lawyer can propose this to the other side. Or are you planning an overseas trip, and your Internet connection may be on and off — do let your lawyer know beforehand, and we can make sure you sign sale paperwork before the trip, or agree digital signing with your buyer, not to delay the process. As always, communication is key, and this works both ways.
Sales and purchases are a stressful process but good preparation and working with a good team can ease the worry.
Nargiz Abdullayeva is a Senior Associate in our Residential Property Team. Nargiz has over 8 years of experience in high-value real estate transactions. To discuss any of the points raised in this article, please contact Nargiz Abdullayeva or fill out the form below.
