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Absent Freeholder

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Seen this many times on HUTH when buying a flat. But what are the consequences if freeholder can't be contacted or is absent with no forwarding address or has died?

 

Would this affect a sale going through?

Suppose a leaseholder wanted to convert the property and needed permission?

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1. What's "HUTH", please?

2. Yes, re absent freeholder. But this might mean:

a. a freehold reversioner whose identity is known but who is missing; or

b. a freehold reversioner whose identity is unknown (e.g. unregistered at HMLR).

3. The f/r problem does not affect the lease's validity.

4. But the purchase on that sale would always require the vendor to obtain (and pay for) an Indemnity Insurance Policy.

5. Finally, the problem can be overcome if the collective leaseholders enfranchise- yes, even when the freehold reversioner's identity is unknown.

See s.26 etc. of the Leasehold Reform, Housing and Urban Development Act 1993 dealing with where the landlord cannot be found:

http://www.legislation.gov.uk/ukpga/1993/28/section/26

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HUTH is 'Homes under the Hammer'.

Thanks for your reply Jeffrey, however re. (2b) doesn't every property have to be registered at HMLR?

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however re. (2b) doesn't every property have to be registered at HMLR?

Yes, on purchase or on any other disposition.

But the date from which a purchase triggers first registration differs in different Local Authority areas. For example, it applied:

a. from 1 October 1970 in the pre-1974 extent of Sheffield;

b. from 1 March 1974 for the bits brought-in from Stocksbridge UDC and Wortley RDC; but

c. only from 1 April 1985 in NEDDC; and

d. only 1 December 1987 in Derbyshire Dales and in High Peak.

 

Gifts or most other dealings with unregistered land became compulsory triggers everywhere in E&W from 1 April 1988.

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