Jump to content

Section 42

Recommended Posts

If you purchase a property and want to extend the lease, do you actually have to live in the property for two years before applying for a section 42, or is it sufficient to just own it for two years, before you can apply? 

 

Also, if the previous lease holder applies to extend the lease, just before the sale, can that reduce the waiting time for the new leaseholder? 

Share this post


Link to post
Share on other sites

You need to have been the registered owner of the house for two years. In most circumstances it does not matter whether you live there.

 

Nothing to stop a leaseholder making an informal offer before the 2 years waiting time  are reached..

 

Download the free guide to buying the freehold of the house from www.lease-advice.org .

Share this post


Link to post
Share on other sites

 

On 12/22/2018 at 1:37 PM, poppet2 said:

If you purchase a property and want to extend the lease, do you actually have to live in the property for two years before applying for a section 42, or is it sufficient to just own it for two years, before you can apply? 

 

Also, if the previous lease holder applies to extend the lease, just before the sale, can that reduce the waiting time for the new leaseholder? 

On 12/26/2018 at 7:56 AM, topflat29 said:

You need to have been the registered owner of the house for two years. In most circumstances it does not matter whether you live there.

 

Nothing to stop a leaseholder making an informal offer before the 2 years waiting time  are reached..

 

Download the free guide to buying the freehold of the house from www.lease-advice.org .

True. For the outgoing leaseholder (O) to assign (in favour of the incoming leaseholder (I) ) the benefit of a s.42 Notice,. there need to be:

a. a Deed of Assignment from O to I, in parallel with the Transfer TR1 for the existing leasehold; and

b.  Notice given in respect of that Deed, once completed, telling the reversioner about it, in parallel with the usual Notice of Transfer for the existing leasehold.

Share this post


Link to post
Share on other sites

But if the property is in an auction catalogue, which usually means two to three weeks before the actual auction takes place, and a section 42 has already been applied for by the outgoing leaseholder, is it possible to find out how much the lease extension will cost, before the auction? 

Share this post


Link to post
Share on other sites
On 07/05/2019 at 11:59, poppet2 said:

But if the property is in an auction catalogue, which usually means two to three weeks before the actual auction takes place, and a section 42 has already been applied for by the outgoing leaseholder, is it possible to find out how much the lease extension will cost, before the auction? 

Only if:

a. the vendor has already established this; or

b. you contact the landlord/reversioner to establish it- you might be told that it's none of your business, however. and that of course would be true at law for the time being.

 

ALSO: you cannot make the vendor assign its rights unless the Auction Special Conditions oblige it to do so.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.