A Management Pack which is often known as ‘Sales Pack’ containing a set of forms and documents relating to the sale of the property where a service charge is paid to a specific Management Company who maintain shared facilities especially in the cases of flats and apartment blocks. For example, the pack will include the following:

In all leasehold transactions and occasionally in freehold transactions where there is a Management Company involved, the seller will be responsible for providing the Management Pack to the buyer’s solicitors for review and is payable by the seller. It is not a legal requirement to provide the pack to the buyer’s solicitors however the buyers solicitors nor the buyer may wish to proceed with the transaction without having a review of the pack as it does include vital information which they will be required to report on to their clients due to due-diligence and compliance.

It is crucial to understand that the management pack may be required when selling a freehold property also, this is often the case where the property is a new build and is part of a larger development where the owners are responsible to contribute towards the upkeep and maintenance of the common areas such as car parking, footpaths, and any other open spaces. The details of the Management Company are usually set out within the Title Deeds under the restrictions section.

The pack will also include any requirements and fees payable to the Landlord or management company for the transaction to proceed. There may be a fee to provide a certificate to comply with a restriction on the title against selling the property without the consent of the management company.

The cost of the pack will depend on the Management Company, each Management Company have their own fee and the prices can vary between £100-£500 and is usually produced within 2-4 weeks once it has been paid for therefore it is important that this is requested at the early stages of the transactions avoiding any further delays. However, some Management Companies offer an additional charge to expedite the pack. Once the buyer’s solicitors had a review, they may wish to raise additional enquiries with the Management Company for further clarification.

You can contact our Conveyancing team here or call on 01604 936512 / 01908 953674 or email info@franklins-sols.co.uk.

 

Typically, in the cases of flats and apartments, there will be management companies who will be involved with managing the services for the apartment block. Each leaseholder (flat owner) will need to pay for the services provided by the management company in the name of service charges.

However, there is a common misconception that these management companies apply for leasehold properties only; there can also be management companies for freehold properties.

There are two ways in which management companies can be created; one, the developer will create the company and then will appoint managing agents to provide the services. However, in cases of smaller developments with a few houses, the individual owners may take a share in the company and collectively run it.

The details of the management company can be found within the title deeds to your property and they will be responsible for maintaining common areas such as footpaths, open spaces, car parking areas, etc. Each property owner will be required to make contributions for these services in the form of service charges.

Will this impact the sale of my house?

Properties with management companies is becoming increasingly common and therefore it should not affect the sale of your property. Although, this does mean that additional paperwork will be involved.  If the property that you currently own has a freehold management company involved, you will need to obtain a Freehold Management Pack (also known as FME1) which will include vital information such as the total service charges (including the likely increases), the details of who organises maintenance arrangements for the shared areas/amenities, payment history, budgets, any fees that your buyer may be expected to pay post-completion, etc.  This pack will then need to be provided to your buyer solicitors for review.

No two management companies are the same and therefore the costs for these packs can vary and the timescales to issue them from the receipt of payment can also vary greatly. Therefore, for the smooth running of your transaction, it is important that this management pack is requested at the outset of the transaction to avoid any delays.

For further advice and assistance please contact our Residential Property Team on 01604 828282 / 01908 660966 or email info@franklins-sols.co.uk

 

Enforcing a sale of a property owned jointly at Court is governed by the Trusts of Land and Appointment of Trustees Act 1996 otherwise known as TOLATA.

Why would I need to enforce a sale of a property owned jointly?

There are a number of reasons as to why an individual may choose to issue a TOLATA claim and below are a few examples:

  1. To have your named removed from the mortgage and legal title;
  2. An application made by a family member such as a parent, sibling or grandparent who wish to receive their financial interest in the property;
  3. To force the sale of a property which you and the co-owner inherited from a deceased’s estate;
  4. When an ex-partner refuses to leave and you wish to occupy your former family home alone.

What happens if the co-owner refuses to cooperate?

If negotiation and discussions with the co-owner come to no avail then the next step is to issue a claim under Part 8 of the Civil Procedure Rules 1998. This involves completing a Part 8 Claim Form and producing a Witness Statement setting out the claim and what order is sought from the Court. 

In determining whether to make an order under TOLATA the Court will consider a number of factors.  Some of the factors that the Court will consider would be the intentions of the parties and in particular the reason why they purchased the property and for what purpose.  The Court will also consider if there are any occupants under the age of 18 in the property and any interests in the property such as whether there is a lender. 

The last thing anyone wants is to disagree and fall out with friends and family regarding property and assets. Disputes of this nature can and does strain relationships. Therefore, careful thought and planning must be invested into finding resolution to reduce this as much as possible and prevent legal costs increasing unnecessarily.

At Franklins we understand that you want a quick resolution that is also cost effective. We will work with you to provide specialist advice and ensure a full case plan is prepared to outline your options and next steps. Contact the Dispute Resolution Team on 01604 828282 / 01908 660966 or email Litigation@franklins-sols.co.uk.

With all this uncertainty, the biggest question facing our industry is ‘How will this affect my house move’. We want to assure all of our clients that from our side it is ‘business as usual’ and we are still continuing to act in your best interest and get you moved as smoothly as possible.

There are, however, several factors which may have a knock on effect on timescales. Sadly, due to the Coronavirus, many people have had to self-isolate and work from home. This will include conveyancers and employees of other industries who we work alongside during the conveyancing process such as banks, housing associations, local authorities, land registry etc.

There will be a period of adjustment and during this time of upheaval if you are moving it is important not to panic but also, where possible, to be flexible with your own timescales for moving as your matter may be delayed.

Completion dates may also be affected as those who have to self-isolate will not be able to move. If contracts have already exchanged the date may have to be re-negotiated to a date which is better suited.

If you are concerned about your mortgage offer expiring speak with your lender about obtaining an extension. We will assist you with this where we can.

For the protection of our clients and staff at this time we are not seeing clients in our offices. If however it is urgent and you need to come in please call your conveyancer in the first instance.

We have made provisions for all of our staff to work remotely if it does reach that stage. We are taking Government & Law Society advice and are monitoring the situation daily. We are however conducting meetings through the phone, video conferencing, Microsoft Teams and the like.

Be safe and remember to wash those hands.

In this new world of uncertainty we want to continue working to make your conveyancing transaction as stress free as possible. If you are affected by the Coronavirus and have any questions about this then please speak with your conveyancer by calling 01908 660966 / 01604 828282 or by email.