leasehold flat query

[martinharvey]

I am in the process of buying a leasehold flat in purpose built block and have been informed that i cannot let this out without the permission of the freeholder as it's a sub-let, wondered if this is correct and if so how do others go about this and do you gain permission before you even start the buying process? help please as starting to panic now,.

[Trenners]

Martin,

You are right to panic !!!

You need to check the lease of the flat (or get your solicitor to check the lease) ASAP and, certainly, before buying the flat !!

The lease will tell you what permissions you must get from the freeholder and will specifically detail whether you are able to let the flat or not.

Some leases do not allow "holiday lets" but allow letting using assured shorthold tenancy agreements.

Other leases say that you must gain permission from the freeholder EVERY TIME you let the property and the freeholder may ask to see all the tenant reference information before making a decision. Everytime you ask permission from the freeholder you will usually be charged a fee (it can be as high as £200).

Some leases say that the freeholder insists that you use a letting agent to let and manage your property and I have even seen leases state that you must use a SPECIFIC letting agent to let and manage the property (which could expose you to some very high letting agent management fees if the chosen company is not competitive).

For information - even if you own a share of the freehold (as many flat owners do these days) - you still need to get permissions from the company that owns the entire freehold (because you are only a shareholder).

All of the above reasons is why I only ever buy freehold houses to let !!

Good Luck

Mark