SMF - Just Installed!

Letting Fee

Started by Mackem, June 21, 2024, 04:32:26 PM

Previous topic - Next topic

Mackem

I have bought a flat with a 146 year lease. I don't have a mortgage. I have found a tenant who is moving in soon. The freeholder is suggesting that he will be charging me a fee for the right to sublet. Is this normal?

Riptide

What does the lease say on such matters?

Mackem

The lease does state that I need the freeholders permission but there is nothing about a charge

heavykarma

It sounds like they are trying it on.  I would ask what their justification is for demanding a fee for this.

Mackem

I think you're right heavykarma.
Thank you

jpkeates

I wouldn't be too negative. Unless the clause says that permission won't be withheld unreasonably, they can pretty much make their permission conditional on a fee.

David


Denzy

I have to pay £115 every time there is a new tenant.

David

I don't think that is unreasonable as an administration charge.

Quote from: Denzy on June 23, 2024, 09:31:49 AMI have to pay £115 every time there is a new tenant.

HandyMan

Quote from: David on June 23, 2024, 11:14:03 AMI don't think that is unreasonable as an administration charge.

Probably not unreasonable - but in the OP's position I would be interested to know what administration the leaseholder actually needs to do when a new tenant is notified to them.

David

If you follow the link I posted earlier it could give you some idea.

A freeholder might just make a note in a file and consider the additional risk, also they would need to know that the leaseholder is not resident and make a note of the leaseholder address.

There may be administration is a change of insurance or complaints from other leaseholders, damages or who knows what.