Your lease

When you buy your shared ownership property, you buy a share in the property and then pay rent on the share retained by the Council. You buy a Lease which gives you the right to live in the property for a set period of time and the right to purchase additional shares.

Your lease is a legally binding contract between yourself and Havering Council. By signing it both parties agree to abide by its terms and conditions.

You will become the ‘lessee’ and the Havering Council will be the ‘lessor’, also known as the ‘landlord’.

Havering Council (the ‘landlord’) owns the freehold and is responsible for completing repairs to communal areas, providing caretaking and cleaning services to communal areas, maintaining grounds and so on.

Under the terms of your lease as, we are allowed to cover the cost of this service.

The expenses of maintaining repairing renewing improving and redecorating;

The main structure and exterior of the demised premises and the building including the roof, chimney stacks, gutters and rainwater pipes of the building and all boundary walls and fences now or hereafter forming a part of the estate and the gas and water pipes, drains and electric cables and wires in, under or upon the building and enjoyed or used by the lessee in common with the owners and lessees of the other apartments.

Your Lease will tell you both your rights and responsibilities and ours.

It is very detailed and contains many legal terms and expressions so to simplify matters its main points are outlined below:

YOU AGREE:

• To pay the rent and service charges (where applicable) at the time and via direct debit monthly

• To keep your home in a good state of repair

• To not carry out any alterations or additions (except usual decoration) to your home without our written permission (landlords consent)

• To not sell your home without our prior written permission

• To allow us with prior notice to inspect the condition of your home

• To use your home as a single private dwelling for one family only

• To not do anything which may adversely affect out buildings insurance policy

• To carry out and inspection of you boiler and all gas appliances and provide the council with a valid annual Gas Safe Certificate.

WE AGREE:

• To allow you to occupy your home without interference unless you in breach of the terms and conditions of your lease

• To insure the building (but not its contents, you should source this yourself)

• To not sell our interest in your home without your consent. Officers from the Home Ownership Team would be happy to explain the lease to you. You can contact us on 01708 434000 or email: homeownership@havering.gov.uk

Please note that there are more clauses in your lease and should ask your solicitors or legal representative to check it with you if you are unsure about anything. You must be consulted about any changes we make to the lease. Generally no changes can be made without your permission. You have the right to stay in your home until the end of your lease as long as you keep to the conditions set out in it and pay all the charges due.

As a Shared Owner you will be required to pay a weekly rent. You also will be required to pay an annual ‘ground rent’. The demand for ground rent is issued each year with the estimated service charges, which is normally sent out in February and is payable from 1st April. Please be advised due to change in legislation from July 1st 2022 ground rent on new properties is no longer applicable.

Your lease should identify the estate on which your property is located, the numbered block which your property forms part of, the demised premises and what is included. This may include garden, shed and outbuildings. These will be hatched black on your lease plan and boundaries you are responsible for should be marked with a “T”. The lease is a legal document that sets out the relationship between you and the landlord. It is important to understand the terms of your lease. Make sure you know what your responsibilities are and what the London Borough of Havering are. If you breach the terms of your lease, you could face legal action. Future purchasers take on all the rights and responsibilities of the first purchaser.

Officers from the Home Ownership team would be happy to explain the lease to you. You can contact us on 01708 434000 or at homeownership@havering.gov.uk