Two years ago we received a letter from the freehold manager of our leasehold flat saying we now require a standard or global licence to let, and if we did not obtain either within 14 days a solicitor would continue with legal action.
When we purchased the property nothing was ever mentioned about these licences but we still informed the freeholder that we would finance the purchase with a buy to let mortgage.
I am wondering if any other landlords have been placed in this position. I called the E&M sub-let department (never heard of it before) and queried what this was all about and asked that before I part with any money I wanted to receive breakdown of costs etc. and why I was not made aware of this 6 years ago!
I did not receive a letter until 2 months ago, again asking for us to obtain either licence in the next 14 days.
At this time I asked around but no one knew of this so I did not reply. One week ago I received another letter but the standard licence had now been changed to consent licence, reduced from £135.00 to £100.
Another charge is also payable, £75 when a tenant changes or the term expires or roll on. The global licence is not much better £330 for a max period of 5 years but with a added benefit of a 50% reduction for new tenants or tenancy expires or renewals. Personally I think this is a complete rip off.
I will be pleased to copy the letter into the comments section if anybody feels it is necessary to provide guidance. I’ve not added it yet though due to its length, same goes for the relevant page of our lease.
Any help or advice would be most welcomed as I am really not sure who to believe.
Thanks in advance