Philip Askew, Partner in the Private Client Residential Property team was quoted extensively in the Sunday Times Question of Money section by journalist Jill Insley. He provides the expertise in the answer to a reader question about rentcharges on freehold properties.
Within the answer he warns of the risks of not paying a rentcharge, even if just £1 per year:
“The rentowner may sell the property with no obligation to pay the mortgage off, and lenders have no rights to take action to recover their debt,” he says, meaning it can be difficult to get a mortgage on a property that is subject to a rentcharge which may have an impact on its value. However, he adds that rentcharges should not affect the value of a property if the wording of the deeds meets mortgage lender’s requirements.
The full question and answer appeared in the Sunday Times issue on Sunday 31 October, and can be read online here at thetimes.co.uk.