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Can I sublet my property if it is Leasehold?

Posted on Monday, 27th January 2014 by

Photo Credit: Marco Bellucci via Compfight cc

When letting out a Leasehold property it is important to check the wording of the Lease to see if there are any restrictive covenants that do not allow subletting. A restrictive covenant is merely a behavior or action that you cannot do during your period of ownership. IF you wish to breach any of these covenants, you must consult the Landlord and obtain permission to do so (in writing).

If when checking your Lease there is no mention that you cannot sublet whole or part of the property then you are free to bring in tenants as you wish. It is advisable to have a Conveyancer double check this to avoid any misinterpretations in the Lease.

Sometimes a Lease will only say you cannot sublet ‘part’ of the property. This means you may be allowed to sublet the property as a whole but cannot let out parts of it (i.e just one room to a student’. If your Lease clearly states you cannot sublet the property then you must not do so. If this is the purpose for which you have purchased the property then it is important to send a letter to the Landlord requesting specific consent to sublet.

In many cases the Landlord is fine with subletting, but this is usually subject to a fee. On average, the fee tends to be around £150.00. However, this can depend on how large the Landlord is as a company so it is advisable to find out as early as possible how much this fee is so you can budget accordingly or set your rent to an amount that factors this in. In addition to this, the Landlord is likely to charge a fee every time a new tenant is assigned. Please therefore ensure you inform the landlord of the new tenant’s details every single time there is a changeover.

If you are currently subletting during the sale of a property or have done so prior to putting the property on the market, it is vital to send your Conveyancer a copy of the subletting agreement or a copy of the correspondence between you and your Landlord as evidence the Lease has not been breached. This therefore means you should keep any documentation in a safe place.

For further information, please contact a member of the Property team at Edward Hands and Lewis

Our Solicitors in Leicester are experts in their fields and dedicated to quality client care. If you would like to find out more about our solicitors in Leicester please contact us.

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The information provided in all of our blogs reflects only a narrative of some elements to consider on the topic. The blogs do not contain considered legal advice and should not be relied upon as advice. Please see our website terms and conditions for full details of our disclaimer. If you are interested in obtaining advice, please contact one of our lawyers who will be happy and able to advise you on your own particular circumstances.

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