After the Section 42 Notice has been served, the landlord can request a deposit, see the title documents and inspect the property to reach their own valuation.
The inspection stage is made up of three elements:
- Deposit: the landlord can request a deposit of either 10% of the offered premium or £250 (whichever is greater), to be paid within 14 days of the request. This figure will be deducted from the final amount paid to the landlord
- Deduce Title: the landlord can ask to see your title documents (usually your Land Registry title and sometimes a copy of the lease) proving your ownership
- Valuation: the landlord can carry out their own valuation of the property and the leaseholder must make reasonable efforts to facilitate this inspection. The landlord’s surveyor will usually contact you directly to arrange a suitable time