First time buyers urged to move before the Stamp Duty holiday ends.

On 31st December the threshold for the 1% level of stamp duty will return to the “pre-credit crunch” level of £125,000. At present you only pay stamp duty if your house costs more than £175,000.  The rate is 1% of the price.  The Chancellor introduced the stamp duty holiday in September 2008 to support the struggling housing market.

First time buyers are the ones most likely to be hit by this realignment of the stamp duty threshold, with it adding a potential £500 to an already expensive process.

If your purchase is likely to be between £125000 and £175000 we recommend that you aim to complete the transaction before the end of this year to take advantage of the stamp duty holiday.  You will save up to £500 in stamp duty if you do.

For a discussion on how to get your move moving, contact Howard Money.

Pre-nuptial agreements

It’s good to talk

Whether it is a case of good old fashioned English reserve or just turning a blind eye and hoping it will never happen, it seems that there remains a significant amount of people entering into or considering marriage who do not believe it necessary or perhaps appropriate to raise the issue of a financial agreement reached in happy times to remove the financial risk and uncertainties in the event of a failure of the relationship in years to come.

Such financial agreements should no longer be considered to be relevant only to the rich and famous.  In these times of financial independence, extended families, later marriages, etc it is not unreasonable for partners to want to be able to determine between them how their assets should be structured so as to protect their interests and indeed preserve those of any children born of any other earlier relationships. Leaving it to chance may avoid a difficult conversation now but at what price later?

 A prenuptial agreement (an agreement entered into before marriage) as matters stand at present in this country is not enforceable. But if the agreement has been entered into by the parties freely and provided that certain requirements have been adhered to at the time of drawing the agreement then increasingly such documents will be considered of substantial importance if future determination of finances is necessary.  As the arrival of children can (in some cases) nullify a prenuptial agreement these are particularly relevant in the case of later marriages where the arrival of children in the relationship is perhaps less likely.

 In contrast to prenuptial agreements, it is possible to enter into a postnuptial agreement, which is enforceable. They can also be varied to include provision for any children of the marriage if they were not otherwise adequately provided for or considered at the time of entering into the agreement.  The parties entering into the agreement do so at a time when they have already committed themselves to the marriage and are in all probability better able to consider their individual circumstances and are far less likely to be in the heightened state of emotion / euphoria / trepidation experienced in the lead up to the “big day”.  The increased certainty therefore attached to the postnuptial agreement makes them attractive to couples seeking certainty in any future distribution of assets. Those couples having entered into prenuptial agreements may, in many cases, be well advised to convert those agreements into postnuptial agreements during the course of the marriage.

For help and advice on any area of family law, contact Julie McCrery

Commercial lease renewals – tactics for tenants

Renegotiating a lease on renewal can be a crucial event for a business tenant, and never more so than in the current economic climate. If a tenant has security of tenure under the 1954 Act, the tenancy will continue until it is terminated by either the landlord issuing a section 25 notice or the tenant issuing a section 26 request for a new tenancy.

This begs the question why, if they can continue in occupation paying the existing rent, should a tenant want to end the lease?  Wouldn’t it be better to wait until the landlord serves his section 25 Notice?

The answer may be Yes, if you feel you are paying a fair rent and the lease is on reasonable terms.  In these circumstances it might be worth sitting back, doing nothing and waiting for the landlord to make the first move.

If, however, the market rent has fallen (perhaps due to the current recessionary climate), it can make sense to take control of the situation and serve a section 26 request for a new tenancy. Being proactive will open up negotiations for a reduced rent and better terms with the landlord.

If your lease is due for renewal within the 12 months and you would like to discuss your options, contact Kerry Elliott or Richard Bates.

County Court Judgments – a brief explanation

With the downturn in the economy, more and more people will unfortunately be familiar with the concept of County Court Judgments, or “CCJs”.

What are they?

A CCJ is an order of the County Court requiring the debtor to pay (usually) a sum of money. CCJs are made by the court after the final hearing of a case or if a defendant does not reply to a claim or fails to comply with a court order during a case.

How will a CCJ affect you?

If a judgment is made against you, it will be entered on a central register if the money is not paid within 28 days. If payment is made within 28 days, the CCJ will not be registered. Once on the register, it can make obtaining credit very difficult as the register is open to inspection. If a debt is paid after registration, it will be marked as satisfied but remain on the register. It is up to the debtor to make sure the payment is noted on the register.

Can CCJs be enforced?

Yes. There are various ways in which a judgment debt can be pursued. For example, an attachment of earning order, a charging order against a debtor’s property or by asking the bailiffs to seize goods.

This is a very simple overview. If you are facing the prospect of a CCJ, we may be able to help you.

Contact Richard Bates or Majid Iqbal for a confidential discussion.

Coming up pansies

September 2009 marked the start of Girlguiding UK's year of centenary celebrations.

Young & Pearce are proud to sponsor the Burton Joyce Rainbows, Brownies and Guides to plant the flowerbed opposite the office in their promise badge colours.

 

Our office at 111 Church Road Burton Joyce is open from 9.30 to 4.30 Monday to Friday with easy parking and is handy for people who don’t wish to travel into Nottingham for their legal advice.

 

Appointments are often not necessary – please feel free to drop in! Alternatively, you can contact the office on 0115 931 2995.