A. Retentions are often used in residential property transactions when there is a question about future costs/expenses relating to a property. The most common use in when you purchase a leasehold flat as there is often no certainty on the final service charges until the end of the financial year of the freeholder/management Company.
When a retention is agreed a certain sum of money will be held by the solicitors (often the sellers’ solicitor) until the final sums are known. In order to have clarity on retentions you should consider the following:-
For further help or guidance on this article or in relation to Residential Property generally, please contact Partner and Head of Residential Property, Sarah Sargent, on 0114 228 3281 or sarah.sargent@luptonfawcett.law.
Please note this information is provided by way of example and may not be complete and is certainly not intended to constitute legal advice. You should take bespoke advice for your circumstances.
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