Flats with less than 80 years may be difficult to sell or to secure a mortgage on. Extending your lease either by agreement, or otherwise, overcomes this problem and makes your property more desirable and in most cases a more valuable asset.
How would you go about it?
If you have agreed a lease extension with the freeholder then the process is straightforward. We can assist you with negotiating the terms of the extended lease and completing the necessary documents.
Statutory Extension - extension under the relevant legislation
You will need a document called a Notice to be prepared and signed, which sets out basic details about the flat, and includes the premium (price) that you would like to pay for the extension. It is recommended that you instruct a solicitor to prepare the initial Notice.
The freeholder then has the right to respond by preparing a document called a Counter Notice. Negotiations can then take place but if no agreement is reached ultimately a decision will be made by a tribunal (which is a type of court).
What will it cost and what is the financial benefit?
The cost you pay to the freeholder will depend on a number of factors including the market value of the flat and the number of years left on your lease. The less time you have remaining the more you will have to pay.
There are also other charges that will be payable to the freeholder including surveyors and solicitors fees. The freeholder may also claim a deposit following the service of the Notice which could be 10% of the premium or £250.
If you instruct a solicitor, you will need to know what fees are likely to be charged. We have experience in these matters and to help you budget our fees are set out in our fee guide.
How can we help?
We have the necessary experience and expertise required to deal with what can be a complex process needing expertise in both dealing with property transactions and property disputes . We can offer you both of these, ensuring you the best possible result.
If you would like more information please contact us.
Please telephone and speak to Shelley Goldberg for free on 0800 037 1625 or fill in the online form to request a call back and someone will ring you within 24 hours.
You can access any of our lawyers at any of our offices spread throughout Surrey, Hampshire and Greater London including Kingston upon Thames, Bordon, Cheam, Canary Wharf, Leatherhead, Raynes Park, Surbiton, Tolworth or Walton on Thames.