We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Does the cost of a lease extension ever get recouped by increased property value?
Legacy_user
Posts: 0 Newbie
Hi All,
I want to sell my flat in a few months, but I fear the length of lease may be off-putting to potential buyers or will make the value of the flat below what it really should be. I have 67 years left on the lease and the cost of a 90-year extension would be about £14k (inc. all fees).
What I would like to know (and I realise it is only opinion) is whether that extension would then justify adding £14k to the asking price of the property? Do people generally willingly pay that much more for a property with the extra lease length?
Any thoughts or opinions on this would be really helpful.
Red.
I want to sell my flat in a few months, but I fear the length of lease may be off-putting to potential buyers or will make the value of the flat below what it really should be. I have 67 years left on the lease and the cost of a 90-year extension would be about £14k (inc. all fees).
What I would like to know (and I realise it is only opinion) is whether that extension would then justify adding £14k to the asking price of the property? Do people generally willingly pay that much more for a property with the extra lease length?
Any thoughts or opinions on this would be really helpful.
Red.
0
Comments
-
We've just been through the same process with our lease. The lease length you have left means it will be almost impossible for buyers to get a mortgage. If you've had estate agents give you valuations the reality is with an extended lease the property will be worth the valuations you've been given and probably no more.
All extending the lease will do is make it possible for people to get a mortgage so you can sell it!!0 -
Agree with Bongoman, your flat is currently unmortgageable so will only attract cash buyers and won't be worth anything like the expected market value. Extending the lease will make it attractive to a much wider market. It is possible to extend the lease at the same time as completing a sale if money is tight for you but you will need to have served formal notice on the freeholder and officially agreed a price.Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.3K Banking & Borrowing
- 253.7K Reduce Debt & Boost Income
- 454.4K Spending & Discounts
- 245.3K Work, Benefits & Business
- 601.1K Mortgages, Homes & Bills
- 177.6K Life & Family
- 259.2K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards