Lease Extension

susanbythesea

Hi Folks..
I have a flat which is rented out which l would like to get a lease extension for, l have a 4 month window for this to benefit from the + 80 year left savings after l have owned it for 2 years , has anyone tried to negotiate a lease extension without using a solicitor and if so how did it go? or if not what sort of costs are involved, my previous conveyancer is looking at £155ph which l have no idea how many hours are involved.
many thanks for any help offered!
Sue:)

princeofpounds

Visit the LEASE website. A government-funded advice service that can advise you on all of this.

You will ultimately need to go to a leasehold valuation tribunal most likely. It's not as scary as it sounds.

Richard_Webster

First thing is to write to freeholder asking for extension. If he replies reasonably quickly then look at the Lease Advice Org calculator and if his figure is below the figure they give, grab it and just get a solicitor to do the conveyancing. Obviously don't leave it too long so you go under the 80 years.

susanbythesea

Thanks for your replies , l have looked at the LEASE website previously and altho useful they tend to just point you in the direction of solicitors at the first stage, if l write asking for an extension will this be seen as the same as giving notice? and is there any wording l need to use , l enquired when purchasing the property and was quoted a figure approx 2-3 times the calculated value so don't imagine it will be much different but it seems sensible to start that way.
Many Thanks
Sue

Fire_Fox

susanbythesea wrote: »

Thanks for your replies , l have looked at the LEASE website previously and altho useful they tend to just point you in the direction of solicitors at the first stage, if l write asking for an extension will this be seen as the same as giving notice? and is there any wording l need to use , l enquired when purchasing the property and was quoted a figure approx 2-3 times the calculated value so don't imagine it will be much different but it seems sensible to start that way.
Many Thanks
Sue

There is a specific format to serving notice and this process puts the freeholder under a legal obligation. You can undertake informal negotiations for yourself, but the superior landlord could ignore your request or stall for time. If you have already had an informal price that is so high and you only have four months I cannot see the point in repeating that process. Please do read the LEASE publications carefully - many leaseholders only ask for an extension to 99 years, when they are entitled to an extension of 90 years with a peppercorn ground rent.

susanbythesea

Hi
If l issue a sector 42 notice and agreement isn't reached on price with the freeholder within the 4 months between my qualifying ( by owning the property for 2 years) and the 80 year term of lease expiring am l still entitled to the same protection when valuing the lease ie. not having to take into account marriage value etc. and does this stay in effect even if l have to go thro tribunal? in other words is the value fixed at the point section 42 notice is given?
Many Thanks
Sue

Richard_Webster

If you have already tried informally then not a lot of point in trying again. You will need to be very careful if you do it yourself. If you serve a valid notice then it fixes the valuation as at that date but you will then probably need to instruct a surveyor to negotiate for you.

Fire_Fox

susanbythesea wrote: »

Hi
If l issue a sector 42 notice and agreement isn't reached on price with the freeholder within the 4 months between my qualifying ( by owning the property for 2 years) and the 80 year term of lease expiring am l still entitled to the same protection when valuing the lease ie. not having to take into account marriage value etc. and does this stay in effect even if l have to go thro tribunal? in other words is the value fixed at the point section 42 notice is given?
Many Thanks
Sue

Read the LEASE advice guides as already suggested, your query is answered there.
http://www.lease-advice.org/publications/documents/document.asp?item=8
http://www.lease-advice.org/publications/documents/document.asp?item=10