Can I get a new lease or should I wait

MokoKorky

Hi
I bought a flat with only 48 years lease left. Questions 1) do I have too still wait 2 years before i can apply for a new lease? 2) do I have to use a RICS regulated surveyor and pay for it upfront like the Freeholder has requested 3) Will marriage value make any difference if it is abolished? 4) Has anyone used HomeHold to do the lease work?

Thank you all so much
regards
Mai

MyRealNameToo

The 2 year requirement was removed recently but how did you buy a short lease flat with out discussing these matters with your solicitor beforehand?

poseidon1

MyRealNameToo said:

The 2 year requirement was removed recently but how did you buy a short lease flat with out discussing these matters with your solicitor beforehand?

My thoughts exactly. Does sound like a cart before horse scenario.

eddddy

MokoKorky said:

I bought a flat with only 48 years lease left. Questions...

In simple terms, there are 2 ways of extending a lease...

• 1) The statutory (or formal) route
• 2) The informal route

The statutory route has strict procedures, rules and timescales (and the freeholder generally cannot stop you getting a lease extension).

The informal route has (almost) no rules - it's whatever you and the freeholder agree (and some freeholders might be cooperative, other freeholders might be unhelpful and/or try to rip you off)

MokoKorky said:

1) do I have too still wait 2 years before i can apply for a new lease? 

The "2 year rule" only ever applied to Statutory lease extensions - it never applied to informal lease extensions.

But in any case, it has now been abolished for Statutory lease extensions

MokoKorky said:

2) do I have to use a RICS regulated surveyor and pay for it upfront like the Freeholder has requested 

If it's an informal lease extension, the freeholder is free to propose any rules they want - and you are free to refuse.

Similarly, if it's an informal lease extension, you are free to propose any rules you want - and the freeholder is free to refuse

But the only way the informal lease extension will happen, is if both parties agree on a set of rules, a set of terms etc.

But it could also be that the freeholder is advising you how to start the process for a Statutory lease extension.

MokoKorky said:

3) Will marriage value make any difference if it is abolished? 

If marriage value is abolished it will probably reduce the cost of your Statutory lease extension.

That was the government's intention, but freeholders are threatening to challenge it in court as an infringement of their human rights.


More info:
https://www.lease-advice.org/article/lease-extension-of-leasehold-flats-the-two-routes/
https://www.lease-advice.org/advice-guide/lease-extension-getting-started/

mlz1413

MokoKorky said:

Hi
I bought a flat with only 48 years lease left.

 Questions 1) do I have too still wait 2 years before i can apply for a new lease? 
NO


2) do I have to use a RICS regulated surveyor and pay for it upfront like the Freeholder has requested
IF YOU WANT THE 90 YR EXTENSION THEN YES 

3) Will marriage value make any difference if it is abolished?
NO ONE KNOWS. GOVERNMENT IS STILL DEBATING THIS TOPIC

4) Has anyone used HomeHold to do the lease work?

Thank you all so much
regards
Mai

you must be a cash buyer and you must have been happy with the 48 yr lease to go ahead with the purchase.  Did you not make enquiries about this when buying?

If you are not in a hurry then wait for the rules on Marriage Value to be finalised, you may save money, you may pay the same.  From what I have read you are unlikely to pay more (but who knows!)

As far as I am aware if you start the extension process to add 90 years to your lease, you will normally pay all costs (your solicitor,  landlords solicitor and surveyor) plus the extension cost. Which will be £'000s. But there are online calculators you can try, although many don't go below 60 years and they are only guides. (Do try at least 3 as they can give very different results)

Leasehold Advisory Service have a lots of info on their website. 
 Also Leasehold Reform have info about the current status of the marriage value changes.

paulintheprocess

With only 48 years left you’re already in the danger zone, so Id speak to a specialist ASAP.
From what I understand -

You usually need to own the flat for two years before you can force a statutory lease extension. Some freeholders will agree to an informal extension earlier, but there's no guarantee.

It’s pretty normal for the freeholder to require a RICS valuation and for you to pay for it up front. Thats standard.

If marriage value is removed it could reduce the cost for leases under 80 years but nothing is confirmed yet. I wouldn’t bank on it.

HomeHold get mentioned a lot and people seem generally happy but still compare quotes and make sure you know what’s included

If you’re only just bought it, find out whether your freeholder is open to an informal deal so you don’t have to sit on a 48 year lease for two years.

eddddy

paulintheprocess said:

You usually need to own the flat for two years before you can force a statutory lease extension.

...

If you’re only just bought it, find out whether your freeholder is open to an informal deal so you don’t have to sit on a 48 year lease for two years.

As mentioned in 2 previous posts - the "2 year ownership rule" for Statutory Lease Extensions has been abolished. 

(It was abolished in January 2025 under the Leasehold and Freehold Reform Act 2024)

MokoKorky

Lots of changes last week to ground rent etc Nay new on marriage value?