Extending lease on my flat

intex310

Good morning.

I have 81 years left until end of Jan 2027 and needs to extend my lease.

I am thinking about informal route as I don't have much time left.

Landlord is quoting for £420 to have a valuation but ones I have googled came back with £750 plus vat and upwards.

My question is do I need two separate valuations? Otherwise, Landlord's quote is the cheapest I am getting. Is desktop valuation enough from the Rics regulated company?

I am happy with a premium £5k. Would it be straight forward and get it completed before Jan next year?

tacpot12

You only need one valuation if you agree with it!

A desktop valuation might be sufficient unless you are aware that the property is sub-standard in some respect.

I would probably go with the landlord's suggestion for the valuer.

Lease extensions can take a while as they are dependent on the two solicitors talking and responding to each other. It might be tricky to get one done by January. 6 Months is not unheard of.

sheenas

I not really sure the need for valuation as your have not passed the 80 year rule. I would assume a lease is a document that resides in his solicitors top draw and would be a couple of hours to complete the form.

I did see this calculator that might help https://www.lease-advice.org/lease-extension-calculator/

eddddy

I'm not sure if you've understood the informal lease extension process.

A freeholder can ask for any amount they choose for an informal lease extension, and you can offer any amount you choose.

If your freeholder is a council or charity or similar, they might be fair about it. But many private sector freeholders won't be.

For example, the process often goes like this:

The freeholder gets a valuation for the extension, and the valuation might say something like this:

If this went to a tribunal, the tribunal might decide that the lease extension should cost between £2,000 and £5,000. The most likely outcome would be £3,500.

So the Freeholder offers you the lease extension for £7,000 (to make a bit of extra money)

So it might be sensible for you to have your own valuation, to see if the freeholder's offer is fair. As suggested above, you could get a free rough valuation from an online calculator or pay a valuer to do a more accurate valuation.

intex310

https://forums.moneysavingexpert.com/discussion/comment/82150478#Comment_82150478

Yes you are absolutely right. I didn't understand it at all.

As you've said, I will do my online valuation and compare it with theirs. I was confused when I asked for quotes from other surveyors and their prices were doubled the ones from the landlord's.

I have heard and read it all on the news but I am finding it all as a scam! I need to pay for both solicitors! Hope to complete it before it hits below 80 years.

poseidon1

https://forums.moneysavingexpert.com/discussion/comment/82150525#Comment_82150525

For modern leases, it's a 'scam' that has exsisted since the 1920s. Nothing new, and not exactly a closely guarded secret.

https://communities.lawsociety.org.uk/property-commentary/leasehold-a-feudal-system-/5064029.article

ExEstateAgent

If you start a formal request for a lease extension now it won't matter if it isn't concluded before the lease drops under 80 years.

If you go the informal route the freeholder could delay things and then refuse to extend unless you pay marriage value.

I would advise you to take the formal route for certainty (but as above, who is the freeholder, a private individual or company or a council/HA?).