As part of our services, we often receive inquiries from tenants regarding lease extensions. It may be helpful if we addressed some common questions related to lease extensions for individuals who own a share of the freehold in their property.
- Do you need to extend your lease if you own a share of the freehold? If you own a share of the freehold, it is still beneficial to extend your lease. By doing so, you can transfer more value from the freehold to the leasehold interest in your flat. This is particularly important if the freehold is held in your personal names. Additionally, having a longer lease improves the marketability and value of your property. It is important to note that even if your lease is not considered short, there are still advantages to extending it.
- How much does it cost to extend the lease? The cost of extending your lease is £550 plus VAT and disbursements. These disbursements typically include expenses such as obtaining office copies of the leasehold title and freehold title, filing fees, and Land Registry registration fees. Please keep in mind that these costs are subject to change, so it’s always a good idea to consult with us for the most up-to-date information.
- Do all the freehold owners need to consent? Yes, it is necessary to obtain the consent of all co-owners of the freehold when extending your lease. While you cannot act alone in this matter, extending the lease benefits all co-owners. It is essential to engage in open communication and reach an agreement with your co-owners, as the lease extension process requires collective decision-making.
Extending your lease sooner rather than later is highly recommended. Waiting until you are selling or remortgaging your property can lead to additional pressure and potential complications. Furthermore, having a shorter lease can make it difficult to secure financing from mortgage lenders, as many have specific requirements regarding lease length.
If you encounter difficulties with a co-freeholder who is uncooperative or if the freeholder becomes absent, the lease extension process can become more complicated. By extending your lease early on, you can avoid potential conflicts and ensure the smooth operation of your property.
At our firm, we specialize in lease extensions and can provide you with the necessary guidance and assistance throughout the process. Our fees are fixed and competitive, and we can represent both the landlord and tenants, saving you the need for separate representation.
If you have any further questions or would like to discuss your specific situation, please do not hesitate to contact me at 01708 757575 or via email at firstname.lastname@example.org.