If the original lease to your property was for more than 21 years and you have owned your flat for at least two years, you have the legal right to extend your lease, giving you an additional 90 years on top of the original lease. There is no need or requirement for others in your block to extend their leases at the same time as you – they can be extended on an individual basis.
There are a few things to note:
- A lease term uinder 80 years can attract more costs for the leaseholder because of Marriage Value
- Marriage value is the extra value a lease extension will add to a property which a leaseholder will pay 50% of
- Should premium values not be agreed, a leaseholder can make an application to the Tribunal for a fair determination
- A new lease is granted on payment of a premium and is at a peppercorn (nominal) rent.
- A lease extension is a right for qualifying tenants who hold long leases and have owned the property for more than two years
- The premises must qualify by definition within the legislation
- Notice of claim for a new lease must be served upon the Landlord, who will either respond accepting the proposed terms or not admitting your claim
- Premium price for the lease extension is agreed or determined with the assistance of expert valuers, if the Landlord accepts the claim
- There is a statutory procedure for completing the conveyancing process