Extending lease

[ilona pinter]

Hello there i wonder if you could be of help i have a 3 bed flat which i brought in dec 2008(Walthamstow) for 210000 there are 95 years left on the lease. 99 year lease started in jan 2008 how much would be reasonable to extend by 90 years with peppercorn ground rent. Many thanks in advance

[Gordon999]

The information guide for calculating the rough cost can be download from -

http://www.lease-advice.org/publicat...nt.asp?item=10

The guides give an example of the cost premium for flat with 95 years remaining under lease and current market value at 165K . So expect the rough cost to be around 1.5%

[ilona pinter]

Thanks for the link i think the current market value is 215000.

[sgclacy]

Unless the ground rent has a review in the next 20 years the following would be my value of such a lease extentsion

15 times the current ground plus 1% of the value of the flat

In addition there would be the landlords cost of around £1750 plus your own of a broadly similar sum

[ilona pinter]

Thank you did the lib dems not say they want to abolish the fees associated with extending a lease.

[juanjuan]

Hi there, i have 75 years left on my lease and have informally asked the freeholder for the cost of the extension. They have advised £10k based on the statutory extension of 90 years and peppercorn rent.
I dont need a 90 year extension and dont mind keeping ground rent of say £150. How do i calculate a counter offer based on a 50 year extension and £150 ground rent?

[ilona pinter]

I spoke to my freeholder which is rare and he told me that he would extend the lease by 5 years back to 99 years i told him that it was 90 years on top of the 94 years unexpired i wanted he told me it would cost me 3 grand plus his costs. He told me you can,t add 90 years on the lease which is nonsense how do i get the process started with a lease extension because i am getting nowhere with the freeholder. Thanks in advance

[ilona pinter]

ground rent is 250 doubling to 500 in 33 years then 750 in the last 33 years

[ilona pinter]

can i do a valuation using parry valuation chart. what do you think a fair price would be ?

[ilona pinter]

Thankyou for your help it seems alot

[Gordon999]

You can download the free guide publication to statutory lease extension and valuation from www.lease-advice.org

Also you can google search for "solicitor for statutory lease extension" and get quotes for their services.