Lease extension

Collapse
X
  • Filter
  • Time
  • Show
Clear All
new posts

  • Lease extension

    Hi

    I've just paid £300 to my freeholder to do a lease extension valuation.

    The figure they have come back with is £10,275 plus costs of £750 plus VAT. This is at least £1275 more than what the lease advice website says.

    We have it on the market for £140,000, lease start date 25/03/1984 with 99 from that date. Ground rent is currently £25, rising to £50 2017 and then £75 in 2050.

    They have done the figures with the current value at £135k but with the lease, £150k (very unlikely figure in this market).

    Do you they are ripping us off? What's the process from here if we have to go to a tribunal?

    Thanks

  • #2
    I don't think it's worth going to a tribunal to argue over £1275. If the ground rent is unchanged, I would consider taking the offer.

    Comment


    • #3
      Originally posted by JK0 View Post
      I don't think it's worth going to a tribunal to argue over £1275. If the ground rent is unchanged, I would consider taking the offer.
      If it is for a statutory lease extension it is there or thereabouts. The cost of challenging the figure would be disproportionate to what you might save.

      Comment

      Latest Activity

      Collapse

      • Hidden Admin Fees
        37eeyore
        My son is a leaseholder in an ex local authority flat that is now owned by a housing authority. I have recently been checking his service charge bill and received a summary of charges and copies of the repairs invoices. When I matched up the invoices to the summary I discovered that every invoice had...
        28-01-2017, 13:32 PM
      • Reply to Hidden Admin Fees
        leaseholder64
        The lease only seems to allow the actual administration cost. Mine allows reasonable fees of a managing agent.

        It sounds to me as though they have switched from an overall fee to a percentage, rather than charging both. Charging both is likely to be unreasonable for day to day costs....
        22-08-2017, 16:31 PM
      • Reply to Hidden Admin Fees
        37eeyore
        ANDYDD

        The lease says - all other costs incurred by the Landlord in or in connection with maintenance or management of the building.
        Which seems to mean they can charge anything they want.

        Can you tell me where it says he can only recover the actual cost of repairs as...
        22-08-2017, 16:16 PM
      • service charge payments
        Squeaky
        Hi, there are 36 flats, 12 flats per block where I live. My lease says my contribution is one thirty sixth for a 2 bed. Looking at the service charge payments provided I can't work out what percentage the other flats pay, some are 1 and 3 bed as the amounts noted are different for the same size flats....
        21-08-2017, 19:57 PM
      • Reply to service charge payments
        Squeaky
        Thanks for the replies. I am trying to understand the figures and lease information, so I apologise for my level of explanation or understanding. On the Statement of anticipated service charge expenditure It states my contribution is £550 for the garage, lease states one thirty third. So I worked...
        22-08-2017, 16:15 PM
      • Reply to Hidden Admin Fees
        MrSoffit
        Churchill would have hated that last sentence: "The bottom of to which I cannot get?"

        Joking apart, what the &!%@! does Universal Credit calculations have to do with service charge admin fees?

        Accepting LKP is busy these days (only a handful of people) I'd suggest...
        22-08-2017, 15:32 PM
      • Reply to Hidden Admin Fees
        andydd
        They can only charge what is allowed in the lease, if the lease makes no mention of an admin fee then it is not recoverable.

        If your FH does some work and it costs him £100, he can only recover £100 from you FOR THOSE WORKS, however it is acceptable for a big S20 building project to add...
        22-08-2017, 15:27 PM
      • Reply to Hidden Admin Fees
        37eeyore
        There only explanation is that it's an admin fee and they can't show it separately because of the way Universal Credit is calculated.

        Local councillor was more helpful than MP but nobody seems to know the legal standpoint.

        LKP are swamped with the leasehold houses and doubling...
        22-08-2017, 15:13 PM
      • Reply to Hidden Admin Fees
        MrSoffit
        Hi again, can't improve on my first detailed response. Sadly RSLs are in a different bracket of 'code' and you need to know your grounds to argue. Never lived under one so never needed to research. I suggest again that you mention this issue either to your local MP, or email one of the now 99 APPG parliamentarians...
        22-08-2017, 15:01 PM
      • Reply to Hidden Admin Fees
        37eeyore
        They didn't mention VAT, or that they are charging us 15%. I only know because I've seen the invoices.

        I think the thing that annoys me most is not the charge, but that they don't tell us anywhere that we're paying it.

        Thanks for your feedback.
        22-08-2017, 13:57 PM
      Working...
      X