Six Things You Need To Know About Extending Your Lease
Extending your lease can be confusing…
It can be complicated…
And worse: it can be costly.
But it doesn’t need to be.
Not when you have Leasegevity on your side to get everything sorted quickly, easily and cost-effectively.
If you’d like to talk to someone directly about extending your lease you can complete our contact form here or call us directly on 0300 400 3279 and we’ll be happy to help.
But to make sure you’re filled in on the full picture right now…
Here are six things you need to know about extending your lease:
NEED TO KNOW #1:
IT GETS MORE EXPENSIVE THE LONGER YOU WAIT
Fact is: the longer you wait to extend your lease, the more costly it will become.
For this reason, we recommend you look to extend your lease at the earliest opportunity.
The good news is that, subject to certain criteria, you have a legal right to extend your lease.
But still, we understand it’s a job a lot of people end up putting off. Because it seems complicated or unnecessary, we let it slip down the to-do list.
That’s why we created Leasegevity – so that you’d have someone who could take care of it all for you and avoid the extra costs you might incur if you let your lease run down too much.
So, if you need to extend your lease, don’t hesitate to get in touch with us today – just give us a call on 0300 400 3279.
NEED TO KNOW #2:
IT’S NEVER TO SOON TO CHECK
When should you check your lease?
Seriously, it’s almost never too early.
That said, technically you need to have owned the property for at least two years before you can extend.
But once you have…
It’s always a good idea to double check.
Things get critical when you reach the 80-year mark. If you have less than that on your lease, you need to take action.
It sounds like a long time, but it’s not.
At this point, the lease is considered ‘short’. As a result, it will almost certainly affect the price of your property.
NEED TO KNOW #3:
YOUR RIGHTS AS A LEASEHOLDER
If you’ve already looked into extending your lease, chances are you’ll have found the rules and regulations a bit confusing.
You’re not alone.
And frankly, it’s a real problem. It means a lot of people go into the process without knowing their full legal rights as a leaseholder.
It also means you can end up incurring unexpected fees if you miss certain deadlines or notice periods.
It’s why – here at Leasegevity – we’ll always do everything we can to make sure you enjoy all of the rights you’re legally entitled to.
And we’ll make sure you avoid any unexpected costs when it comes to extending your lease.
NEED TO KNOW #4:
THE PROCESS FOR EXTENDING
But the basic process goes like this:
First, you establish value of your property.
Then you estimate an appropriate valuation for the lease extension and propose this to the freeholder (or landlord).
This notice is called a Section 42 Notice.
The freeholder has two months to serve a counter notice, known as a Section 45 Notice.
If it’s accepted, the paperwork needs to be drawn up and the monies paid.
Alternatively, there’ll be some negotiation.
This is where things can get complicated, but with Leasegevity in your corner, we can make sure any negotiations are dealt with professionally.
NEED TO KNOW #5:
HOW MUCH IT MIGHT COST TO EXTEND
Every lease is different…
And the cost to extend yours will depend on a number of different factors.
The good news is: we’ve created a simple Lease Calculator you can use to estimate the potential cost of your extension.
Of course, it is only a ‘rough’ cost, as we’ll need to check a few specific details before we can calculate the exact cost.
But by using our exclusive Lease Calculator, you’ll be able to get the lay of the land and start to make plans accordingly.
NEED TO KNOW #6:
SHORT LEASES CAN AFFECT MORTGAGES
If you’re looking to sell a leasehold property, the length of the lease can have a big influence.
You see, when it comes to selling a property, shorter lease periods are much less attractive to potential buyers.
As you would expect, a buyer will look to minimise their costs and naturally look for properties with longer lease periods.
In fact, a short lease on a property can even make it difficult for a buyer to get a mortgage at all.
This is obviously a big problem and one of the key reasons to make sure you have a good length of time remaining on your lease.
And it’s why, if you think your lease might be running down, you should get in touch with us here at Leasegevity to discuss a possible extension.
To get in touch, you can complete our contact form here or call us directly on 0300 400 3279 and we’ll be happy to help.
If you’re in any doubt about the lease on your property, don’t hesitate to get in touch.