While some flats are held on very long leases (999 years), it is not uncommon for flats to be held under leases of 125 years. As the years pass, your lease will reduce in length and value, becoming less attractive to mortgage lenders and indeed purchasers. The policies of lenders differ but some banks are known to refuse to lend on a leasehold flat with less than 80 years left on its term.
In order to make your flat more marketable, or even to allow you continue to live in it, it would be advisable to consider extending the lease.
A lease extension may be necessary as part of a sale. Where appropriate it may be possible to assign the benefit of a claim for a lease extension as part of the sale process.
You may have seen publicity around this whole area of law being considered for reform. However, there is no certainly as to how the law might change or when. It may not be in your interest to 'wait and see'. This is particularly the case if your lease will soon drop under 80 years as then you will need to pay for 'marriage value' which will make the premium more expensive.
The relevant legislation sets out a strict procedure to be followed to secure an extended lease. We regularly assist leaseholders, and indeed freeholders through this process.
For leaseholders we can:
For freeholders we can:
The team's real strength lies in the fact that everyone takes a very commercial approach towards litigation, realising that sometimes a good settlement may be worth more to a client than a judgment from a court.