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Lease Extensions for ex Local Authority Flats ( North East)

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Author Topic: Lease Extensions for ex Local Authority Flats ( North East)  (Read 73 times)

Trood

Newbie
Posts: 15

I like property
« on: March 09, 2022, 07:28:56 PM »
Hi everyone

Ive just found out from mu local authority council that I need to pay up to £3,000 just for them to tell me how much they are going to charge me for an extension to the lease on my flat.  It currently stands at 90 years.   The cost will include 2% of the valuation, plus their legal costs.  This might sound like a how long is a bit of string question but has anyone on here had any recent dealing with extending their lease with their local council and was it an extortionate amount?  I really dont want to do this myself and was hoping that my buyer would deal with it but it seems to be a bit of a sticking point.  Im happy to drop the price to reflect the remaining years on it but in the meantime I was wondering how expensive is it actually going to be.   

Hippogriff

Global Moderator
Hero Member
Posts: 4468

Abuse Officer
« Reply #1 on: March 10, 2022, 11:01:20 AM »
Have you not had a conversation with the Buyer about all the upcoming changes in this space?

I mean, my own personal advice to anyone who is contemplating taking any action with regards to Leases... extending or purchasing the Freehold reversion... would be to wait? The Government appear to have plans where this particular headache could, effectively, disappear. Now, the Buyer - admittedly - may be receiving pressure from their Mortgage supplier (there's not enough information to say) and, in that case, you'd have to push it through yourself, or willingly allow the sale to fall-through.

From https://commonslibrary.parliament.uk/leasehold-reform-in-england-and-wales/...

"Leasehold reform was included in the Law Commission’s 13th Programme of Law Reform with the aim of finding ways to make buying a freehold or extending a lease “easier, faster, fairer and cheaper.”"

Unless there is pressing need, normal advice would be not to act now... your situation might be considered pressing need.

heavykarma

Global Moderator
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Posts: 1551

I like property
« Reply #2 on: March 10, 2022, 02:09:52 PM »
Agree with above.My 3 studios (not council) were extended from 60-odd to 999 years.I  spent over  £30k.  It felt good to have them sorted,but I now curse the timing.I could have saved a load of money and aggravation by waiting.Others wanted to sell,and it was impossible to do so. If you don't have to sell urgently I would hang on.90 years is not bad in any case,someone else may be happy with that.
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