lease extension

Important Leasehold Reform News Featured Image

Important leasehold reform news!

Millions of leaseholders will be given the right to extend their lease by a maximum term of 990 years at zero ground rent, the Housing Secretary Robert Jenrick has announced today (7 January 2021). The changes, making home ownership more secure, will mean that a leaseholder can extend their lease on their home but will no longer pay ground rent to the freeholder which could save them thousands of pounds.  This reform also applies to all new retirement properties and forms part of the biggest reform to English property law for forty years.  Under current rules, leaseholders of houses can…

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Why do leases need extending? Featured Image

Why do leases need extending?

Listen to Property Manager, Jamie Fisk discuss why leases need extending.     “Your lease is granted for a set period of time and at the end of that period, the property is handed back to the freeholder.  By extending the lease, you are increasing the time you remain the leaseholder of the property before it’s handed back to the freeholder.  Often increasing the lease comes with a premium and there is a formal procedure to follow in order to extend the lease.”

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When should you extend a lease Featured Image

When should you extend a lease and how much would it cost?

A Lease lasts for a finite period of time and any lease with 70 years or less to run is classed as a Short Lease.   Essentially, as the unexpired period reduces, so does the value to the leaseholder, whilst the value to the freeholder increases.  This is why it’s best to extend a Short Lease sooner, rather than later and you should be mindful of the following points. The cost of extending a lease is a balance between the value of its location and the length of time it has left. The best advice is to look at your…

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