Once a lease has around 80 years or less remaining the cost of obtaining a lease extension will, in most cases, increase every year. Selling the property is likely to become problematic as most lenders take a dim view of lending on properties with short leases.
If you have owned the property for 2 years or more you may be entitled to a statutory lease extension which would add 90 years to the remaining lease length and extinguish the ground rent.
If you allow the lease length to drop beneath 80 years you will incur an additional premium due to the addition of marriage value in the calculation of the cost of the lease extension.
Please call us to discuss your lease extension requirements.
