Ask The Experts

If your lease has fallen below 80 years then you are liable to pay the freeholder a fee, this is known as Marriage Value. This is because the value of a property with an extended lease is higher than one with a lease below 80 years, therefore the freeholder can directly benefit from this value increase (which they cannot if the lease is in excess of 80 years). They are allowed to demand 50% of the perceived increase in the value of the property, in addition to the other factors determining a lease extension premium! Needless to say, it’s in a leaseholders interest to increase the lease before it reduces to 80 years. If your lease is close to 80 years, speak to our team of experts for free advice on 020 8315 6901.

It is a right, subject to qualification, for the owners of flats in a building, and sometimes part of a building, to join together and buy the freehold of that building. The relevant Act is the Leasehold Reform Housing & Urban Development Act 1993 (as amended). At least 50% of the flats in the building must participate – providing there are more than 2 flats (and must be qualifying leaseholders).

You’re eligible to request the statutory lease extension if you’re the sole owner (not shared ownership) and you’ve owned the property for a minimum of 2 years. If you are unsure, or have any other questions, speak to our team of experts for free advice on 020 8315 6901.