Yes, if you’re the leaseholder and you’ve lived in the property for two or more years you have the right to request an extension to your lease. If you’re purchasing a property that has a short lease, it would be wise to request that the seller extend the lease as part of the purchase agreement.
Properties with less than 80 years are considerably less attractive to buyers as many mortgage companies will not provide a loan on a property with a short lease. So, extending the leasehold can help maintain (and increase) the value of your property. If you decide to do this, it’s best done with the help of a professional as they’ll be able to guide you through the process.
The cost to extend the lease will really depend on the property, its value and the number of years that are left. Generally speaking, the fewer years left on the lease, the more you can expect to pay to extend it. This is why leaseholders are advised to consider lease extensions early on – ideally when there are at least 80 years left.
If you decide to extend the lease, you’ll also need to factor in legal fees and the cost to update Land Registry records into your calculations.