A lease extension is when the long leaseholder of a flat or house approaches their freeholder to purchase an extension to their existing lease term. This enhances the value of their leasehold interest, but can cost from 2-30% of the value of the flat.

The cost of a lease extension is determined largely by the:

• Value of the Flat
• Unexpired term
• Annual ground rent

We recommend you take professional advice to ascertain the correct premium, details of specialists can be found on the links page.

Once the unexpired lease term goes below 80 years the value of the flat falls rapidly, with the premium payable for an extension to the freeholder increasing at over 12% p.a. As such the sooner an extension is purchased the more is saved.

Commonly the decision to purchase a lease extension is triggered by a need to sell the flat or mortgage.

As a specialist focusing only on this market we offer rapid decisions, normally within 3 working days. In addition we have our own in-house valuation models to calculate the correct lease extension premium, so we can tell you if you are paying the correct price.

Yes we are happy to lend/ fund this on a case by case basis, please contact us to discuss your situation. We can lend on the:

• Freehold Interest
• Participating leasehold units
• Non-participating leasehold units