Lease extension

[Gloriasub]

Seller said lease extension is in progress.
How long does it take for the lease to be renewed/extended?

As a buyer, can we say it has to be done before exchange contract/complete??

If the lease can't be extended sooner and the seller wants to pass it to me, does it mean I need to bear the cost of it?

Thanks

Under the current legislative framework lease extension is often both costly and time-consuming. So, the answer to your first question is 'it depends', and also depends on what kind of sums we are talking about here.

There is current legislation that would reform the whole lease extension system but its still going thru parliament and even when passed there is usually some waiting period while it all comes into force.

Second question, of course you can say it needs to be done before you purchase. Your vendor will know full well the lease is a problem (if it actually is) and is either banking on you being clueless or ... something. Unlikely any legislation changing the current leasehold legal framework will be in force before your sale completes...

How many years left? I mean, you could gamble on current legislation going through in which case you'd be quids in jf it did. Or you could gamble and then for whatever reason the legislation doesn't go through and then you're saddled with an unmortgageable asset at least in the shorter term.

Finally you ask, if the sale proceeds in the absence of a completed lease extension, would you be liable for the cost... do you mean, of the ongoing proceedings or liable for the cost of eventually extending the lease? These are questions for your solicitor, that's why they cost so much. Don't use one of those dodgy conveyancing firms for this, you need proper, time-served professional advice from a sol who understands both leasehold and the political climate.

Thanks for your reply.

As a freeholder for the share of freehold, does it make any differences?

What does the solicitor say?

If you would have a share of freehold, then there are other free holders. Are they around/ co-operative, and do they have capability? Because IIRC the other shared freeholders need to agree do they not? Normally it's in everyone's interests to get leasehold sorted in shared freehold but I'd wonder why the current owner hasn't done so. As your lawyer for advice, this isn't anything you'd want to sail into blindy

My solicitor has raised enquiries , but I am not sure what she has raised. I guess she would like to discuss with me after she got everything back.
At that point, I shall raised my concerns. But I didn't know what to expect to ask or if I would miss out anything.

With your replies, I get more ideas and directions

That's very helpful. You are a star!

The whole conveyancing process is so weird! I'm sure your solicitor will be on it, and hopefully this is just ineptitude or naivety on the vendors side?

I have asked the vendor about the progress, but he only said his solicitor would update my solicitor about the progress.

I just dare not to bother with my solicitor so that she doesn't feel any pressure from me.

Sometimes when a person rushes you to do something, you just feel like not doing it. lol so I hope to make her feel like I am letting them to take the time (I do have time for the whole thing, but I am more worried that anything could happen to make the seller pull out all of a sudden)

Especially when a flat with a lease under 70 years, it looks in a good condition although they are still using immersion heater for hot water and didn't rewire since they moved in 20+ years ago..and they are desperately selling it as they want to upsize the place. So I can't be sure if it's a red flag or not, but overall it's a good price to me if they are willing to get the lease extended before completion.

Hello, I've just found out my 87 year old aunt's flat lease is only 75 years. She's been confused about it for years and years but didn't want me 'telling her what to do' - unfortunately she now wants to go into assisted living, so has to sell, and getting a mortgage on a short lease could be difficult. She might be lucky and get a cash buyer.

She has approached her freeholder, who has agreed an informal lease extension, which takes months, rather than the lengthy formal extension.

Did you continue with the purchase?