What does the leasehold extension process look like?

It’s important for leasehold residents to have the option to extend their lease. As a lease gets shorter, the value of the lease decreases, this can make it difficult if you choose to sell your property. To help you make an informed decision on extending your lease, we wanted to provide some guidance on the likely costs involved and an overview of the process. 

The following costs are typical for a voluntary lease extension: 

• Lease Extension Valuation Fee (Paid to Anchor and sent on to Allied Surveyors for the valuation report): £250.00 plus VAT 
• Administration Fee: £100.00 plus VAT 
• Legal Fee: £400.00 plus VAT plus disbursements (usually around £35.00)

In addition to these costs, there will be a lease extension premium. This is the amount payable for the extension itself, which is based on the valuation carried out by Allied Surveyors.

If you would like an early indication of the potential premium, you can use the Leasehold Advisory Service’s calculator here.

While timescales can vary depending on external responses (e.g., solicitors), the general process is as follows:

• Initial contact – Leaseholder requests lease extension by phone or email (response within 5 working days)
• Valuation fee paid – On receipt, Allied Surveyors are instructed (within 5 working days)
• Valuation report – Allied prepare the report (approx. 2–3 weeks)
• Report shared – Leaseholder receives report (within 5 working days)
• Payment agreement – Leaseholder returns completed form (Legal Team instructed within 5 working days)
• Legal team instruct solicitors – Initial email sent (within 2–3 days)
• Solicitors’ undertaking – Timescale depends on solicitor’s response
• Draft documents provided by legal team – Prepared within 2–3 days of receiving undertaking
• Solicitors’ review – Drafts agreed, or queries raised (timing depends on solicitor’s response)
• Final documents – Issued for signing (within 2–3 days of sign-off)
• Completion – Once all parties hold signed documents, a completion date is agreed.