Why you should commence your Loughton lease extension

Top reasons for lease extension now:

A Loughton leasehold property depreciates with the years remaining on the lease.

The value of Loughton leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of extending the lease can escalate materialy once the unexpired lease term is less than 80 years

An extended lease is almost the same value as a freehold

Leasehold residencies in Loughton with in excess of 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and estate charges justify it.

Mortgage lenders may not finance a property with a short lease

Banks and building societies are inclined not lend on short residential leases. You most probably experience difficulties if you need to sell your flat in Loughton if the unexpired lease term is under the criteria set by most lenders. Different lenders have varying criteria but on the whole they are looking for a minimum remaining lease term of seventy years.

Why use us for your lease extension in Loughton?

Retaining our service gives you increased control over the value of your Loughton leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Loughton Lease Extension Example Cases:

Ellie, Loughton, Essex,

Trailing lengthy negotiations with the freeholder of her one bedroom apartment in Loughton, Ellie initiated the lease extension process just as the lease was nearing the critical eighty-year mark. The transaction was finalised in March 2011. The landlord’s charges were kept to an absolute minimum.

Loughton case:

Last month we were approach by Mr and Mrs. S Bailey , who took over the lease of a purpose-built flat in Loughton in May 2007. The question was if we could shed any light on how much (roughly) premium could be to extend the lease by 90 years. Identical homes in Loughton with a long lease were worth £275,000. The mid-range ground rent payable was £55 invoiced yearly. The lease ended on 24 November 2102. Considering the 76 years remaining we estimated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of professional charges.