Top reasons for Potton lease extension

Why you should commence your Potton lease extension today:

A Potton lease depreciates with the years remaining on the lease.

Potton leases on residential properties are gradually losing value. if your lease has approximately 90 years left, you should start thinking about a lease extension. If lease term falls under eighty years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Potton will mostly be legally entitled to a lease extension; however It would be wise to check with a conveyancing solicitor to confirm your eligibility. In some circumstances you may not be entitled. There are also strict deadlines and formalities to comply with once the process is initiated so it’s prudent to be guided by a conveyancing solicitor during the process.

Potton property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with over 100 years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years in the future.

Mortgage lenders may decide not to lend with a short lease

Most mortgage companies will not grant a mortgage on a lease with less than seventy years remaining - although this varies between mortgage companies. A buyer will undoubtedly find it difficult in obtaining a mortgage and this will result in your Potton property being difficult to dispose of or to obtain finance on.

What makes us experts in Potton lease extensions?

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

Potton Lease Extension Example Cases:

Archie, Potton, Bedfordshire,

Archie was the the leasehold proprietor of a high value flat in Potton on the market with a lease of a few days over 59 years unexpired. Archie on an informal basis contacted his freeholder being a well known local-based freehold company for a lease extension. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £100 yearly. Ordinarily, ground rent would not be due on a lease extension were Archie to invoke his statutory right. Archie obtained expert legal guidance and secured satisfactory resolution informally and ending up with a market value flat.

Potton case:

Last Autumn we were called by Mr I Rodríguez , who bought a purpose-built flat in Potton in March 2006. We are asked if we could approximate the price could be for a 90 year lease extension. Comparative residencies in Potton with 100 year plus lease were worth £265,200. The mid-range amount of ground rent was £65 invoiced per annum. The lease concluded on 20 April 2092. Taking into account 66 years remaining we approximated the compensation to the freeholder for the lease extension to be between £15,200 and £17,600 plus expenses.

Potton case:

In 2011 we were approached by Ms E García who, having moved into a one bedroom flat in Potton in January 2012. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year lease extension. Identical properties in Potton with 100 year plus lease were valued about £198,800. The average amount of ground rent was £55 invoiced annually. The lease terminated on 27 May 2081. Taking into account 55 years outstanding we approximated the compensation to the landlord for the lease extension to be between £33,300 and £38,400 plus professional charges.