Top reasons for Saltdean lease extension

Top reasons for lease extension now:

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

On the balance of probabilities where you own a flat in Saltdean you actually own a long leasehold interest over your property

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

Leasehold properties in Saltdean with in excess of 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and service charges merit it.

Lending institutions may decide not to issue a mortgage on a short lease

Lending institutions have set criteria when lending monies secured on leasehold property. Many will simply refrain from lending at all once the remaining lease term goes under a specified unexpired lease term. Many Lending institutions will not consider property with a remaining term of less than seventy years suitable security. As well as this being important when selling, it is also relevant if you are seeking to remortgage your Saltdean property.

Get in touch with one of our Saltdean lease extension solicitors or enfranchisement solicitors

Using our service will provide you better control over the value of your Saltdean leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Saltdean Lease Extension Example Cases:

Andrew, Saltdean, East Sussex,

Andrew owned a 2 bedroom apartment in Saltdean on the market with a lease of just over 61 years left. Andrew on an informal basis spoke with his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £125 yearly. No ground rent would be due on a lease extension were Andrew to exercise his statutory right. Andrew obtained expert advice and secured satisfactory resolution without going to tribunal and readily saleable.

Saltdean case:

Mr and Mrs. B Anderson moved into a recently refurbished apartment in Saltdean in May 1997. We are asked if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Comparable residencies in Saltdean with 100 year plus lease were valued around £285,000. The mid-range amount of ground rent was £45 invoiced yearly. The lease ran out in 2097. Taking into account 72 years left we calculated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 plus legals.

Saltdean case:

In 2010 we were phoned by Dr I Hill who, having took over the lease of a newly refurbished apartment in Saltdean in May 2004. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by a further 90 years. Comparable residencies in Saltdean with 100 year plus lease were in the region of £233,200. The mid-range amount of ground rent was £60 invoiced quarterly. The lease came to a finish in 2086. Having 61 years remaining we estimated the premium to the freeholder to extend the lease to be between £22,800 and £26,400 not including professional charges.