Why you should commence your Vauxhall lease extension

Top reasons for lease extension now:

Increase your lease and increase your Vauxhall property value

Unfortunately that a Vauxhall residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the loss of value being disguised by increases in the Vauxhall property market.Where your lease has approximately ninety years left, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips lower than eighty years - otherwise a higher premium will be due. The majority of leasehold owners in Vauxhall will be able to extend under the legislation; however a conveyancing solicitor will be able to confirm whether you are eligibility. In some situations you may not qualify. There are also strict timeframes and procedures to be adhered to once the process is instigated and you will need to be guided by your conveyancing solicitor from beginning to end of the formalities.

An extended lease is almost the same value as a freehold

It is generally accepted that a property with in excess of one hundred 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.

Banks and Building Societies will not lend on a short lease

The trend since 2008 has been for mortgage companies to tighten lending criteria across the board - this has extended to the property over which the mortgage is to be charged. This has meant the minimum number of years remaining under the lease required by lenders has increased. Historically mortgage companies would grant a mortgage on a lease with twenty years plus the term of the loan - routinely 50 year leases but those requirements have been chipped away by the requirement for lengthy leases - many use a minimum term of 75 years as a prerequisite.

What makes us experts in Vauxhall lease extensions?

The lawyers that we work with handle Vauxhall lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.

Vauxhall Lease Extension Case Summaries:

Alisha, Vauxhall, South London,

Subsequent to lengthy discussions with the freeholder of her studio apartment in Vauxhall, Alisha initiated the lease extension process as the eighty year deadline was quickly advancing. The lease extension completed in September 2006. The freeholder’s costs were kept to an absolute minimum.

Vauxhall case:

Ms O Bernard completed a ground floor flat in Vauxhall in October 2007. The question was if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Identical residencies in Vauxhall with an extended lease were in the region of £206,200. The mid-range ground rent payable was £60 collected per annum. The lease ended on 9 April 2082. Given that there were 56 years remaining we approximated the compensation to the landlord for the lease extension to be within £32,300 and £37,400 exclusive of costs.