Top reasons for Abridge lease extension

Why you should start your Abridge lease extension today:

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

Unfortunately that a Abridge residential lease is a deteriorating asset. As the lease term reduces so does the value of the property. The extent of this is not fully appreciated in the first few years due to the loss of value being disguised by increases in the Abridge property market.Where your lease has approximately 90 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 under 80 years - otherwise a higher premium will be due. Most flat owners in Abridge will be able to extend under the legislation; however a lawyer will be able to confirm whether you qualify for an extension. In some cases you may not qualify. There are also strict deadlines and procedures to follow once the process has commenced and you will need to be guided by your conveyancer throughout the formalities.

An extended lease is almost the same value as a freehold

Leasehold premises in Abridge with in excess of one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and service charges merit it.

Banks and Building Societies may decide not to grant a mortgage with a short lease

Banks and Building Societies have specific criteria when lending funds charged on leasehold homes. Many will simply refuse lend at all once the residual lease term drops under a certain unexpired lease term. Many Banks and Building Societies will not consider property with a remaining below 75 years as acceptable security. As well as this being important when selling, it is also relevant if you are seeking to remortgage your Abridge property.

Why use us for your lease extension in Abridge?

Regardless of whether you are a tenant or a freeholder in Abridge,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Abridge valuers.

Abridge Lease Extension Case Studies:

Aiden, Abridge, Essex,

Aiden was the the leasehold proprietor of a 2 bedroom apartment in Abridge being sold with a lease of a few days over sixty years outstanding. Aiden on an informal basis spoke with his landlord a well known local-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £50 yearly. No ground rent would be payable on a lease extension were Aiden to invoke his statutory right. Aiden procured expert advice and was able to make an informed decision and handle with the matter and ending up with a market value flat.

Abridge case:

In 2013 we were approached by Dr J Evans who, having purchased a first floor apartment in Abridge in March 2004. We are asked if we could estimate the premium could be for a 90 year extension to my lease. Similar homes in Abridge with an extended lease were valued around £264,000. The mid-range ground rent payable was £60 billed quarterly. The lease finished in 2079. Considering the 53 years remaining we approximated the compensation to the landlord for the lease extension to be between £37,100 and £42,800 not including expenses.