Main reasons to start your Aldeburgh lease extension

Top reasons for lease extension now:

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

Chances are that if you own a flat in Aldeburgh you actually own a long leasehold interest over your property

Aldeburgh property with a lease extension is almost the same value as a freehold

Leasehold premises in Aldeburgh with in excess of 100 years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.

Mortgage lenders will not lend on a short lease

Most high street banks are tightening their criteria and many now expect flats to have at least 60 if not 70 years remaining once the mortgage has expired. As plenty of flats in Aldeburgh were built in the 1950s, 1960s and 1970s this means many now require lease extensions if they wish to get a mortgage.

What makes us experts in Aldeburgh lease extensions?

The conveyancers that we work with handle Aldeburgh 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 lawyer we work with provide it.

Aldeburgh Lease Extension Case Studies:

Jonathan, Aldeburgh, Suffolk

Half a year ago Jonathan, started to get near to the eighty-year threshold with the lease on his basement flat in Aldeburgh. In buying his property two decades ago, the unexpired term was of no significance. Fortunately, he became aware that he needed to take action soon on Extending the lease. Jonathan arranged for a lease extension at the eleventh hour in April. Jonathan and the freeholder via the management company in the end settled on the final figure of £6,000 . If he failed to meet the deadline, the price would have escalated by at least £1,000.

Aldeburgh case:

In 2011 we were phoned by Mr and Mrs. C Patel who, having completed a ground floor flat in Aldeburgh in September 2000. We are asked if we could estimate the compensation to the landlord could be for a 90 year lease extension. Comparable homes in Aldeburgh with 100 year plus lease were valued about £295,000. The mid-range amount of ground rent was £45 billed quarterly. The lease ended on 25 May 2100. Having 74 years left we approximated the compensation to the freeholder for the lease extension to be between £8,600 and £9,800 not including professional charges.

Aldeburgh case:

Mr V Nelson completed a one bedroom flat in Aldeburgh in October 2000. The question was if we could estimate the premium would be for a ninety year lease extension. Identical premises in Aldeburgh with an extended lease were valued around £243,000. The mid-range ground rent payable was £65 collected per annum. The lease elapsed in 2089. Given that there were 63 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £20,000 and £23,000 not including expenses.