Main reasons to start your Andover lease extension

Main reasons to commence your Andover lease extension today:

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

Unfortunately that a Andover 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 early years due to the depreciation being disguised by increases in the Andover property prices.Where your lease has approximately 90 years left, you need to start thinking about 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 dips lower than eighty years - otherwise a higher amount will be payable. Most flat owners in Andover will be able to extend under the legislation; however a conveyancer will be able to clarify whether you are eligibility. In some cases you may not be entitled. 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 conveyancer from beginning to end of the process.

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

Leasehold premises in Andover with more than 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 property. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges merit it.

Lending institutions will not loan monies with a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet lending institutions start to become nervous at around 75 years. This may be problematic as and when you come to market or remortgage your flat as it will be effectively unmortgageable. You might have no imminent plan to sell but when you do your purchaser must hold off for 2 years before they can commence the legal procedures for a lease extension.

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

Lease extensions in Andover can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and surveyor with experience in this area.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Andover lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Andover Lease Extension Case Summaries:

Francesca, Andover, Hampshire,

In the wake of 6 months of unsuccessful discussions with the landlord of her one bedroom flat in Andover, Francesca commenced the lease extension process as the eighty year deadline was fast nearing. The legal work was finalised in October 2013. The freeholder’s fees were negotiated to approximately six hundred GBP.

Andover case:

Last year we were approach by Dr I Parker , who owned a first floor flat in Andover in October 2011. We are asked if we could shed any light on how much (approximately) price would be for a ninety year lease extension. Comparable flats in Andover with an extended lease were worth £186,000. The average amount of ground rent was £65 invoiced yearly. The lease lapsed in 2084. Considering the 58 years outstanding we approximated the compensation to the freeholder for the lease extension to be between £24,700 and £28,600 plus expenses.

Andover case:

Mr and Mrs. A Baker bought a one bedroom flat in Andover in April 2002. The question was if we could shed any light on how much (approximately) premium would likely be for a 90 year extension to my lease. Similar properties in Andover with 100 year plus lease were valued about £250,000. The mid-range ground rent payable was £50 invoiced quarterly. The lease expired in 2095. Taking into account 69 years left we calculated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 plus fees.