Stop! Your Lease Extension in Birchington Could Be FREE

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Many leaseholders in Birchington are unaware that their original lawyer had a duty to warn them about future mortgageability and saleability issues. Before you pay thousands to your freeholder, let us audit your purchase history. You might have a claim that pays for your lease extension in full

If you are facing a significant premium because your lease in Birchington has dropped toward the 80-year mark, your previous lawyer may be at fault. Our panel of experts specialise in recovering lease extension costs from negligent firms who failed to protect your investment.

Main reasons to start your Birchington lease extension

Main reasons to start your Birchington lease extension today:

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

The rule of thumb is, all other factors being equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Birchington may extend the lease for a further 90 years in accordance with statute. Do think carefully before delaying your Birchington lease extension. Shelving that expense today simply escalates the amount you will ultimately be required to pay to extend the lease.

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

It is conventional wisdom that a property with in excess of one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 45 years left, the premises will be equivalent in value to a freehold for many years ahead.

Lenders may not grant a mortgage with a short lease

Most banks and building societies insist on a lengthy amount of time remaining on a leasehold residence before they will contemplate it as adequate security. Even if you don't require a mortgage, you should keep in mind that it is likely that someone wanting to purchase your property in the future might well do, so if they can't obtain a mortgage, then the value of your property could be adversely impacted. In the last decade most banks and building societies have increased the required minimum lease length that they are prepared to lend on

Lender Requirement
Accord Mortgages 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
Chelsea Building Society 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
National Westminster Bank Mortgage term plus 30 years.

For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage.
Royal Bank of Scotland Mortgage term plus 30 years.
Yorkshire Building Society 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.

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

The conveyancers that we work with handle Birchington 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.

Birchington Lease Extension Case Studies:

Harvey, Birchington, Kent,

Harvey owned a conversion flat in Birchington being sold with a lease of just over fifty eight years unexpired. Harvey on an informal basis approached his freeholder a well known Manchester-based freehold company for a lease extension. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £200 per annum and doubled every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Harvey to exercise his statutory right. Harvey obtained expert legal guidance and secured satisfactory deal without resorting to tribunal and ending up with a market value flat.

Birchington case:

Last Christmas we were e-mailed by Dr Liam Green , who was assigned a lease of a studio flat in Birchington in January 2011. The dilemma was if we could approximate the premium would be to prolong the lease by an additional years. Identical homes in Birchington with an extended lease were valued around £233,200. The average ground rent payable was £60 invoiced quarterly. The lease elapsed in 2087. Having 61 years remaining we approximated the compensation to the freeholder to extend the lease to be within £22,800 and £26,400 exclusive of legals.

Birchington case:

Mr E Young acquired a basement apartment in Birchington in February 2012. We are asked if we could estimate the compensation to the landlord could be to prolong the lease by 90 years. Identical flats in Birchington with 100 year plus lease were valued around £166,800. The mid-range ground rent payable was £50 invoiced monthly. The lease elapsed in 2076. Having 50 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £32,300 and £37,400 plus fees.