Top reasons for Burford lease extension

Why you should commence your Burford lease extension today:

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

With a domestic leasehold premises in Burford, you effectively rent it for a certain period of time. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly especially when there are less than 80 years remaining. Residents in Burford with a lease drawing near to 81 years left should seriously consider extending it sooner rather than later. When a lease has less than 80 years remaining, under the relevant Act the freeholder can calculate and demand a larger amount, based on a technical calculation, known as “marriage value” which is payable.

An extended lease is almost the same value as a freehold

Leasehold properties in Burford with more than 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges merit it.

Mortgage lenders may decide not to lend on a short lease

The definition of a short lease varies by mortgage company, yet banks and building societies start to become concerned at around 75 years. This may be problematic when you wish to market or refinance your property as it will be practically unmortgageable. You may have no imminent desire to sell but when you do your buyer will need to wait two years before they can exercise the right to a a lease extension.

Why use us for your lease extension in Burford?

Lease extensions in Burford can be a difficult process. We recommend you procure professional help from a lawyer 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 in-depth market knowledge dealing with Burford lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Burford Lease Extension Example Cases:

Sophia, Burford, Oxfordshire,

Off the back of protracted negotiations with the freeholder of her first floor flat in Burford, Sophia started the lease extension process as the 80 year threshold was swiftly advancing. The legal work completed in February 2009. The freeholder’s fees were restricted to approximately 650 pounds.

Burford case:

Last Summer we were approach by Mr and Mrs. A Brooks , who purchased a purpose-built apartment in Burford in October 2001. The dilemma was if we could estimate the premium would be to prolong the lease by an additional years. Comparable properties in Burford with 100 year plus lease were in the region of £200,000. The average amount of ground rent was £50 billed annually. The lease ran out on 13 March 2103. Considering the 77 years unexpired we approximated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 not including professional charges.

Burford case:

In 2010 we were called by Dr L Peterson who, having owned a garden flat in Burford in March 2012. The question was if we could approximate the price would be for a ninety year lease extension. Identical premises in Burford with a long lease were worth £260,200. The average amount of ground rent was £65 billed annually. The lease concluded in 2092. Considering the 66 years as a residual term we approximated the premium to the freeholder for the lease extension to be between £16,200 and £18,600 not including fees.