Why you should commence your Burnham On Crouch lease extension

Why you should commence your Burnham On Crouch lease extension today:

Increase your lease and increase your Burnham On Crouch property value

Unfortunately that a Burnham On Crouch residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the early years due to the loss of value being disguised by increases in the Burnham On Crouch property market.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 falls below 80 years - otherwise a higher amount will be payable. The majority of leasehold owners in Burnham On Crouch will be able to extend under the legislation; however a conveyancing solicitor should be able to confirm if you are eligibility. In some situations you may not qualify. There are also strict deadlines and procedures to follow once the process is instigated and you will need to be guided by your conveyancer from beginning to end of the process.

An extended lease has roughly the same value as a freehold

Leasehold residencies in Burnham On Crouch with over one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth 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 estate charges warrant it.

Mortgage lenders will not grant a mortgage on a short lease

Most high street banks are tightening their criteria and many now require flats to have a minimum of sixty if not seventy years remaining once the mortgage has expired. As a number of flats in Burnham On Crouch were built in the fifties, sixties and seventies as a result many now require lease extensions if they if they are to be mortgageable.

Get in touch with one of our Burnham On Crouch lease extension solicitors or enfranchisement solicitors

The conveyancers that we work with undertake Burnham On Crouch 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.

Burnham On Crouch Lease Extension Case Studies:

Gemma, Burnham On Crouch, Essex,

Off the back of lengthy correspondence with the landlord of her leasehold flat in Burnham On Crouch, Gemma started the lease extension process just as her lease was nearing the critical 80-year deadline. The transaction completed in May 2007. The landlord’s costs were restricted to a tad over 550 pounds.

Burnham On Crouch case:

In 2011 we were contacted by Dr N Moore who, having moved into a one bedroom flat in Burnham On Crouch in September 2004. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year extension to my lease. Comparable homes in Burnham On Crouch with an extended lease were in the region of £246,800. The mid-range amount of ground rent was £60 collected monthly. The lease terminated on 21 August 2076. Having 50 years outstanding we calculated the compensation to the landlord to extend the lease to be between £44,700 and £51,600 not including costs.

Burnham On Crouch case:

In 2014 we were called by Mr and Mrs. U Davies who, having was assigned a lease of a one bedroom apartment in Burnham On Crouch in July 2004. The question was if we could estimate the price could be to extend the lease by an additional years. Comparable flats in Burnham On Crouch with a long lease were worth £208,200. The average amount of ground rent was £65 billed yearly. The lease lapsed on 23 August 2087. Considering the 61 years left we estimated the premium to the freeholder to extend the lease to be between £19,000 and £22,000 exclusive of costs.