Why you should commence your Endon lease extension

Why you should start your Endon lease extension today:

Increase your lease and increase your Endon property value

The closer a residential lease in Endon nears to zero years unexpired, the more it reduces the value of the property. Where the residual term has, in excess of 100 years to run then this decrease may be negligible however there will become a stage when a lease has fewer than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary rational as to why you should consider extending without delay. Many flat owners in Endon will meet the qualifying criteria; however a lawyer will be able to advise if you qualify for a lease extension. In limited situations you may not qualify, the most common reason being that you have owned the property for under two years.

An extended lease has roughly the same value as a freehold

Leasehold premises in Endon with over 100 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 premises. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges justify it.

Mortgage lenders may decide not to loan monies with a short lease

The definition of a short lease depends on the specific mortgage company, yet lending institutions start to become jittery at around 75 years. This may cause difficulties as and when you wish to sell or refinance your flat as it will be effectively unmortgageable. You may have no imminent intention to sell but when you do your purchaser must wait two years before being able to exercise the right to a an extension to the lease.

Why use us for your lease extension in Endon?

Engaging our service gives you increased control over the value of your Endon leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Endon Lease Extension Example Cases:

Naomi, Endon, Staffordshire,

Subsequent to protracted discussions with the freeholder of her two bedroom apartment in Endon, Naomi commenced the lease extension process as the 80 year mark was fast coming. The transaction was finalised in July 2013. The freeholder’s costs were restricted to slightly above four hundred pounds.

Endon case:

Mrs E Bennett took over the lease of a ground floor flat in Endon in January 1996. The question was if we could estimate the compensation to the landlord would be to extend the lease by 90 years. Identical premises in Endon with an extended lease were in the region of £285,000. The mid-range amount of ground rent was £45 invoiced every twelve months. The lease lapsed on 24 September 2097. Taking into account 71 years remaining we approximated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 plus costs.

Endon case:

Last Christmas we were contacted by Dr Archie Gray , who was assigned a lease of a first floor flat in Endon in November 2008. The dilemma was if we could approximate the premium would be to prolong the lease by 90 years. Comparative properties in Endon with 100 year plus lease were in the region of £225,800. The average amount of ground rent was £60 billed per annum. The lease elapsed on 28 January 2086. Considering the 60 years outstanding we approximated the premium to the landlord for the lease extension to be between £23,800 and £27,400 not including professional charges.