Why you should commence your Epsom and Ewell lease extension

Main reasons to commence your Epsom and Ewell lease extension today:

A Epsom and Ewell leasehold property depreciates with the years remaining on the lease.

It’s an underpublicised truth that a Epsom and Ewell residential lease is a deteriorating asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the early years due to the deflation being disguised by increases in the Epsom and Ewell property market.Where your lease has approximately 90 years left, you should start considering 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 80 years - otherwise a higher amount will be payable. The majority of flat owners in Epsom and Ewell will be able to extend under the legislation; however a lawyer should be able to confirm whether you are eligibility. In some cases you may not be entitled. There are also strict deadlines and procedures to be adhered to once the process is initiated and you will need to be guided by your conveyancing solicitor throughout the formalities.

An extended lease has roughly the same value as a freehold

Leasehold premises in Epsom and Ewell with more than one hundred years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges warrant it.

Banks and Building Societies will not grant a mortgage with a short lease

Banks and building societies are really restricting their approach as regards to homes in Epsom and Ewell with short leases. For example you might discover that their lending criteria are stricter and that they alter interest rates depending on the unexpired lease term. Some may even refrain from lending completely, so where you needed to sell, your only options would be to find a cash buyer, or try your luck at auction thus reducing your market.

What makes us experts in Epsom and Ewell lease extensions?

The conveyancers that we work with undertake Epsom and Ewell 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.

Epsom and Ewell Lease Extension Example Cases:

John, Epsom and Ewell, Surrey

During the course of the last few months John, started to get near to the eighty-year mark with the lease on his leasehold flat in Epsom and Ewell. In buying his home twenty years previously, the length of the lease was of minimal relevance. Fortunately, he became aware that he would soon be paying an escalated premium for Extending the lease. John arranged for a lease extension just under the wire in August. John and the landlord subsequently agreed on the final figure of £5,000 . If he had missed the deadline, the amount would have escalated by at least £1,075.

Epsom and Ewell case:

Dr W David moved into a studio apartment in Epsom and Ewell in April 2009. The question was if we could approximate the price would be for a 90 year extension to my lease. Comparative homes in Epsom and Ewell with 100 year plus lease were valued around £218,000. The mid-range amount of ground rent was £45 invoiced quarterly. The lease came to a finish on 27 November 2089. Considering the 63 years as a residual term we calculated the premium to the landlord for the lease extension to be between £17,100 and £19,800 not including legals.