Why you should start your Faringdon lease extension

Main reasons to start your Faringdon lease extension today:

Increase your lease and increase your Faringdon property value

Faringdon leases on domestic properties are gradually losing value. Where your lease has approximately 90 years unexpired, you should start thinking about a lease extension. An important point to note is that it is desirable for a lease extension to take place before the term of the current lease dips below 80 years - otherwise a higher amount will be payable. Flat owners in Faringdon will usually qualify for a lease extension; however a solicitor should be able confirm if you qualify. In some circumstances you may not qualify. There are also strict deadlines and steps to follow once the process has commenced so it’s sensible to be guided by a conveyancer during the process.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 35 years left, the residence will be worth the same as a freehold for many years in the future.

Lending institutions will not lend with a short lease

The definition of a short lease varies by mortgage company, yet lending institutions start to become concerned at around 75 years. This will be problematic when you come to sell or refinance your property as it will be practically unmortgageable. Even though you might have no immediate intention to sell but when you do your purchaser will need to wait 2 years before they can exercise the right to a a lease extension.

What makes us experts in Faringdon lease extensions?

Using our service will provide you increased control over the value of your Faringdon leasehold, as your property will be more valuable and saleable in terms of lease length should you want to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Faringdon Lease Extension Case Studies:

Kirsty, Faringdon, Oxfordshire,

Trailing unsuccessful correspondence with the landlord of her purpose-built apartment in Faringdon, Kirsty initiated the lease extension process as the eighty year threshold was fast coming. The legal work completed in October 2008. The freeholder’s costs were kept to an absolute minimum.

Faringdon case:

Mr and Mrs. J Lee took over the lease of a basement apartment in Faringdon in August 2003. The question was if we could shed any light on how much (roughly) premium would be to extend the lease by ninety years. Similar homes in Faringdon with an extended lease were in the region of £205,000. The average amount of ground rent was £50 billed every twelve months. The lease elapsed in 2105. Considering the 79 years remaining we calculated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 plus professional charges.

Faringdon case:

In 2009 we were contacted by Mr and Mrs. E Mercier who, having purchased a ground floor apartment in Faringdon in October 1996. The question was if we could approximate the compensation to the landlord could be to prolong the lease by a further 90 years. Comparable residencies in Faringdon with a long lease were in the region of £275,000. The average ground rent payable was £65 billed every twelve months. The lease terminated in 2094. Having 68 years outstanding we approximated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 not including legals.