Top reasons for Farnham Common lease extension

Top reasons for lease extension now:

A Farnham Common lease depreciates with the years remaining on the lease.

On the balance of probabilities if you own a flat in Farnham Common you actually own a long leasehold interest over your property

Farnham Common property with a lease extension is almost the same value as a freehold

It is generally considered that a residential leasehold with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

Lenders may decide not to loan monies on a short lease

The propensity since over the last decade has been for mortgage companies to tighten lending requirements across the board - this has extended to the types of security over which the mortgage is to be charged. This has resulted in the minimum number of years remaining under the lease required by banks has increased. Historically mortgage companies were content with 25 years plus the term of the loan - routinely 50 year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have a minimum term of 75 years as standard.

Why use us for your lease extension in Farnham Common?

The conveyancers that we work with procure Farnham Common 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 lawyer we work with provide it.

Farnham Common Lease Extension Case Summaries:

Benjamin, Farnham Common, Buckinghamshire,

Benjamin owned a studio flat in Farnham Common being marketed with a lease of a few days over sixty years outstanding. Benjamin informally spoke with his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £100 yearly. No ground rent would be payable on a lease extension were Benjamin to invoke his statutory right. Benjamin procured expert advice and was able to make an informed judgement and handle with the matter and sell the flat.

Farnham Common case:

Mr W Jackson completed a garden apartment in Farnham Common in June 1995. We are asked if we could estimate the premium would be to prolong the lease by 90 years. Similar flats in Farnham Common with an extended lease were valued around £270,000. The mid-range ground rent payable was £55 billed yearly. The lease ran out on 9 March 2100. Considering the 75 years unexpired we calculated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 not including fees.

Farnham Common case:

Dr Zoe Rogers completed a ground floor apartment in Farnham Common in April 2003. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would likely be for a 90 year lease extension. Identical homes in Farnham Common with 100 year plus lease were worth £168,800. The mid-range ground rent payable was £60 billed monthly. The lease lapsed on 23 March 2080. Considering the 55 years remaining we estimated the compensation to the freeholder for the lease extension to be between £31,400 and £36,200 not including legals.