Main reasons to commence your Fawley lease extension

Main reasons to start your Fawley lease extension today:

A Fawley lease depreciates with the years remaining on the lease.

It’s a harsh certainty that a Fawley residential lease is a wasting asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the depreciation being disguised by increases in the Fawley property prices.Where your lease has approximately ninety 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 slips under 80 years - otherwise a higher premium will be payable. The majority of leasehold owners in Fawley will be able to extend under the legislation; however a conveyancing solicitor should be able to clarify if you are eligibility. In some cases you may not qualify. There are also strict timetables and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancer throughout the process.

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

It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.

Mortgage lenders may not issue a mortgage on a short lease

Many mortgage companies will not lend on a lease with under seventy years remaining - although this varies between mortgage companies. A purchaser will undoubtedly find it difficult to obtain a mortgage and this could result in your Fawley property being difficult to dispose of or to obtain finance on.

Get in touch with one of our Fawley lease extension solicitors or enfranchisement solicitors

Irrespective of whether you are a tenant or a freeholder in Fawley,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Fawley valuers.

Fawley Lease Extension Example Cases:

Ali, Fawley, Hampshire

During the course of the last few months Ali, came perilously near to the 80-year mark with the lease on his studio apartment in Fawley. In buying his property 19 years previously, the lease term was of no relevance. by good luck, he became aware that he needed to take steps soon on Extending the lease. Ali was able to extend his lease just under the wire in May. Ali and the landlord who owned the flat above in the end settled on a premium of £5,000 . If the lease had fallen to less than 80 years, the figure would have increased by at least £875.

Fawley case:

Dr Nathan Patel moved into a garden apartment in Fawley in September 2003. The dilemma was if we could estimate the price could be for a ninety year lease extension. Similar homes in Fawley with an extended lease were in the region of £225,800. The average amount of ground rent was £60 collected annually. The lease ran out on 21 July 2086. Having 60 years remaining we estimated the compensation to the freeholder to extend the lease to be within £25,700 and £29,600 plus professional charges.

Fawley case:

In 2014 we were phoned by Mr and Mrs. A Bernard who, having was assigned a lease of a one bedroom flat in Fawley in November 2000. We are asked if we could approximate the price could be to extend the lease by 90 years. Identical premises in Fawley with a long lease were valued about £210,000. The mid-range ground rent payable was £50 collected per annum. The lease expired in 2106. Having 80 years left we estimated the premium to the landlord for the lease extension to be between £8,600 and £9,800 not including professional charges.