Main reasons to start your Framlingham lease extension

Main reasons to commence your Framlingham lease extension today:

Increase your lease and increase your Framlingham property value

When it comes to domestic leasehold property in Framlingham, you are in fact renting it for a certain amount of time. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you may consider extending the lease sooner as opposed to later. The general rule is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive particularly once there are less than eighty years left. Residents in Framlingham with a lease approaching 81 years unexpired should seriously consider extending it without delay. Once a lease has less than eighty years outstanding, under the relevant legislation the landlord can calculate and levy a greater premium, assessed on a technical calculation, strangely termed as “marriage value” which is due.

An extended lease is almost the same value as a freehold

It is generally considered that a property with in excess of 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the residence will be equivalent in value to a freehold for decades to come.

Lending institutions will not grant a mortgage on a short lease

Most banks and building societies will not grant a mortgage on a lease with under 70 years left to run - although this varies from lender to lender. A buyer will undoubtedly encounter difficulties to obtain a mortgage and this will result in your Framlingham property being difficult to dispose of or to obtain finance on.

What makes us experts in Framlingham lease extensions?

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

Framlingham Lease Extension Case Summaries:

Connor, Framlingham, Suffolk

18 months ago Connor, started to get near to the 80-year threshold with the lease on his studio flat in Framlingham. Having purchased his property 19 years ago, the lease term was of no bearing. Fortunately, he became aware that he needed to take steps soon on Extending the lease. Connor extended the lease just under the wire last July. Connor and the landlord subsequently settled on the final figure of £5,500 . If he failed to meet the deadline, the price would have escalated by a minimum £1,050.

Framlingham case:

In 2010 we were called by Dr Sam Anderson who, having bought a first floor apartment in Framlingham in November 2007. We are asked if we could approximate the premium could be to prolong the lease by a further 90 years. Comparative flats in Framlingham with an extended lease were in the region of £208,600. The mid-range ground rent payable was £60 invoiced yearly. The lease ended on 17 May 2083. Given that there were 57 years outstanding we approximated the compensation to the freeholder to extend the lease to be within £30,400 and £35,200 plus expenses.

Framlingham case:

Ms S Vincent purchased a basement flat in Framlingham in November 1996. The question was if we could shed any light on how much (roughly) price would likely be to prolong the lease by a further 90 years. Identical premises in Framlingham with a long lease were valued around £200,000. The mid-range ground rent payable was £50 invoiced annually. The lease ended in 2103. Taking into account 77 years left we approximated the compensation to the freeholder to extend the lease to be within £8,600 and £9,800 not including professional charges.