Main reasons to start your Fulford lease extension

Top reasons for lease extension now:

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

Unfortunately that a Fulford 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 depreciation being disguised by increases in the Fulford property prices.Once your lease gets to 85ish years, you should 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 dips below 80 years - otherwise a higher amount will be due. The majority of leasehold owners in Fulford will be able to extend under the legislation; however a lawyer should be able to confirm if you are eligibility. In some cases you may not be entitled. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your lawyer from beginning to end of the process.

An extended lease is almost the same value as a freehold

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

Lending institutions will not lend on a short lease

The propensity since the credit crunch 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 lenders has increased. Historically lenders were content with 25 years plus the term of the loan - typically fifty year leases but those requirements evolved by the requirement for lengthy leases - many now have a minimum term of 75 years as standard.

What makes us experts in Fulford lease extensions?

Irrespective of whether you are a tenant or a landlord in Fulford,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 Fulford valuers.

Fulford Lease Extension Example Cases:

Isabelle, Fulford, Staffordshire,

After unsuccessful correspondence with the freeholder of her ground floor flat in Fulford, Isabelle commenced the lease extension process just as the lease was nearing the crucial 80-year deadline. The lease extension was finalised in October 2012. The landlord’s fees were kept to an absolute minimum.

Fulford case:

In 2009 we were approached by Mr and Mrs. V Edwards who, having took over the lease of a recently refurbished flat in Fulford in May 2012. We are asked if we could approximate the compensation to the landlord would be for a 90 year lease extension. Comparative premises in Fulford with a long lease were in the region of £166,400. The mid-range amount of ground rent was £60 billed every twelve months. The lease concluded on 28 March 2080. Taking into account 54 years outstanding we approximated the premium to the freeholder for the lease extension to be within £32,300 and £37,400 exclusive of legals.

Fulford case:

Last Autumn we were contacted by Mr and Mrs. O Ricardo , who took over the lease of a first floor flat in Fulford in September 2002. The question was if we could estimate the compensation to the landlord could be to prolong the lease by 90 years. Similar properties in Fulford with an extended lease were worth £232,800. The average amount of ground rent was £45 invoiced yearly. The lease ended on 16 November 2091. Given that there were 65 years remaining we calculated the premium to the landlord for the lease extension to be within £13,300 and £15,400 plus fees.