Why you should start your Gorleston lease extension

Main reasons to start your Gorleston lease extension today:

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

Unfortunately that a Gorleston residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is not fully appreciated in the first few years due to the deflation being disguised by increases in the Gorleston property market.Where your lease has approximately 90 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 below eighty years - otherwise a higher amount will be due. The majority of flat owners in Gorleston will be able to extend under the legislation; however a conveyancing solicitor will be able to confirm whether you qualify for an extension. In some situations you may not qualify. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your conveyancer from beginning to end of the process.

An extended lease has roughly the same value as a freehold

Leasehold premises in Gorleston with in excess of 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges merit it.

Banks and Building Societies may decide not to finance a property on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet banks and building societies start to become concerned at around 75 years. This will cause difficulties when you need to dispose of or refinance your flat as it will be practically unmortgageable. You might have no imminent plan to sell but when you do your buyer will have to wait a couple of years before being able to commence the legal procedures for an extension to the lease.

What makes us experts in Gorleston lease extensions?

Retaining our service will provide you enhanced control over the value of your Gorleston leasehold, as your property will be more valuable and saleable in respect of lease length should you want to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Gorleston Lease Extension Example Cases:

Finley, Gorleston, Norfolk

Last October Finley, started to get near to the eighty-year threshold with the lease on his ground floor flat in Gorleston. In buying his property 18 years ago, the length of the lease was of minimal interest. Luckily, it dawned on him that he needed to take steps soon on Extending the lease. Finley extended the lease just under the wire last June. Finley and the landlord who owned the flat above ultimately settled on the final figure of £5,000 . If he not met the deadline, the figure would have gone up by at least £925.

Gorleston case:

Last April we were phoned by Dr V Laurent , who purchased a first floor apartment in Gorleston in July 2012. We are asked if we could estimate the premium could be to extend the lease by 90 years. Comparative flats in Gorleston with an extended lease were in the region of £280,000. The mid-range ground rent payable was £55 billed every twelve months. The lease end date was on 12 October 2104. Given that there were 78 years outstanding we estimated the premium to the freeholder to extend the lease to be between £13,300 and £15,400 plus legals.

Gorleston case:

In 2013 we were e-mailed by Mr and Mrs. E Williams who, having was assigned a lease of a one bedroom flat in Gorleston in October 2012. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year extension to my lease. Comparative premises in Gorleston with a long lease were worth £191,000. The mid-range ground rent payable was £65 invoiced monthly. The lease terminated in 2084. Having 58 years as a residual term we estimated the premium to the freeholder to extend the lease to be between £23,800 and £27,400 plus professional charges.