Main reasons to start your Harleston lease extension

Why you should commence your Harleston lease extension today:

A Harleston leasehold property depreciates with the years remaining on the lease.

The nearer a residential lease in Harleston gets to zero years unexpired, the more it reduces the value of the property. If the residual term has, beyond 100 years remaining then this decrease may be negligible nevertheless there will become a stage when a lease has under than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary reason why you should consider extending sooner rather than later. Most flat owners in Harleston will qualify for this right; that being said a conveyancer should be able to confirm whether you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.

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 equivalent 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 decades to come.

Lenders may decide not to lend on a short lease

Mortgage companies are making their criteria more stringent and a meaningful number now want flats to have at least 60 if not 70 years left once the mortgage has expired. As a number of flats in Harleston were created in the fifties, sixties and seventies this means many now need to be extended if they wish to obtain a mortgage.

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

The conveyancing solicitors that we work with undertake Harleston 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 conveyancer we work with provide it.

Harleston Lease Extension Example Cases:

Blake, Harleston, Norfolk

18 months ago Blake, came critically near to the eighty-year mark with the lease on his first floor flat in Harleston. Having purchased his property two decades ago, the lease term was of minimal concern. Luckily, he recognised he needed to take steps soon on Extending the lease. Blake extended the lease at the eleventh hour in March. Blake and the freeholder via the managing agents subsequently settled on a premium of £6,000 . If he not met the deadline, the amount would have escalated by at least £1,100.

Harleston case:

In 2010 we were approached by Mrs Imogen Mason who, having moved into a first floor apartment in Harleston in November 1996. We are asked if we could estimate the price could be for a ninety year lease extension. Identical residencies in Harleston with 100 year plus lease were valued about £280,000. The mid-range ground rent payable was £55 invoiced per annum. The lease expiry date was in 2103. Given that there were 77 years remaining we calculated the premium to the landlord for the lease extension to be within £13,300 and £15,400 exclusive of fees.

Harleston case:

In 2010 we were approached by Dr Luke Harris who, having acquired a one bedroom apartment in Harleston in May 2002. The dilemma was if we could estimate the compensation to the landlord could be to extend the lease by an additional years. Identical residencies in Harleston with an extended lease were valued around £183,600. The average ground rent payable was £65 invoiced quarterly. The lease lapsed in 2083. Taking into account 57 years left we approximated the compensation to the landlord for the lease extension to be within £28,500 and £33,000 exclusive of legals.