Why you should commence your Hatch and Old Basing lease extension

Main reasons to commence your Hatch and Old Basing lease extension today:

A Hatch and Old Basing lease depreciates with the years remaining on the lease.

It’s a harsh truth that a Hatch and Old Basing residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the reduction being disguised by increases in the Hatch and Old Basing property prices.Once your lease nears 85ish years, you need to start considering 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 lower than eighty years - otherwise a higher amount will be payable. The majority of leasehold owners in Hatch and Old Basing will be able to extend under the legislation; however a conveyancer should be able to clarify if you qualify for an extension. In some cases you may not qualify. There are also strict timetables 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.

Hatch and Old Basing property with a lease extension has roughly the same value as a freehold

Leasehold residencies in Hatch and Old Basing with more than 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.

Mortgage lenders will not finance a property on a short lease

Mortgage companies are making their criteria more stringent and many now want flats to have at least 60 if not 70 years remaining once the mortgage has expired. As many flats in Hatch and Old Basing were built in the 1950s, 1960s and 1970s this means many now need to be extended if they wish to obtain a mortgage.

Why use us for your lease extension in Hatch and Old Basing?

Using our service will provide you increased control over the value of your Hatch and Old Basing leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Hatch and Old Basing Lease Extension Case Summaries:

Charlotte, Hatch and Old Basing, Hampshire,

Trailing protracted negotiations with the landlord of her purpose-built flat in Hatch and Old Basing, Charlotte started the lease extension process just as her lease was coming close to the critical 80-year deadline. The legal work completed in October 2008. The freeholder’s fees were restricted to about 700 GBP.

Hatch and Old Basing case:

Mr F Rivera purchased a one bedroom flat in Hatch and Old Basing in June 2006. We are asked if we could estimate the premium would likely be for a ninety year lease extension. Comparable properties in Hatch and Old Basing with an extended lease were valued about £255,000. The average amount of ground rent was £50 billed annually. The lease concluded on 22 October 2096. Considering the 70 years as a residual term we calculated the premium to the landlord to extend the lease to be within £10,500 and £12,000 exclusive of legals.

Hatch and Old Basing case:

In 2009 we were e-mailed by Dr Millie Reed who, having completed a studio flat in Hatch and Old Basing in October 1997. We are asked if we could shed any light on how much (roughly) price would be to extend the lease by an additional years. Comparative properties in Hatch and Old Basing with a long lease were in the region of £246,800. The average amount of ground rent was £60 collected yearly. The lease ran out in 2076. Given that there were 50 years remaining we calculated the premium to the landlord to extend the lease to be within £44,700 and £51,600 not including costs.