Main reasons to commence your Haverhill lease extension

Why you should commence your Haverhill lease extension today:

Increase your lease and increase your Haverhill property value

The market value of Haverhill leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can escalate significantly once the unexpired lease term is less than 80 years

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a property with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.

Banks and Building Societies may not loan monies on a short lease

Lending institutions have specific criteria when lending monies charged on leasehold property. Some will simply refuse lend at all once the remaining lease term goes under a certain unexpired lease term. Many Banks and Building Societies will not consider property with an unexpired term of less than 75 years suitable security. In addition to impacting your ability to sell, it is also relevant if you are wanting to remortgage your Haverhill property.

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

Regardless of whether you are a tenant or a landlord in Haverhill,the lease extension experts 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 Haverhill valuers.

Haverhill Lease Extension Example Cases:

Danielle, Haverhill, Suffolk,

Subsequent to lengthy negotiations with the freeholder of her purpose-built apartment in Haverhill, Danielle initiated the lease extension process as the eighty year threshold was rapidly approaching. The transaction was concluded in May 2005. The freeholder’s fees were negotiated to about six hundred pounds.

Haverhill case:

Last April we were contacted by Dr L Smith , who acquired a basement apartment in Haverhill in April 2009. The dilemma was if we could shed any light on how much (roughly) premium would likely be for a ninety year extension to my lease. Comparable homes in Haverhill with a long lease were in the region of £189,000. The average amount of ground rent was £55 invoiced quarterly. The lease terminated on 15 May 2079. Considering the 53 years remaining we approximated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 exclusive of expenses.

Haverhill case:

Mr and Mrs. H Morel acquired a newly refurbished flat in Haverhill in April 2002. The question was if we could shed any light on how much (approximately) compensation to the landlord would likely be to prolong the lease by a further 90 years. Identical flats in Haverhill with an extended lease were in the region of £290,000. The average amount of ground rent was £45 invoiced yearly. The lease expired on 27 July 2099. Considering the 73 years outstanding we calculated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus professional charges.