Stop! Your Lease Extension in Hebburn Could Be FREE

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Many leaseholders in Hebburn are unaware that their original lawyer had a duty to warn them about future mortgageability and saleability issues. Before you pay thousands to your freeholder, let us audit your purchase history. You might have a claim that pays for your lease extension in full

If you are facing a significant premium because your lease in Hebburn has dropped toward the 80-year mark, your previous lawyer may be at fault. Our panel of experts specialise in recovering lease extension costs from negligent firms who failed to protect your investment.

Why you should commence your Hebburn lease extension

Main reasons to start your Hebburn lease extension today:

Increase your lease and increase your Hebburn property value

Owning a flat usually means owning a lease of the property, which has a finite term of years. your lease will usually be granted for a fixed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Hebburn. Inevitably, the term of lease left reduces over time. This is often ignored and only becomes a problem when the residence needs to be sold or re-mortgaged. The shorter the lease the lower the value of the property and the more it will cost to extend the lease. Qualifying long lease owners in Hebburn have the right to extend the lease for a further ninety years under statute. You should give careful deliberation before delaying your Hebburn lease extension. Putting off the cost now only increases the price you will eventually have to pay to extend your lease

Hebburn property with a lease extension is almost the same value as a freehold

Leasehold residencies in Hebburn with in excess of 100 years unexpired on the lease are often 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 buying the reversionary interest unless savings on ground rent and maintenance charges merit it.

Lending institutions will not finance a property on a short lease

The trend since the credit crunch has been for mortgage companies to tighten lending criteria generally - 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. In the past mortgage companies would lend on a lease with 25 years plus the term of the loan - routinely 50 year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many now have a minimum term of 75 years as standard.

Lender Requirement
Bank of Scotland Minimum 70 years from the date of the mortgage.
Barclays plc Leases with less than 70 years at the commencement of the mortgage are not acceptable.

Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval:

• Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND
• The value of the property subject to the short remaining term is £500,000 or more AND
• The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing;
Godiva Mortgages A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion.
Lloyds TSB Scotland Minimum 70 years from the date of the mortgage.
Virgin 85 years at the time of completion. If it's less, we require it to be extended on or before completion.

Why use us for your lease extension in Hebburn?

Engaging our service will provide you increased control over the value of your Hebburn leasehold, as your property will be more valuable and saleable in terms of lease length should you want to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Hebburn Lease Extension Example Cases:

Logan, Hebburn, Tyne And Wear

Last Winter Logan, came perilously near to the eighty-year threshold with the lease on his two bedroom apartment in Hebburn. Having purchased his home two decades ago, the lease term was of minimal relevance. by good luck, he realised he needed to take steps soon on a lease extension. Logan arranged for a lease extension at the eleventh hour in April. Logan and the landlord eventually agreed on the final figure of £5,000 . If he not met the deadline, the sum would have escalated by at least £1,075.

Hebburn case:

Ms B Smith took over the lease of a purpose-built flat in Hebburn in January 2003. The dilemma was if we could shed any light on how much (roughly) premium would likely be to prolong the lease by a further 90 years. Comparative premises in Hebburn with a long lease were in the region of £300,000. The mid-range amount of ground rent was £50 billed quarterly. The lease ended in 2102. Given that there were 76 years left we estimated the premium to the landlord for the lease extension to be between £8,600 and £9,800 not including fees.

Hebburn case:

In 2009 we were called by Ms Jordan Nguyen who, having completed a purpose-built flat in Hebburn in January 2008. We are asked if we could estimate the price would likely be for a ninety year extension to my lease. Similar residencies in Hebburn with 100 year plus lease were in the region of £257,800. The mid-range ground rent payable was £65 invoiced every twelve months. The lease came to a finish on 4 October 2091. Having 65 years outstanding we calculated the premium to the landlord for the lease extension to be between £18,100 and £20,800 plus expenses.