Main reasons to commence your Hornsea lease extension

Why you should commence your Hornsea lease extension today:

Increase your lease and increase your Hornsea property value

Hornsea leases on residential deteriorating in value. if your lease has about ninety years remaining, you should start thinking about a lease extension. Eighty years is a significant number: when the unexpired term of a lease drops below this level then you start paying an additional element called marriage value. Leasehold owners in Hornsea will usually qualify for a lease extension; however It would be wise to check with a lawyer to check your eligibility. In certain cases you may not be entitled. There are prescribed timetables and formalities to follow once the process is initiated so it’s wise to be guided by a conveyancing solicitor during the process.

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

Leasehold residencies in Hornsea 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 premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.

Banks and Building Societies may decide not to grant a mortgage on a short lease

Lending institutions have specific criteria when lending monies secured on leasehold property. Some will simply not lend at all once the remaining lease term goes lower than a specified unexpired lease term. Many Lending institutions will not regard property with a remaining term of less than seventy years as acceptable security. As well as impacting your ability to sell, it is also relevant where you are wanting to refinance your Hornsea home.

Why use us for your lease extension in Hornsea?

The lawyers that we work with handle Hornsea 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.

Hornsea Lease Extension Case Summaries:

Rhiannon, Hornsea, East Yorkshire,

Off the back of lengthy discussions with the freeholder of her leasehold flat in Hornsea, Rhiannon initiated the lease extension process just as the lease was nearing the critical eighty-year mark. The legal work was finalised in June 2012. The landlord’s costs were kept to an absolute minimum.

Hornsea case:

Last month we were e-mailed by Ms F Bell , who owned a garden apartment in Hornsea in March 2006. The question was if we could shed any light on how much (roughly) price could be to extend the lease by ninety years. Comparable flats in Hornsea with a long lease were valued around £280,000. The mid-range ground rent payable was £55 billed monthly. The lease terminated on 4 July 2104. Having 78 years outstanding we approximated the compensation to the freeholder for the lease extension to be between £13,300 and £15,400 not including costs.

Hornsea case:

Mr and Mrs. R James took over the lease of a studio flat in Hornsea in April 2007. We are asked if we could shed any light on how much (roughly) premium could be to prolong the lease by an additional years. Comparative premises in Hornsea with an extended lease were worth £191,000. The average ground rent payable was £65 billed annually. The lease ended on 1 November 2084. Having 58 years left we estimated the compensation to the landlord for the lease extension to be between £23,800 and £27,400 plus professional charges.