Why you should start your Kesgrave lease extension

Main reasons to start your Kesgrave lease extension today:

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

Kesgrave leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Kesgrave residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Kesgrave you should see if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension sharply increases as part of the premium you pay is what is known as a marriage value

An extended lease is almost the same value as a freehold

Leasehold properties in Kesgrave with more than 100 years remaining 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 to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.

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

Most mortgage companies insist on a lengthy amount of time left on any leasehold property before they will contemplate it as adequate security. Even if you don't require a mortgage, you should be mindful that it is probable that someone wanting to acquire your property in the future might well do, so in the event that they are not able to get a mortgage, then the financial worth of your property could be adversely impacted. Since 2008 the majority of banks and building societies have increased the required minimum lease length that they are prepared to grant a mortgage on

Why use us for your lease extension in Kesgrave?

Irrespective of whether you are a tenant or a landlord in Kesgrave,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 in-depth market knowledge and the close ties they enjoy with Kesgrave valuers.

Kesgrave Lease Extension Case Studies:

Logan, Kesgrave, Suffolk

Two years ago Logan, started to get close to the eighty-year mark with the lease on his two bedroom flat in Kesgrave. In buying his home 19 years previously, the unexpired term was of minimal interest. As luck would have it, he noticed he needed to take steps soon on a lease extension. Logan extended the lease just in the nick of time last June. Logan and the landlord subsequently agreed on an amount of £5,000 . If he had missed the deadline, the price would have escalated by a minimum £925.

Kesgrave case:

In 2012 we were approached by Dr J Jones who, having took over the lease of a recently refurbished flat in Kesgrave in July 1999. We are asked if we could estimate the price would be to prolong the lease by ninety years. Comparable premises in Kesgrave with 100 year plus lease were worth £275,000. The average ground rent payable was £65 invoiced annually. The lease expiry date was in 2094. Considering the 68 years left we calculated the compensation to the landlord for the lease extension to be within £13,300 and £15,400 plus legals.

Kesgrave case:

In 2014 we were e-mailed by Dr Emma Dupont who, having took over the lease of a studio flat in Kesgrave in May 2010. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Identical premises in Kesgrave with an extended lease were valued about £208,600. The average ground rent payable was £60 invoiced every twelve months. The lease ended in 2083. Given that there were 57 years left we calculated the premium to the landlord to extend the lease to be between £30,400 and £35,200 not including costs.