Main reasons to commence your Langford lease extension

Main reasons to start your Langford lease extension today:

Increase your lease and increase your Langford property value

Langford leases on residential properties are gradually losing value. Where your lease has about 90 years remaining, you should start considering the need for a lease extension. 80 years is a significant number: when the unexpired term of a lease dips below this level then you start incurring an additional element called marriage value. Flat owners in Langford will usually be legally entitled to a lease extension; however a solicitor should be able check your eligibility. In certain circumstances you may not qualify. There are also strict deadlines and formalities to follow once the process is triggered so it’s prudent to be guided by a lawyer during the process.

Langford property with a lease extension has roughly the same value as a freehold

Leasehold residencies in Langford with over 100 years outstanding 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 situations there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges warrant it.

Banks and Building Societies will not lend on a short lease

The propensity since over the last decade has been for banks to tighten lending requirements across the board - this has extended to the property over which the mortgage is to be granted. This has resulted in the unexpired lease term required by lenders has increased. In the past mortgage companies would grant a mortgage on a lease with twenty years plus the term of the loan - routinely 50 year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have a minimum term of 75 years as standard.

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

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

Langford Lease Extension Case Studies:

David, Langford, Bedfordshire

Two years ago David, came very near to the 80-year mark with the lease on his leasehold flat in Langford. Having bought his home two decades ago, the lease term was of little bearing. Thankfully, he became aware that he would soon be paying an inflated amount for Extending the lease. David was able to extend his lease just under the wire in July. David and the freeholder in the end agreed on the final figure of £6,000 . If he not met the deadline, the price would have become more costly by at least £850.

Langford case:

Dr E Clark completed a garden apartment in Langford in April 2007. The question was if we could approximate the compensation to the landlord would be for a 90 year lease extension. Comparative homes in Langford with an extended lease were valued about £275,000. The average ground rent payable was £55 invoiced annually. The lease finished on 20 May 2102. Having 76 years as a residual term we estimated the premium to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of fees.

Langford case:

Last Summer we were called by Dr Eliot Edwards , who moved into a garden flat in Langford in September 2010. We are asked if we could approximate the compensation to the landlord could be for a 90 year extension to my lease. Comparative residencies in Langford with an extended lease were in the region of £176,200. The average amount of ground rent was £65 billed per annum. The lease termination date was in 2082. Given that there were 56 years left we calculated the premium to the landlord to extend the lease to be between £29,500 and £34,000 plus expenses.