Main reasons to start your Ledbury lease extension

Why you should start your Ledbury lease extension today:

Increase your lease and increase your Ledbury property value

Ledbury leases on domestic properties are gradually losing value. Where your lease has in the region of ninety years unexpired, you should start thinking about a lease extension. An important point to note is that it is financially advisable for a lease extension to take place before the term of the existing lease dips under 80 years - otherwise a higher premium will be due. Flat owners in Ledbury will mostly qualify for a lease extension; however it’s a good idea to check with a conveyancer to confirm if you qualify. In some circumstances you may not qualify. There are prescribed deadlines and steps to comply with once the process is triggered so it’s best to be guided by a lawyer during the process.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.

Lenders may not finance a property on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet mortgage lenders start to become concerned at around 75 years. This will cause difficulties as and when you wish to dispose of or remortgage your flat as it will be practically unmortgageable. You may not have an immediate plan to sell but when you do your buyer will have to wait 2 years before being able to exercise the right to a an extension to the lease.

What makes us experts in Ledbury lease extensions?

The conveyancers that we work with procure Ledbury 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.

Ledbury Lease Extension Case Summaries:

Amy, Ledbury, Hertfordshire,

Subsequent to protracted discussions with the landlord of her first floor flat in Ledbury, Amy commenced the lease extension process as the 80 year deadline was rapidly nearing. The lease extension was finalised in September 2015. The landlord’s charges were kept to an absolute minimum.

Ledbury case:

Last Spring we were phoned by Mr and Mrs. I Nelson , who took over the lease of a basement apartment in Ledbury in September 2002. We are asked if we could shed any light on how much (roughly) premium would be to prolong the lease by ninety years. Comparable homes in Ledbury with a long lease were worth £166,800. The average amount of ground rent was £50 invoiced monthly. The lease ran out in 2076. Given that there were 50 years as a residual term we estimated the compensation to the freeholder to extend the lease to be within £32,300 and £37,400 plus legals.

Ledbury case:

Ms Caitlin Ward bought a one bedroom flat in Ledbury in May 2007. The dilemma was if we could shed any light on how much (approximately) premium would likely be for a 90 year extension to my lease. Identical premises in Ledbury with a long lease were valued about £280,000. The mid-range ground rent payable was £45 billed every twelve months. The lease lapsed in 2096. Considering the 70 years outstanding we estimated the premium to the landlord to extend the lease to be between £12,400 and £14,200 not including expenses.