Top reasons for Lincoln lease extension

Why you should start your Lincoln lease extension today:

Increase your lease and increase your Lincoln property value

Owning a flat usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. your lease will normally be granted for a fixed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Lincoln. Clearly, the length of lease left reduces as time goes by. This may slip by relatively unnoticed when the property has to be sold or re-mortgaged. The fewer the years remaining the lower the value of the property and the more it will cost to extend the lease. Eligible leaseholders in Lincoln have the legal entitlement to extend the lease for a further ninety years in accordance with legislation. Please give careful consideration before putting off your Lincoln lease extension. Putting off the cost now only increases the price you will ultimately incur to extend your lease

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

It is generally accepted that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 35 years unexpired, the premises will be worth the same as a freehold for many years in the future.

Mortgage lenders will not loan monies with a short lease

Lending institutions have specific criteria when loaning funds charged on leasehold property. Some will simply refuse lend at all once an unexpired lease term falls lower than a specified unexpired lease term. Many Lending institutions will not consider property with an unexpired below seventy years as acceptable security. In addition to this being important when selling, it is also relevant if you are wanting to refinance your Lincoln property.

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

The lawyers that we work with handle Lincoln 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.

Lincoln Lease Extension Example Cases:

Jacob, Lincoln, Lincolnshire,

Jacob was the the leasehold owner of a high value flat in Lincoln on the market with a lease of just over 72 years remaining. Jacob informally spoke with his landlord a well known London-based freehold company for a lease extension. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £125 per annum. Ordinarily, ground rent would not be payable on a lease extension were Jacob to exercise his statutory right. Jacob obtained expert advice and secured an acceptable deal without going to tribunal and sell the flat.

Lincoln case:

Last year we were approach by Mr F Khan , who was assigned a lease of a one bedroom flat in Lincoln in May 2001. The dilemma was if we could shed any light on how much (approximately) price could be to prolong the lease by a further 90 years. Comparative flats in Lincoln with a long lease were in the region of £171,800. The average ground rent payable was £55 billed every twelve months. The lease lapsed on 7 February 2076. Taking into account 50 years remaining we calculated the compensation to the freeholder to extend the lease to be within £33,300 and £38,400 not including expenses.

Lincoln case:

In 2012 we were e-mailed by Ms R Smith who, having acquired a studio apartment in Lincoln in June 2001. The question was if we could approximate the compensation to the landlord would likely be for a ninety year extension to my lease. Similar flats in Lincoln with 100 year plus lease were in the region of £280,000. The average amount of ground rent was £45 invoiced quarterly. The lease ran out on 9 September 2096. Given that there were 70 years left we estimated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 plus legals.