Main reasons to start your Little Haven lease extension

Top reasons for lease extension now:

A Little Haven lease depreciates with the years remaining on the lease.

As the the remaining lease term of a Little Haven domestic lease lessens so does its value and therefore the value of your property. If the lease has, more than 99 years to run then this decrease may be fractional however there will become a point in time when a lease has less than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary logic behind why you should extend the lease sooner as opposed to later. Many flat owners in Little Haven will qualify for this right; nevertheless a conveyancer can advise whether you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for under two years.

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

It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth approximately the equivalent as a freehold. Where an further ninety years added to any lease with more than 45 years unexpired, the property will be equivalent in value to a freehold for many years ahead.

Lenders will not finance a property on a short lease

The definition of a short lease varies by mortgage company, yet lending institutions start to get nervous at around 75 years. This may cause difficulties when you need to dispose of or remortgage your flat as it will be practically unmortgageable. You may have no imminent plan to sell but when you do your purchaser will need to wait 2 years before being able to commence the legal procedures for a lease extension.

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

Engaging our service gives you enhanced control over the value of your Little Haven leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Little Haven Lease Extension Example Cases:

Alicia, Little Haven, Pembrokeshire,

In the wake of 9 months of protracted correspondence with the landlord of her purpose-built apartment in Little Haven, Alicia initiated the lease extension process as the 80 year threshold was fast advancing. The legal work was concluded in May 2014. The landlord’s costs were kept to an absolute minimum.

Little Haven case:

In 2013 we were contacted by Dr A Lefebvre who, having completed a garden flat in Little Haven in July 1998. We are asked if we could estimate the price could be to prolong the lease by a further 90 years. Similar properties in Little Haven with 100 year plus lease were valued about £264,000. The mid-range amount of ground rent was £60 billed annually. The lease ended on 11 June 2079. Taking into account 53 years unexpired we estimated the premium to the freeholder for the lease extension to be between £37,100 and £42,800 exclusive of legals.

Little Haven case:

In 2011 we were contacted by Dr U Bernard who, having acquired a one bedroom apartment in Little Haven in September 2003. The dilemma was if we could shed any light on how much (approximately) price would likely be to prolong the lease by an additional years. Comparable homes in Little Haven with a long lease were worth £220,400. The average ground rent payable was £45 invoiced annually. The lease ran out in 2090. Having 64 years as a residual term we calculated the premium to the landlord to extend the lease to be within £15,200 and £17,600 exclusive of professional charges.