Why you should commence your Longford lease extension

Top reasons for lease extension now:

A Longford lease depreciates with the years remaining on the lease.

Longford leases on domestic deteriorating in value. if your lease has in the region of 90 years left, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease drops below this level then you begin incurring an additional element called marriage value. Leasehold owners in Longford will mostly qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to confirm if you qualify. In certain situations you may not qualify. There are prescribed timetables and formalities to follow once the process has commenced so it’s prudent to be guided by a lawyer during the process.

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

It is generally considered that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to any lease with more than 30 years unexpired, the premises will be worth the same as a freehold for many years ahead.

Lenders may not issue a mortgage with a short lease

Mortgage lenders have set criteria when loaning monies charged on leasehold property. Some will simply refuse lend at all once an unexpired lease term falls under a certain unexpired lease term. Many Lending institutions will not regard property with an unexpired below 75 years as adequate security. As well as this being important when selling, it is also relevant if you are wanting to refinance your Longford home.

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

Irrespective of whether you are a tenant or a freeholder in Longford,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Longford valuers.

Longford Lease Extension Example Cases:

Matthew, Longford, West London

Two years ago Matthew, came precariously close to the 80-year threshold with the lease on his purpose- built apartment in Longford. In buying his home twenty years ago, the lease term was of minimal importance. As luck would have it, he realised he would soon be paying an inflated amount for a lease extension. Matthew arranged for a lease extension at the eleventh hour in June. Matthew and the landlord who owned the flat above in the end agreed on the final figure of £5,000 . If the lease had dropped lower than eighty years, the figure would have escalated by at least £850.

Longford case:

Last September we were e-mailed by Mrs Kelsey Collins , who acquired a newly refurbished apartment in Longford in July 2000. The question was if we could shed any light on how much (roughly) price would be to extend the lease by a further 90 years. Comparable homes in Longford with 100 year plus lease were in the region of £193,400. The mid-range amount of ground rent was £65 collected yearly. The lease termination date was on 19 May 2085. Taking into account 59 years outstanding we calculated the premium to the landlord to extend the lease to be within £21,900 and £25,200 plus fees.