Why you should commence your Longton lease extension

Why you should commence your Longton lease extension today:

Increase your lease and increase your Longton property value

Longton leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. Legislation has been in place for sometime now which entitles qualifying Longton residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Longton you must see if your lease has between seventy and ninety years remaining. In particular once the remaining lease term slips under 80 years, the cost of any lease extension sharply increases as an element of the premium you pay is what is known as a marriage value

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

It is conventional wisdom that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 30 years remaining, 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

Nearly all mortgage companies will be unwilling to grant a mortgage on a lease with less than 70 years left to run - although this varies from lender to lender. A purchaser will undoubtedly find it difficult in obtaining a mortgage and this could result in your Longton property becoming difficult to sell or to obtain finance on.

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

The conveyancing solicitors that we work with handle Longton 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 lawyer we work with provide it.

Longton Lease Extension Example Cases:

Georgia, Longton, Staffordshire,

Off the back of protracted negotiations with the landlord of her ground floor flat in Longton, Georgia commenced the lease extension process just as the lease was nearing the all-important 80-year mark. The legal work was finalised in August 2007. The landlord’s fees were kept to an absolute minimum.

Longton case:

Mr F Michel purchased a one bedroom flat in Longton in January 2007. We are asked if we could estimate the price could be to prolong the lease by an additional years. Identical residencies in Longton with a long lease were in the region of £280,000. The average ground rent payable was £55 invoiced annually. The lease finished on 17 June 2104. Having 78 years remaining we approximated the compensation to the landlord for the lease extension to be within £13,300 and £15,400 not including fees.

Longton case:

Dr Harry Collins moved into a one bedroom apartment in Longton in February 1998. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be to prolong the lease by 90 years. Comparative flats in Longton with an extended lease were worth £186,000. The mid-range amount of ground rent was £65 collected yearly. The lease terminated on 18 November 2084. Having 58 years outstanding we calculated the premium to the freeholder for the lease extension to be within £24,700 and £28,600 not including fees.