Main reasons to commence your Lower Sunbury lease extension

Top reasons for lease extension now:

A Lower Sunbury lease depreciates with the years remaining on the lease.

Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. This lease will normally be granted for a set period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Lower Sunbury. Inevitably, the period of lease remaining shortens over time. This is often ignored and only becomes a problem when the residence needs to be sold or re-mortgaged. The fewer the years remaining the less it is worth and the more it will cost to procure a lease extension. Eligible long lease owners in Lower Sunbury have the legal entitlement to extend the lease for an additional 90 years in accordance with legislation. Do give careful deliberation before delaying your Lower Sunbury lease extension. Holding off that expense now simply increases the price you will ultimately incur for a lease extension

An extended lease 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 equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.

Mortgage lenders will not issue a mortgage with a short lease

The trend since over the last decade has been for banks to tighten lending requirements generally - this has extended to the property over which the home loan is to be granted. This has meant the unexpired lease term required by banks has increased. In the past banks were content with 25 years plus the term of the loan - routinely fifty year leases but those requirements have been chipped away by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

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

The lawyers that we work with undertake Lower Sunbury 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.

Lower Sunbury Lease Extension Example Cases:

Nathan, Lower Sunbury, Surrey

During the course of the last few months Nathan, started to get close to the eighty-year mark with the lease on his one bedroom apartment in Lower Sunbury. In buying his property 19 years previously, the unexpired term was of minimal significance. Fortunately, he recognised he would imminently be paying an inflated amount for a lease extension. Nathan extended the lease at the eleventh hour in June. Nathan and the freeholder via the managing agents ultimately agreed on an amount of £5,500 . If he failed to meet the deadline, the figure would have become more costly by a minimum £875.

Lower Sunbury case:

In 2012 we were phoned by Ms Catherine Jones who, having took over the lease of a ground floor apartment in Lower Sunbury in May 2001. We are asked if we could estimate the compensation to the landlord could be to prolong the lease by an additional years. Comparative flats in Lower Sunbury with 100 year plus lease were valued around £208,200. The mid-range ground rent payable was £65 collected monthly. The lease ran out on 3 September 2087. Considering the 61 years outstanding we calculated the premium to the freeholder for the lease extension to be between £20,000 and £23,000 not including legals.