Top reasons for Mundesley lease extension

Why you should commence your Mundesley lease extension today:

A Mundesley leasehold property depreciates with the years remaining on the lease.

The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Mundesley can extend the lease for an additional 90 years in accordance with Leasehold Reform legislation. Please think carefully before delaying your Mundesley lease extension. Postponing that expense now simply escalates the amount you will ultimately have to pay to extend the lease.

An extended lease has roughly the same value as a freehold

Leasehold properties in Mundesley with over 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges warrant it.

Mortgage lenders may not loan monies on a short lease

The trend since over the last decade has been for mortgage companies to tighten lending criteria across the board - this has extended to the property over which the home loan is to be granted. This has resulted in the unexpired lease term required by mortgage companies has increased. Historically banks were content with 25 years plus the term of the loan - typically 50 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 standard.

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

The conveyancing solicitors that we work with handle Mundesley 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.

Mundesley Lease Extension Case Studies:

Phoebe, Mundesley, Norfolk,

Following unsuccessful negotiations with the freeholder of her leasehold apartment in Mundesley, Phoebe initiated the lease extension process just as her lease was coming close to the all-important eighty-year deadline. The legal work was concluded in October 2010. The landlord’s costs were kept to an absolute minimum.

Mundesley case:

Mr and Mrs. L Cooper completed a one bedroom apartment in Mundesley in May 2003. The dilemma was if we could approximate the price could be to prolong the lease by a further 90 years. Comparative premises in Mundesley with an extended lease were worth £183,600. The mid-range ground rent payable was £65 billed monthly. The lease finished in 2083. Taking into account 57 years remaining we approximated the premium to the landlord for the lease extension to be within £28,500 and £33,000 not including expenses.

Mundesley case:

Mrs Danielle Rogers bought a garden flat in Mundesley in July 2004. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be to extend the lease by an additional years. Identical residencies in Mundesley with 100 year plus lease were in the region of £245,000. The mid-range ground rent payable was £50 invoiced yearly. The lease concluded in 2094. Having 68 years unexpired we calculated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 not including expenses.