Top reasons for Nayland lease extension

Main reasons to commence your Nayland lease extension today:

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

Nayland leases on residential properties are gradually losing value. if your lease has in the region of ninety years unexpired, you should start considering the need for a lease extension. 80 years is a significant number: when the unexpired term of a lease dips below this level then you begin incurring an additional element called marriage value. Leasehold owners in Nayland will mostly qualify for a lease extension; however it’s a good idea to check with a lawyer to check if you qualify. In certain cases you may not qualify. There are prescribed timetables and formalities to comply with once the process has commenced so it’s best to be guided by a lawyer during the process.

An extended lease is almost the same value as a freehold

It is generally accepted that a property with more than one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.

Lenders will not lend with a short lease

The trend since over the last decade has been for lenders to tighten lending requirements 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. In the past lenders would grant a mortgage on a lease with 25 years plus the term of the loan - routinely 50 year leases but those requirements evolved by the requirement for lengthy leases - many use a minimum term of 75 years as standard.

What makes us experts in Nayland lease extensions?

Regardless of whether you are a tenant or a freeholder in Nayland,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Nayland valuers.

Nayland Lease Extension Case Summaries:

Alex, Nayland, Suffolk

In recent months Alex, started to get near to the 80-year mark with the lease on his basement flat in Nayland. Having purchased his flat two decades ago, the lease term was of little importance. Fortunately, it dawned on him that he needed to take action soon on a lease extension. Alex extended the lease just ahead of time in August. Alex and the landlord eventually agreed on a premium of £6,000 . If he had missed the deadline, the premium would have gone up by at least £1,075.

Nayland case:

In 2010 we were phoned by Dr M Walker who, having bought a ground floor flat in Nayland in February 2005. The question was if we could shed any light on how much (approximately) price could be to prolong the lease by ninety years. Similar homes in Nayland with a long lease were valued around £250,000. The mid-range amount of ground rent was £50 invoiced per annum. The lease elapsed in 2095. Given that there were 69 years left we calculated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of fees.

Nayland case:

Last Autumn we were e-mailed by Ms Megan Wright , who owned a first floor flat in Nayland in June 2011. The question was if we could shed any light on how much (approximately) price could be for a ninety year extension to my lease. Similar properties in Nayland with an extended lease were valued about £285,000. The mid-range amount of ground rent was £55 collected annually. The lease end date was in 2106. Considering the 80 years left we calculated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 not including professional charges.