Main reasons to commence your Ovingham lease extension

Top reasons for lease extension now:

Increase your lease and increase your Ovingham property value

When it comes to domestic leasehold premises in Ovingham, you are actually buying an entitlement to live in a property for a set period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you should think about extending the lease sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly notably once there are less than eighty years left. Anyone in Ovingham with a lease nearing 81 years remaining should seriously think of extending it sooner than later. Once a lease has less than 80 years remaining, under the relevant legislation the landlord can calculate and levy a greater premium, assessed on a technical calculation, strangely termed as “marriage value” which is due.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.

Banks and Building Societies may not issue a mortgage on a short lease

Banks and building societies do not like short residential leases. You are likely to experience difficulties where you wish to sell your flat in Ovingham if the remaining lease term is less than the criteria set by most mortgage companies. Different mortgage companies have different requirements but in the main they are looking for a minimum remaining lease term of 65 years.

What makes us experts in Ovingham lease extensions?

The lawyers that we work with undertake Ovingham 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.

Ovingham Lease Extension Case Studies:

Jordan, Ovingham, Northumberland,

Off the back of protracted correspondence with the landlord of her two bedroom apartment in Ovingham, Jordan initiated the lease extension process as the 80 year deadline was rapidly advancing. The lease extension completed in November 2013. The landlord’s fees were kept to an absolute minimum.

Ovingham case:

Dr Amber Sharif purchased a one bedroom flat in Ovingham in June 2010. We are asked if we could approximate the premium would likely be to extend the lease by ninety years. Comparative homes in Ovingham with a long lease were in the region of £260,000. The mid-range amount of ground rent was £50 collected monthly. The lease elapsed on 10 January 2098. Having 72 years outstanding we estimated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 plus expenses.

Ovingham case:

In 2010 we were called by Mr and Mrs. P Reed who, having completed a ground floor apartment in Ovingham in February 2008. The question was if we could approximate the compensation to the landlord could be to prolong the lease by an additional years. Comparable properties in Ovingham with 100 year plus lease were valued about £261,600. The mid-range amount of ground rent was £60 invoiced quarterly. The lease finished on 10 May 2078. Having 52 years as a residual term we estimated the premium to the landlord to extend the lease to be within £39,000 and £45,000 not including legals.