Top reasons for Reigate lease extension

Why you should commence your Reigate lease extension today:

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

Reigate leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Legislation has been in place for sometime now which entitles qualifying Reigate residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Reigate you must check if your lease has between 70 and ninety years remaining. In particular once the remaining lease term slips under 80 years, the amount payable for any lease extension sharply increases as an element of the premium you pay is what is known as a marriage value

An extended lease has roughly the same value as a freehold

It is generally accepted that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years left, the property will be equivalent in value to a freehold for many years in the future.

Lenders will not issue a mortgage on a short lease

Lenders are tightening their criteria and many now want flats to have at least 60 if not 70 years left once the mortgage has expired. Considering a number of flats in Reigate were created in the fifties, sixties and seventies this means many now need to be extended if they if they are to be mortgageable.

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

Lease extensions in Reigate can be a difficult process. We recommend you get guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience dealing with Reigate lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Reigate Lease Extension Case Summaries:

Danielle, Reigate, Surrey,

Trailing unsuccessful negotiations with the freeholder of her one bedroom flat in Reigate, Danielle commenced the lease extension process just as the lease was approaching the all-important 80-year mark. The transaction was concluded in February 2012. The landlord’s charges were restricted to about six hundred pounds.

Reigate case:

Last year we were approach by Mr and Mrs. C Girard , who was assigned a lease of a purpose-built apartment in Reigate in September 2001. The question was if we could shed any light on how much (approximately) premium would likely be to extend the lease by ninety years. Similar premises in Reigate with 100 year plus lease were valued around £200,000. The mid-range ground rent payable was £50 billed every twelve months. The lease elapsed in 2103. Given that there were 77 years unexpired we approximated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 exclusive of expenses.

Reigate case:

Last Christmas we were e-mailed by Dr Max Wright , who purchased a basement flat in Reigate in July 2000. The question was if we could shed any light on how much (approximately) price would be for a 90 year lease extension. Similar homes in Reigate with a long lease were worth £260,200. The mid-range amount of ground rent was £65 invoiced yearly. The lease elapsed on 4 January 2092. Considering the 66 years unexpired we approximated the compensation to the landlord for the lease extension to be between £16,200 and £18,600 plus legals.