Why you should start your Rendlesham lease extension

Top reasons for lease extension now:

Increase your lease and increase your Rendlesham property value

The market value of Rendlesham leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can increase significantly once the unexpired lease term is less than eighty years

An extended lease is almost the same value as a freehold

Leasehold residencies in Rendlesham with over one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.

Mortgage lenders will not grant a mortgage on a short lease

Mortgage lenders have specific criteria when lending monies charged on leasehold property. Some will simply refuse lend at all once the remaining lease term goes beneath a certain unexpired lease term. Many Lending institutions will not regard property with a remaining below 75 years suitable security. As well as this being important when selling, it is also relevant if you are intending to remortgage your Rendlesham home.

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

Lease extensions in Rendlesham can be a difficult process. We recommend you get guidance from a lawyer and surveyor with experience in this area.

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 procuring Rendlesham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Rendlesham Lease Extension Case Summaries:

David, Rendlesham, Suffolk,

David was the the leasehold proprietor of a 2 bedroom flat in Rendlesham on the market with a lease of fraction over 72 years outstanding. David on an informal basis approached his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £150 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were David to exercise his statutory right. David obtained expert legal guidance and secured an acceptable deal informally and readily saleable.

Rendlesham case:

Dr O Roux acquired a one bedroom flat in Rendlesham in February 2005. We are asked if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Similar premises in Rendlesham with an extended lease were worth £295,000. The mid-range amount of ground rent was £45 invoiced every twelve months. The lease came to a finish in 2100. Having 74 years remaining we calculated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 not including costs.

Rendlesham case:

In 2010 we were approached by Mr W Norbert who, having was assigned a lease of a one bedroom apartment in Rendlesham in September 2008. The question was if we could estimate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Identical flats in Rendlesham with an extended lease were worth £248,000. The mid-range amount of ground rent was £65 collected every twelve months. The lease ended on 23 October 2089. Taking into account 63 years outstanding we approximated the compensation to the landlord for the lease extension to be between £20,000 and £23,000 not including professional charges.