Main reasons to start your Rossington lease extension

Why you should commence your Rossington lease extension today:

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

It’s a harsh truth that a Rossington residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the early years due to the depreciation being disguised by increases in the Rossington property prices.Where your lease has approximately ninety years left, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips below eighty years - otherwise a higher premium will be due. Most leasehold owners in Rossington will be able to extend under the legislation; however a conveyancer should be able to clarify if you are eligibility. In some situations you may not qualify. There are also strict timetables and procedures to follow once the process is initiated and you will need to be guided by your lawyer from beginning to end of the formalities.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.

Mortgage lenders may not grant a mortgage with a short lease

Most mortgage lenders have tightened lending criteria in the last ten years and borrowers are encountering difficulties in arranging funding or re-mortgage against property with shorter lease terms, particularly below seventy years as they are considered to be deficient security.

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

Using our service will provide you better control over the value of your Rossington leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Rossington Lease Extension Case Summaries:

Eleanor, Rossington, South Yorkshire,

Following protracted negotiations with the freeholder of her purpose-built apartment in Rossington, Eleanor initiated the lease extension process just as the lease was nearing the crucial 80-year deadline. The transaction completed in May 2005. The freeholder’s charges were kept to an absolute minimum.

Rossington case:

Last Christmas we were contacted by Mr and Mrs. R Parker , who acquired a first floor flat in Rossington in July 1995. The question was if we could approximate the compensation to the landlord would be for a 90 year lease extension. Comparative properties in Rossington with 100 year plus lease were valued about £254,200. The mid-range ground rent payable was £60 billed annually. The lease ended in 2077. Having 51 years left we calculated the premium to the freeholder to extend the lease to be within £43,700 and £50,600 not including costs.

Rossington case:

Mr and Mrs. O White completed a recently refurbished flat in Rossington in March 2004. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be for a ninety year extension to my lease. Comparative properties in Rossington with an extended lease were valued around £210,600. The average amount of ground rent was £45 invoiced monthly. The lease came to a finish in 2088. Given that there were 62 years as a residual term we estimated the premium to the freeholder for the lease extension to be within £18,100 and £20,800 not including costs.