Why you should start your Sharnbrook lease extension

Top reasons for lease extension now:

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

There is no doubt about it a leasehold property in Sharnbrook is a wasting asset as a result of the shortening lease. If the lease has, beyond 100 years to run then this decrease may be fractional nevertheless there will become a stage when a lease has under than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main logic behind why you should extend the lease sooner rather than later. Many flat owners in Sharnbrook will qualify for this right; that being said a conveyancing solicitor will be able to confirm if you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.

Sharnbrook property with a lease extension is almost the same value as a freehold

Leasehold premises in Sharnbrook with in excess of 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.

Mortgage lenders may not grant a mortgage on a short lease

Most mortgage companies will be unwilling to grant a mortgage on a lease with less than seventy years unexpired - although this varies between mortgage companies. A purchaser will no doubt find it difficult to obtain a mortgage and this could result in your Sharnbrook property being difficult to sell or remortgage.

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

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

Sharnbrook Lease Extension Example Cases:

Ashleigh, Sharnbrook, Bedfordshire,

After lengthy correspondence with the landlord of her purpose-built flat in Sharnbrook, Ashleigh commenced the lease extension process just as her lease was approaching the crucial eighty-year mark. The transaction was concluded in June 2006. The freeholder’s charges were negotiated to slightly above 550 GBP.

Sharnbrook case:

In 2014 we were phoned by Dr S Edwards who, having completed a basement flat in Sharnbrook in February 2003. We are asked if we could shed any light on how much (approximately) premium could be for a 90 year lease extension. Comparative homes in Sharnbrook with an extended lease were worth £216,000. The mid-range ground rent payable was £60 collected every twelve months. The lease finished on 9 January 2084. Considering the 58 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £28,500 and £33,000 not including costs.

Sharnbrook case:

Last April we were approach by Dr F Girard , who completed a one bedroom flat in Sharnbrook in June 1995. We are asked if we could approximate the compensation to the landlord could be for a ninety year lease extension. Identical flats in Sharnbrook with a long lease were in the region of £200,000. The average amount of ground rent was £50 invoiced monthly. The lease elapsed in 2104. Considering the 78 years remaining we estimated the premium to the landlord for the lease extension to be between £8,600 and £9,800 exclusive of expenses.