Why you should start your Shenfield lease extension

Why you should start your Shenfield lease extension today:

Increase your lease and increase your Shenfield property value

Shenfield leases on domestic deteriorating in value. if your lease has approximately ninety years remaining, you should start thinking about a lease extension. If lease term is under eighty years, you will then be required to pay 50% of the property's 'marriage value' on top of the standard cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Shenfield will mostly qualify for a lease extension; however a solicitor should be able check your eligibility. In some cases you may not qualify. There are also strict timetables and procedures to comply with once the process is initiated so it’s prudent to be guided by a conveyancing solicitor during the process.

Shenfield property with a lease extension has roughly the same value as a freehold

It is generally accepted that a residential leasehold with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.

Lending institutions may decide not to issue a mortgage on a short lease

Nearly all banks and building societies will be unwilling to lend on a lease with under 70 years unexpired - although this varies between mortgage companies. A buyer will undoubtedly find it difficult in obtaining a mortgage and this could result in your Shenfield property becoming difficult to sell or to obtain finance on.

Why use us for your lease extension in Shenfield?

The conveyancing solicitors that we work with procure Shenfield 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 conveyancer we work with provide it.

Shenfield Lease Extension Case Summaries:

Lydia, Shenfield, Essex,

Following protracted discussions with the landlord of her studio flat in Shenfield, Lydia initiated the lease extension process just as the lease was approaching the crucial eighty-year threshold. The lease extension was finalised in January 2011. The landlord’s costs were negotiated to approximately 700 pounds.

Shenfield case:

In 2009 we were phoned by Ms V Hall who, having purchased a garden apartment in Shenfield in June 2005. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year lease extension. Similar properties in Shenfield with a long lease were worth £280,000. The mid-range amount of ground rent was £55 billed annually. The lease came to a finish in 2104. Considering the 78 years left we estimated the premium to the landlord to extend the lease to be between £13,300 and £15,400 plus fees.

Shenfield case:

Mr David Martínez took over the lease of a basement flat in Shenfield in July 1996. The question was if we could estimate the premium would likely be for a 90 year lease extension. Comparable residencies in Shenfield with a long lease were worth £191,000. The mid-range amount of ground rent was £65 collected per annum. The lease terminated on 9 February 2084. Considering the 58 years outstanding we estimated the premium to the landlord for the lease extension to be between £23,800 and £27,400 not including professional charges.