Why you should start your Snodland lease extension

Main reasons to start your Snodland lease extension today:

A Snodland leasehold property depreciates with the years remaining on the lease.

It’s a harsh certainty that a Snodland residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the first few years due to the depreciation being disguised by increases in the Snodland property prices.Once your lease gets to 85ish years, you should start thinking about a lease extension. If lease term slips below eighty years, you will then be required to pay 50% of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. The marriage fee is the amount of additional value that a lease extension will add the property The majority of flat owners in Snodland will be able to extend under the legislation; however a lawyer will be able to confirm whether you are eligibility. In some situations you may not qualify. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your conveyancer from beginning to end of the process.

An extended lease has roughly the same value as a freehold

It is generally accepted that a property with over 100 years unexpired lease term is worth approximately the same as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.

Lenders may decide not to finance a property on a short lease

Many banks and building societies will be unwilling to lend on a lease with under seventy years remaining - although this varies between mortgage companies. A buyer will no doubt encounter difficulties to obtain a mortgage and this could result in your Snodland property being difficult to sell or to obtain finance on.

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

Retaining our service will provide you increased control over the value of your Snodland leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Snodland Lease Extension Example Cases:

Ollie, Snodland, Kent,

Ollie owned a conversion flat in Snodland on the market with a lease of just over 59 years unexpired. Ollie informally spoke with his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a rise in the rent to £100 per annum. No ground rent would be due on a lease extension were Ollie to invoke his statutory right. Ollie procured expert advice and secured satisfactory resolution informally and sell the flat.

Snodland case:

Last October we were phoned by Mr and Mrs. Y Rodríguez , who moved into a basement apartment in Snodland in October 2011. We are asked if we could estimate the premium could be to prolong the lease by an additional years. Similar flats in Snodland with an extended lease were worth £183,600. The average ground rent payable was £65 billed per annum. The lease ran out on 7 November 2083. Considering the 57 years left we approximated the compensation to the freeholder to extend the lease to be between £28,500 and £33,000 exclusive of fees.

Snodland case:

Mr and Mrs. A Rose moved into a ground floor apartment in Snodland in February 2004. We are asked if we could approximate the compensation to the landlord could be to extend the lease by 90 years. Similar flats in Snodland with 100 year plus lease were in the region of £245,000. The mid-range ground rent payable was £50 collected yearly. The lease concluded on 25 September 2094. Having 68 years left we approximated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 plus fees.