Top reasons for Sonning Common lease extension

Why you should start your Sonning Common lease extension today:

A Sonning Common leasehold property depreciates with the years remaining on the lease.

Sonning Common leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. It is the case that most Sonning Common tenants have the right to extend their lease by an additional ninety years in accordance with the 1993 Leasehold Reform Act. Where you are a leasehold owner in Sonning Common you must see if your lease has between 70 and 90 years remaining. In particular once the remaining lease term slips under eighty years, the compensation to the landlord for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value

An extended lease has roughly the same value as a freehold

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

Mortgage lenders may not grant a mortgage on a short lease

Most banks and building societies insist on a lengthy amount of time left on any leasehold residence before they will consider it as adequate security. Regardless of whether you require a mortgage, you should bear in mind that it is reasonable to assume that someone wishing to purchase your property in the future might well do, so in the event that they are not able to get a mortgage, then the value of your property could suffer. In the last decade the majority of banks and building societies have increased the required minimum lease length that they are prepared to lend on

What makes us experts in Sonning Common lease extensions?

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

Sonning Common Lease Extension Case Summaries:

Naomi, Sonning Common, Oxfordshire,

After lengthy negotiations with the freeholder of her basement flat in Sonning Common, Naomi initiated the lease extension process as the 80 year threshold was fast approaching. The lease extension was concluded in March 2014. The landlord’s fees were kept to an absolute minimum.

Sonning Common case:

In 2013 we were e-mailed by Mr and Mrs. C Rose who, having was assigned a lease of a purpose-built flat in Sonning Common in May 2012. We are asked if we could approximate the price would likely be for a ninety year lease extension. Comparable flats in Sonning Common with an extended lease were worth £181,600. The mid-range ground rent payable was £55 billed quarterly. The lease elapsed in 2078. Given that there were 52 years left we estimated the compensation to the landlord to extend the lease to be within £30,400 and £35,200 exclusive of legals.

Sonning Common case:

Last May we were phoned by Mr and Mrs. V Roux , who was assigned a lease of a garden apartment in Sonning Common in January 2012. The dilemma was if we could approximate the price would likely be to extend the lease by an additional years. Comparable flats in Sonning Common with an extended lease were in the region of £285,000. The average ground rent payable was £45 billed per annum. The lease ran out in 2098. Taking into account 72 years remaining we calculated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 not including professional charges.