Main reasons to start your Southsea lease extension

Why you should commence your Southsea lease extension today:

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

For those whose Southsea flat is held on a long lease, our message is clear – if nothing is done, the property will ultimately revert to the freeholder, leaving you empty-handed. The shorter the lease the lower the value of the property and the more it will cost to obtain a lease extension.

An extended lease has roughly the same value as a freehold

It is generally considered that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to any lease with more than 35 years left, the residence will be equivalent in value to a freehold for many years in the future.

Banks and Building Societies may decide not to issue a mortgage on a short lease

Many banks and building societies require a lengthy amount of time left on a leasehold property before they will consider providing a mortgage on it. Even if you don't require a mortgage, you should be aware that it is probable that someone wanting to buy your property in the future might well do, so if they are unable to obtain a mortgage, then the financial worth of your property could suffer. Since 2008 many banks and building societies have increased the required minimum lease length that they are willing to lend on

Why use us for your lease extension in Southsea?

The conveyancing solicitors that we work with handle Southsea 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.

Southsea Lease Extension Case Studies:

Courtney, Southsea, Hampshire,

Subsequent to unsuccessful negotiations with the freeholder of her garden flat in Southsea, Courtney commenced the lease extension process as the 80 year deadline was rapidly coming. The legal work was finalised in September 2005. The landlord’s charges were negotiated to approximately 450 pounds.

Southsea case:

In 2009 we were e-mailed by Mrs Y Mercier who, having bought a one bedroom flat in Southsea in April 1995. We are asked if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Similar residencies in Southsea with an extended lease were in the region of £181,600. The mid-range amount of ground rent was £55 collected monthly. The lease ended in 2078. Given that there were 52 years unexpired we approximated the compensation to the landlord to extend the lease to be within £30,400 and £35,200 not including expenses.

Southsea case:

Last May we were phoned by Dr Henry Scott , who acquired a garden apartment in Southsea in November 1997. We are asked if we could estimate the premium would be for a 90 year extension to my lease. Comparative properties in Southsea with an extended lease were valued about £285,000. The mid-range amount of ground rent was £45 invoiced annually. The lease finished on 9 July 2098. Considering the 72 years left we approximated the compensation to the landlord for the lease extension to be within £12,400 and £14,200 plus legals.