Main reasons to commence your West Haddon lease extension

Top reasons for lease extension now:

Increase your lease and increase your West Haddon property value

The value of West Haddon leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of extending the lease can escalate significantly once the remaining term is below than eighty years

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

It is generally accepted that a residential leasehold with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.

Mortgage lenders will not grant a mortgage on a short lease

The definition of a short lease depends on the specific mortgage company, yet lending institutions start to get concerned at around 75 years. This will cause difficulties when you come to dispose of or refinance your flat as it will be effectively unmortgageable. You may have no imminent plan to sell but when you do your purchaser will have to hold off for 2 years before being able to exercise the right to a a lease extension.

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

The lawyers that we work with procure West Haddon 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.

West Haddon Lease Extension Case Summaries:

Mason, West Haddon, Northamptonshire

Half a year ago Mason, started to get near to the 80-year threshold with the lease on his garden apartment in West Haddon. Having bought his property 19 years previously, the lease term was of minimal interest. Thankfully, he noticed he would soon be paying an escalated premium for a lease extension. Mason extended the lease just in the nick of time in August. Mason and the landlord ultimately agreed on the final figure of £5,500 . If the lease had dropped to less than 80 years, the premium would have increased by a minimum £950.

West Haddon case:

In 2011 we were e-mailed by Mr and Mrs. B François who, having acquired a one bedroom apartment in West Haddon in January 2004. We are asked if we could shed any light on how much (approximately) premium could be to extend the lease by 90 years. Comparable homes in West Haddon with 100 year plus lease were in the region of £300,000. The average ground rent payable was £50 invoiced per annum. The lease ended in 2102. Considering the 76 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 plus costs.

West Haddon case:

In 2009 we were called by Dr Jasper Cooper who, having owned a garden flat in West Haddon in April 2008. The dilemma was if we could estimate the premium would likely be for a 90 year lease extension. Comparative flats in West Haddon with a long lease were valued around £257,800. The mid-range ground rent payable was £65 invoiced quarterly. The lease end date was on 7 March 2091. Taking into account 65 years unexpired we calculated the compensation to the freeholder to extend the lease to be within £18,100 and £20,800 exclusive of expenses.