Top reasons for Dunmow lease extension

Why you should start your Dunmow lease extension today:

Increase your lease and increase your Dunmow property value

Dunmow leases on residential deteriorating in value. Where your lease has about 90 years unexpired, you should start considering the need for a lease extension. Eighty years is a significant number: when the remaining term of a lease dips below this level then you begin incurring an additional element called marriage value. Leasehold owners in Dunmow will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancing solicitor to confirm your eligibility. In some situations you may not qualify. There are also strict deadlines and formalities to comply with once the process has started so it’s sensible to be guided by a conveyancing solicitor during the process.

An extended lease is almost the same value as a freehold

Leasehold residencies in Dunmow with more than one hundred years unexpired on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges justify it.

Mortgage lenders will not lend with a short lease

Many banks and building societies will not grant a mortgage on a lease with less than 70 years unexpired - although this varies from lender to lender. A purchaser will no doubt find it difficult in obtaining a mortgage and this will result in your Dunmow property becoming difficult to sell or refinance.

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

Lease extensions in Dunmow can be a difficult process. We recommend you procure guidance from a conveyancing solicitor and surveyor with experience in this area.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Dunmow lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Dunmow Lease Extension Case Summaries:

Joseph, Dunmow, Essex

In recent months Joseph, started to get close to the 80-year threshold with the lease on his two bedroom apartment in Dunmow. Having purchased his home two decades ago, the length of the lease was of no bearing. Luckily, he recognised he needed to take steps soon on Extending the lease. Joseph was able to extend his lease just ahead of time last January. Joseph and the landlord ultimately agreed on a premium of £5,500 . If the lease had fallen below 80 years, the sum would have become more exhorbitant by a minimum £925.

Dunmow case:

Mr and Mrs. M Green acquired a garden apartment in Dunmow in July 2003. We are asked if we could estimate the price would be to prolong the lease by 90 years. Identical premises in Dunmow with an extended lease were valued around £233,200. The average ground rent payable was £60 billed annually. The lease finished in 2087. Taking into account 61 years remaining we approximated the premium to the landlord to extend the lease to be between £22,800 and £26,400 plus costs.

Dunmow case:

In 2011 we were phoned by Mr and Mrs. Y González who, having completed a one bedroom flat in Dunmow in April 2004. The question was if we could estimate the compensation to the landlord could be for a 90 year lease extension. Identical premises in Dunmow with a long lease were valued around £171,800. The average amount of ground rent was £55 invoiced annually. The lease finished on 2 March 2076. Taking into account 50 years unexpired we estimated the premium to the landlord for the lease extension to be between £33,300 and £38,400 plus expenses.