Top reasons for Eastbourne lease extension

Why you should commence your Eastbourne lease extension today:

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

The nearer a domestic lease in Eastbourne nears to zero years unexpired, the more it reduces the value of the property. If the residual term has, in excess of 99 years to run then this decrease may be negligible nevertheless there will become a point in time when a lease has fewer than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary reason why you should extend the lease sooner rather than later. Most flat owners in Eastbourne will meet the qualifying criteria; nevertheless a lawyer can confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for under two years.

An extended lease is almost the same value as a freehold

It is generally accepted that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the equivalent 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.

Lending institutions may decide not to issue a mortgage with a short lease

The trend since over the last decade has been for lenders to tighten lending requirements across the board - this has extended to the property over which the home loan is to be granted. This has resulted in the minimum number of years remaining under the lease required by lenders has increased. Historically lenders were content with twenty years plus the term of the loan - routinely 50 year leases but those requirements evolved by the requirement for lengthy leases - many use a minimum term of 75 years as standard.

Why use us for your lease extension in Eastbourne?

The conveyancing solicitors that we work with procure Eastbourne 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 conveyancing solicitor we work with provide it.

Eastbourne Lease Extension Case Studies:

Natalie, Eastbourne, East Sussex,

Off the back of unsuccessful negotiations with the freeholder of her studio flat in Eastbourne, Natalie commenced the lease extension process as the eighty year mark was swiftly approaching. The legal work was concluded in June 2007. The freeholder’s costs were kept to an absolute minimum.

Eastbourne case:

In 2014 we were e-mailed by Dr Kayleigh González who, having completed a first floor apartment in Eastbourne in July 2004. The dilemma was if we could shed any light on how much (approximately) premium could be to prolong the lease by ninety years. Comparative residencies in Eastbourne with 100 year plus lease were worth £252,800. The mid-range amount of ground rent was £65 collected annually. The lease expiry date was in 2091. Having 65 years left we calculated the compensation to the landlord for the lease extension to be within £17,100 and £19,800 plus costs.

Eastbourne case:

Dr G Wood purchased a one bedroom flat in Eastbourne in January 2000. We are asked if we could estimate the premium would likely be to extend the lease by a further 90 years. Comparable flats in Eastbourne with an extended lease were in the region of £191,400. The average ground rent payable was £55 collected yearly. The lease elapsed on 11 November 2080. Having 54 years as a residual term we calculated the premium to the landlord for the lease extension to be between £34,200 and £39,600 exclusive of legals.