Main reasons to start your Lansbury lease extension

Why you should commence your Lansbury lease extension today:

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

With a domestic leasehold property in Lansbury, you are actually buying a right to reside in a property for a set period of time. In recent years flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you may consider extending the lease sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease gets disproportionately greater particularly when there are fewer than 80 years left. Anyone in Lansbury with a lease nearing 81 years remaining should seriously consider extending it as soon as possible. When the lease term has under 80 years remaining, under the relevant statute the landlord is entitled to calculate and charge a larger amount, assessed on a technical multiplication, strangely termed as “marriage value” which is due.

An extended lease is almost the same value as a freehold

Leasehold residencies in Lansbury with over 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth 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.

Banks and Building Societies will not grant a mortgage with a short lease

Whether or not the lease is be regarded as a short lease varies by mortgage company, yet banks and building societies start to become jittery at around 75 years. This may cause difficulties as and when you come to market or refinance your flat as it will be effectively unmortgageable. Even though you might have no imminent plan to sell but when you do your purchaser will have to wait a couple of years before being able to exercise the right to a a lease extension.

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

The conveyancing solicitors that we work with handle Lansbury 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.

Lansbury Lease Extension Case Summaries:

Chantelle, Lansbury, London,

Off the back of unsuccessful negotiations with the freeholder of her ground floor apartment in Lansbury, Chantelle started the lease extension process just as her lease was approaching the crucial eighty-year mark. The lease extension was finalised in August 2010. The landlord’s costs were kept to an absolute minimum.

Lansbury case:

Mr H Edwards acquired a first floor apartment in Lansbury in March 2010. We are asked if we could estimate the price would be for a ninety year extension to my lease. Identical residencies in Lansbury with an extended lease were in the region of £208,600. The mid-range ground rent payable was £60 billed annually. The lease elapsed in 2083. Taking into account 57 years unexpired we estimated the premium to the landlord to extend the lease to be between £30,400 and £35,200 plus fees.