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EXTEND YOUR LEASE AND INCREASE THE VALUE OF YOUR PROPERTY

ISSUE TWO 2018

Welcome to the second edition of the Start Lease Extensions newsletter. Let us help protect your asset and extend your lease, our advice is free of charge. Silvana Goddard

Orla O’Reilly

Lease Specialist

Nick Kay

Lease Specialist

Here at Start Lease Extensions, we pride ourselves on the unique all-inclusive package that we provide for leaseholders looking to extend the lease on their residential property. Since our last issue we have added just over 100 more clients to our growing portfolio and are currently extending the leases on their properties. We strive to make the process of extending the lease on your property as easy and stress free as possible. We deal with every element of the lease extension process for you, from liaising with your freeholder to instructing a surveyor and a lawyer. You can be involved as much or as little as you wish, confident

ACT NOW & RENEW YOUR LEASE BEFORE THE 80 YEAR MARK Extend your lease before it falls below 80 years and avoid paying your freeholder 50% of the marriage value. Contact us for free advice on this issue, and how to help protect your asset.

EXTENSION COST

Lease Specialist

in the fact that we are acting on your behalf every step of the way.

6,460 The number of lease years we’ve added to leaseholders properties in 2018 so far.

£50K

Figures are based on a property value of £500,000 and are for illustrative purposes.

£10K 90

85

80

75

REMAINING LEASE IN YEARS

70

65

60

Our advice is free! Call our helpline 020 8315 6901 today. 020 8315 6901 startleaseextensions.co.uk enquiries@startleaseextensions.co.uk

Start Lease Extensions provides a simple fixed fee all-inclusive package for leaseholders looking to extend the lease on their residential property.

In Association With:

Covered By:


EXTENDING YOUR LEASE TO AID THE SALE OF YOUR PROPERTY. As the number of lease years fall, so does the value of a property. To the extent that when they reach below 80 years a significant number of mortgage lenders will not lend, limiting any potential purchasers to ‘cash buyers’ only. A buyer will also expect a low lease to be reflected in the sale price. Extending a lease will not only improve the saleability of the property but will also increase the sale value.

extend the lease by an additional 90 years and reduce the ground rent to zero. When selling a property this statutory right may be assigned or ‘passed on’ to the buyer. Start Lease Extensions have assisted with and managed this assignment within a number of lease extension processes, securing the sale for the vendor with the peace of mind for the purchaser that their new asset is protected.

VA YO I LU UR NC E P RE BY RO A S U PE E P R TO TY 46 ’S %*

Provided one has owned their property for a minimum of 2 years they have a statutory right to

*We recently extended a property’s value by £110,000 following a lease renewal, equating to a 46% increase in its value. The exact percentage increase varies from property to property, and is influenced by many factors, including the number years remaining on the lease.

ELIMINATE DOUBLING GROUND RENTS For many, the main appeal of extending a lease is not only to add additional years to a decreasing number but to eliminate any ground rent. A property with a high lease may well also have a high ground rent that is set to increase at a doubling or more rate. Extending using your statutory right will not only eliminate any existing ground rent but protect you from being liable to pay increasing ground rent charges.

020 8315 6901 startleaseextensions.co.uk enquiries@startleaseextensions.co.uk

Choosing to extend while the lease years are high is considerably cheaper than when they fall. As well as eliminating any ground rent it will provide the opportunity for any default clauses in an existing lease to be raised and corrected by one of our solicitors acting on your behalf.

Start Lease Extensions provides a simple fixed fee all-inclusive package for leaseholders looking to extend the lease on their residential property.

In Association With:

Covered By:


CASE STUDIES Since our last edition of ‘The Insight’ we have had many lease extension processes completed and finalised. We would like to share with you the thoughts of two of our clients and their different situations where we extended the lease of their property to protect their asset.

Ian and Rosemary Daniels

Barbara Jones

Mr and Mrs Daniels needed to sell their property. A short lease of 75 years was proving to be a hurdle in securing a buyer. The cost of the lease extension was factored into the sale price with Start Lease Extensions working closely with the estate agent, surveyors and solicitors to ensure that deadlines were promptly met and the lease extended to secure the sale.

Miss Jones had owned her property for a number of years and wanted to protect the value of her asset whilst at the same time eliminating her ground rent. The lease had fallen to 71 years and Miss Jones was keen for Start Lease Extensions to take the lead to extend it and protect the value of her much loved home.

“We have recently completed a lease extension with Start Lease Extensions. Silvana Goddard, who we dealt with, was very accommodating, answering our queries on the same day and speaking with the solicitors on our behalf. Thank you for all your hard work!” Ian & Rosemary Daniels

“I knew I needed to extend my lease but didn’t know where to begin. I can only say good things about the process. Orla was very helpful and kept me well informed from start to finish. Everything was clearly explained and I’ve now extended my lease with no more ground rent.” Barbara Jones

FINANCING A LEASE EXTENSION For many of our clients financing a lease extension or the purchase of a freehold is often seen as a hurdle. We are fortunate to be in a position to help with this. Working alongside us within The Acorn Group is Start Financial Services.

ENFRANCHISEMENT Start Lease Extensions are delighted to now also offer our services to enable you to purchase a share of the freehold through the process of Enfranchisement. Enfranchisement can be deemed a complex task. We again simplify the process, working closely with MAP Chartered Surveyors and Judge and Priestley LLP solicitors. Start Lease Extensions orchestrate to ensure all parties are coordinated, offering our reliable support every step of the way.

Established in 1998, Start Financial Services innovates and provides a bespoke range of financial solutions for a variety of individuals and businesses. Our well experienced and knowledgeable team of brokers are on hand to offer and advice on the best way to raise the funds needed to protect your asset. Many of our clients have utilised this service to provide them with the finance needed through •

Remortgaging

A further advance from an existing lender

A second charge

Residents who own the Freehold benefit from

A personal loan

No purchase price, or for a nominal price

Call Start Financial Services today on 020 8315 6960

Reduced or removed ground rents

Control of the management of the building (in most cases) through either a chosen management of their choice or participating leaseholders

Correcting any faults in the lease itself

A good selling point with prospective buyers

Part 020 of The Acorn Group, incorporating: 8315 6901

startleaseextensions.co.uk enquiries@startleaseextensions.co.uk

Financial Services

Start Lease Extensions provides a simple fixed fee all-inclusive package for leaseholders looking to extend the lease on their residential property.

In Association With:

Covered By:


WHAT IS THE DIFFERENCE BETWEEN A NON-STATUTORY AND A STATUTORY LEASE EXTENSION? Essentially there are 2 potential routes to agreeing a lease extension with each having potential advantages and disadvantages. Statutory

Non-Statutory

A legally bound agreement

A private agreement between the leaseholder and freeholder

The process is initiated by the leaseholder serving a notice on the landlord of their desire to purchase a statutory lease extension

Negotiations can be commenced by either party

This route is often considered by one who has owned the property for less than 2 years

The number of additional lease years can be negotiable and as such could be more or less than 90 years

The ground rent payable is also negotiable and may increase

If the revised terms are agreed quickly and amicably this can be a faster process and take approximately 3 months

There is no legal route to force the landlord to negotiate reasonably and no agreement can be forced on the freeholder

One is legally entitled to extend the lease once they have owned the property for 2 years

The lease is extended by an additional 90 years

Any ground rent payable is reduced to a peppercorn rate (zero)

The process has clearly defined time limits in which both parties must act

Due to the set timelines the process can take approximately 6 months

This ‘right’ to extend can be transferred to the purchaser or to one who has inherited the property

The statutory route guarantees a lease extension

EXTEND YOUR LEASE AND INCREASE THE VALUE OF YOUR PROPERTY! Call today for free, no obligation advice and ask about our simple, fixed fee all-inclusive package. 020 8315 6901 startleaseextensions.co.uk enquiries@startleaseextensions.co.uk

020 8315 6901

startleaseextensions.co.uk

enquiries@startleaseextensions.co.uk

Start Lease Extensions provides a simple fixed fee all-inclusive package for leaseholders looking to extend the lease on their residential property.

In Association With:

Covered By:

Start Lease Extensions #2  
Start Lease Extensions #2