Why you should start your Disley lease extension

Why you should start your Disley lease extension today:

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

The only way is down when it comes to Disley lease terms. Disley flats that have a residual term shorter than eighty years will de-escalate in value at a rapid rate, and the cost to extend your lease will increase.

An extended lease has roughly the same value as a freehold

Leasehold premises in Disley with over 100 years left on the lease are often referred to as ‘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 upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.

Lending institutions will not lend with a short lease

Many banks and building societies insist on a lengthy amount of time remaining on a leasehold residence before they will consider it as adequate security. Regardless of whether you require a mortgage, you should bear in mind that it is probable that someone wanting to acquire your property in the future might well do, so in the event that they can't obtain a mortgage, then the financial worth of the property will likely suffer. In the last decade many mortgage lenders have increased the required minimum lease length that they are prepared to lend on

What makes us experts in Disley lease extensions?

The conveyancing solicitors that we work with handle Disley 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 lawyer we work with provide it.

Disley Lease Extension Example Cases:

Ben, Disley, Cheshire,

Ben owned a conversion apartment in Disley being sold with a lease of a little over sixty years left. Ben on an informal basis spoke with his freeholder a well known local-based freehold company for a lease extension. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Ben to exercise his statutory right. Ben obtained expert legal guidance and was able to make an informed judgement and deal with the matter and ending up with a market value flat.

Disley case:

In 2009 we were e-mailed by Dr Logan Norbert who, having was assigned a lease of a studio apartment in Disley in February 2002. The dilemma was if we could estimate the price would likely be for a ninety year extension to my lease. Comparable homes in Disley with an extended lease were in the region of £240,600. The mid-range amount of ground rent was £60 invoiced per annum. The lease expired on 22 October 2088. Given that there were 62 years left we approximated the compensation to the freeholder to extend the lease to be between £21,900 and £25,200 plus fees.

Disley case:

In 2011 we were e-mailed by Dr K Pérez who, having was assigned a lease of a garden flat in Disley in October 1997. We are asked if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Identical properties in Disley with 100 year plus lease were worth £174,200. The mid-range amount of ground rent was £55 invoiced every twelve months. The lease came to a finish on 13 June 2077. Taking into account 51 years as a residual term we estimated the compensation to the freeholder to extend the lease to be within £31,400 and £36,200 exclusive of fees.