Why you should start your Disley lease extension

Top reasons for lease extension now:

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

With a long leasehold premises in Disley, you effectively rent it for a certain period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you should consider a lease extension sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly especially when there are fewer than 80 years remaining. Residents in Disley with a lease approaching 81 years remaining should seriously consider extending it as soon as possible. Once a lease has under 80 years outstanding, under the current Act the landlord is entitled to calculate and charge a greater premium, assessed on a technical computation, strangely termed as “marriage value” which is payable.

Disley property with a lease extension has roughly the same value as a freehold

It is generally considered that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years in the future.

Mortgage lenders may not finance a property on a short lease

Most mortgage lenders have constrained their lending criteria in recent years and borrowers are encountering difficulties in arranging funding or re-mortgage against flats with shorter lease terms, particularly below 75 years as they are considered to be inadequate security.

What makes us experts in Disley lease extensions?

Engaging our service will provide you enhanced control over the value of your Disley leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Disley Lease Extension Case Summaries:

Jasper, Disley, Cheshire,

Jasper owned a studio flat in Disley on the market with a lease of just over 59 years left. Jasper informally contacted his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a rise in the rent to £50 per annum. No ground rent would be payable on a lease extension were Jasper to invoke his statutory right. Jasper obtained expert advice and secured satisfactory deal without resorting to tribunal and sell the property.

Disley case:

Last month we were contacted by Ms Sophie Green , who owned a purpose-built apartment in Disley in August 2004. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would likely be for a 90 year extension to my lease. Comparative homes in Disley with a long lease were valued around £200,000. The average ground rent payable was £50 collected monthly. The lease came to a finish on 25 February 2103. Having 77 years left we approximated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 exclusive of professional charges.

Disley case:

Dr Aarav Pérez took over the lease of a purpose-built apartment in Disley in November 2012. The question was if we could approximate the premium could be to extend the lease by a further 90 years. Comparable premises in Disley with an extended lease were in the region of £260,200. The average amount of ground rent was £65 billed annually. The lease elapsed in 2092. Having 66 years as a residual term we approximated the premium to the landlord to extend the lease to be within £16,200 and £18,600 not including expenses.