Why you should commence your Fallowfield lease extension

Why you should start your Fallowfield lease extension today:

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

Unfortunately that a Fallowfield residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is not fully appreciated in the early years due to the depreciation being disguised by increases in the Fallowfield property prices.Once your lease nears 85ish years, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease falls lower than eighty years - otherwise a higher amount will be payable. The majority of leasehold owners in Fallowfield will be able to extend under the legislation; however a lawyer should be able to clarify if you are eligibility. In some cases you may not be entitled. There are also strict timeframes and procedures to follow once the process is instigated and you will need to be guided by your conveyancer throughout the process.

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

It is generally considered that a residential leasehold with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.

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

Banks and building societies do not like short residential leases. You most probably experience difficulties if you need to sell your flat in Fallowfield if the unexpired term of your lease is under the criteria set by the majority of mortgage companies. Different mortgage companies have varying requirements but generally they are looking for an unexpired term of at least 65 years.

Why use us for your lease extension in Fallowfield?

Irrespective of whether you are a tenant or a landlord in Fallowfield,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Fallowfield valuers.

Fallowfield Lease Extension Example Cases:

Chloe, Fallowfield, Greater Manchester,

After unsuccessful negotiations with the landlord of her basement apartment in Fallowfield, Chloe initiated the lease extension process as the 80 year mark was fast approaching. The transaction was finalised in October 2009. The freeholder’s fees were kept to an absolute minimum.

Fallowfield case:

Last month we were phoned by Dr I Vincent , who purchased a garden flat in Fallowfield in September 2000. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be to prolong the lease by 90 years. Similar residencies in Fallowfield with 100 year plus lease were valued about £198,400. The mid-range amount of ground rent was £65 collected yearly. The lease ended in 2085. Considering the 59 years as a residual term we approximated the premium to the landlord for the lease extension to be within £21,900 and £25,200 exclusive of costs.

Fallowfield case:

In 2009 we were contacted by Mr E Morgan who, having completed a recently refurbished flat in Fallowfield in June 1997. The dilemma was if we could estimate the price would be for a ninety year extension to my lease. Similar flats in Fallowfield with a long lease were worth £255,000. The average ground rent payable was £50 invoiced annually. The lease ended in 2096. Taking into account 70 years as a residual term we estimated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 not including costs.