Top reasons for Gerrards Cross lease extension

Top reasons for lease extension now:

Increase your lease and increase your Gerrards Cross property value

When it comes to long leasehold premises in Gerrards Cross, you are actually buying an entitlement to live in a property for a prescribed time frame. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may consider extending the lease sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately greater especially when there are fewer than eighty years remaining. Anyone in Gerrards Cross with a lease nearing 81 years remaining should seriously consider extending it sooner than later. Once a lease has under eighty years remaining, under the relevant Act the landlord can calculate and demand a greater amount, assessed on a technical calculation, strangely termed as “marriage value” which is due.

An extended lease is almost the same value as a freehold

It is generally considered that a property with over one hundred years remaining is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 35 years left, the premises will be worth the same as a freehold for many years in the future.

Banks and Building Societies may not finance a property on a short lease

Most high street banks are making their criteria more stringent and a meaningful number now require flats to have at least 60 if not 70 years remaining once the mortgage has expired. Considering many flats in Gerrards Cross were built in the 1950s, 1960s and 1970s as a result many now need to be extended if they wish to get a mortgage.

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

The conveyancers that we work with procure Gerrards Cross 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.

Gerrards Cross Lease Extension Example Cases:

Kian, Gerrards Cross, Buckinghamshire

Last Autumn Kian, came very close to the eighty-year threshold with the lease on his one bedroom apartment in Gerrards Cross. Having purchased his flat 19 years ago, the unexpired term was of little significance. Thankfully, he realised he would soon be paying an escalated premium for Extending the lease. Kian arranged for a lease extension just under the wire in March. Kian and the freeholder subsequently settled on an amount of £6,000 . If the lease had slid lower than eighty years, the figure would have become more costly by at least £1,000.

Gerrards Cross case:

Mr and Mrs. Y Harris was assigned a lease of a newly refurbished flat in Gerrards Cross in April 2010. We are asked if we could estimate the price would be to extend the lease by an additional years. Similar homes in Gerrards Cross with 100 year plus lease were valued about £171,800. The mid-range amount of ground rent was £55 billed monthly. The lease finished on 12 September 2076. Having 50 years as a residual term we calculated the premium to the landlord to extend the lease to be within £33,300 and £38,400 not including fees.