Top reasons for Great Shelford lease extension

Top reasons for lease extension now:

A Great Shelford lease depreciates with the years remaining on the lease.

As the the remaining lease term of a Great Shelford domestic lease decreases so does its value and therefore the value of your property. If the lease has, in excess of 125 years to run then this decrease may be fractional nevertheless there will become a point in time when a lease has under than eighty years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the primary logic behind why you should extend the lease sooner rather than later. Most flat owners in Great Shelford will qualify for this right; that being said a conveyancer can confirm whether you qualify for a lease extension. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

An extended lease has roughly the same value as a freehold

Leasehold properties in Great Shelford with over 100 years unexpired 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 home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges merit it.

Banks and Building Societies may not issue a mortgage with a short lease

Nearly all banks and building societies require a lengthy amount of time left on a leasehold property before they will contemplate lending on it. Even if you don't need a mortgage, you should be aware that it is likely that someone wanting to purchase your property in the future might well do, so where they are not able to secure a mortgage, then the market price of the property will likely be adversely impacted. Since 2008 most banks and building societies have increased the required minimum lease length that they are prepared to lend on

Get in touch with one of our Great Shelford lease extension solicitors or enfranchisement solicitors

Irrespective of whether you are a tenant or a landlord in Great Shelford,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Great Shelford valuers.

Great Shelford Lease Extension Case Summaries:

Alice, Great Shelford, Cambridgeshire,

Trailing protracted discussions with the landlord of her basement flat in Great Shelford, Alice initiated the lease extension process as the 80 year threshold was quickly approaching. The legal work was concluded in November 2012. The freeholder’s charges were negotiated to under five hundred pounds.

Great Shelford case:

Mr Felix Bailey owned a first floor flat in Great Shelford in November 1995. We are asked if we could shed any light on how much (roughly) premium could be to extend the lease by a further 90 years. Identical residencies in Great Shelford with 100 year plus lease were valued around £280,000. The average amount of ground rent was £55 billed every twelve months. The lease expired on 15 August 2104. Having 78 years outstanding we estimated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 plus fees.

Great Shelford case:

Last August we were contacted by Ms W Stewart , who moved into a purpose-built apartment in Great Shelford in June 1995. We are asked if we could shed any light on how much (roughly) premium could be for a 90 year lease extension. Identical homes in Great Shelford with an extended lease were valued about £186,000. The average amount of ground rent was £65 invoiced quarterly. The lease finished on 9 July 2084. Given that there were 58 years left we approximated the compensation to the freeholder to extend the lease to be within £24,700 and £28,600 not including fees.