Why you should commence your Hale Barns lease extension

Why you should start your Hale Barns lease extension today:

A Hale Barns leasehold property depreciates with the years remaining on the lease.

The re-sale value of a leasehold property in Hale Barns depends on how long the lease has left to run. If it is close to or less than eighty years you should expect problems on re-sale, so it is advisable to arrange for a lease extension before purchasing. It is preferable to commence the process of extending the lease is when a lease still has 82 years unexpired so that a lease extension can be addressed in advance of the 80 year threshold. Current legislation entitles Hale Barns qualifying lessees to an additional term of 90 years in addition to the unexpired term, at a nominal rent (zero ground rent). The intention of the valuation is to determine the amount payable by the lessee to the freeholder for the acquisition of the lease extension.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.

Mortgage lenders will not lend with a short lease

Lenders do not grant a mortgage on short residential leases. You are likely to experience difficulties if you need to sell your flat in Hale Barns if the remaining lease term is under the criteria set by most banks and building societies. Different mortgage companies have different criteria but in the main theyrequire a minimum remaining lease term of seventy years.

What makes us experts in Hale Barns lease extensions?

The conveyancers that we work with procure Hale Barns 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 conveyancer we work with provide it.

Hale Barns Lease Extension Example Cases:

Rory, Hale Barns, Cheshire

Last Spring Rory, came critically close to the eighty-year mark with the lease on his studio apartment in Hale Barns. In buying his home 18 years previously, the lease term was of no significance. Luckily, he recognised he needed to take action soon on a lease extension. Rory arranged for a lease extension just ahead of time in July. Rory and the landlord subsequently agreed on an amount of £5,500 . If he not met the deadline, the figure would have increased by at least £925.

Hale Barns case:

Dr Bethany Evans took over the lease of a garden apartment in Hale Barns in April 2007. The dilemma was if we could estimate the premium would be for a ninety year extension to my lease. Comparative premises in Hale Barns with 100 year plus lease were in the region of £193,400. The mid-range ground rent payable was £65 collected every twelve months. The lease expired on 25 August 2085. Having 59 years remaining we approximated the premium to the freeholder to extend the lease to be within £21,900 and £25,200 plus legals.

Hale Barns case:

In 2011 we were called by Ms Laura González who, having acquired a first floor flat in Hale Barns in April 2012. We are asked if we could shed any light on how much (roughly) price would likely be for a ninety year extension to my lease. Comparable flats in Hale Barns with an extended lease were worth £255,000. The mid-range amount of ground rent was £50 collected every twelve months. The lease expiry date was on 15 July 2096. Taking into account 70 years unexpired we estimated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of professional charges.