Main reasons to commence your Plymstock lease extension

Main reasons to start your Plymstock lease extension today:

Increase your lease and increase your Plymstock property value

Plymstock leases on domestic properties are gradually losing value. Where your lease has in the region of 90 years unexpired, you should start considering the need for a lease extension. An important point to note is that it is financially advisable for a lease extension to take place before the term of the existing lease falls under 80 years - otherwise a higher amount will be payable. Leasehold owners in Plymstock will mostly qualify for a lease extension; however a solicitor will confirm your eligibility. In some situations you may not qualify. There are also strict timetables and formalities to follow once the process is triggered so it’s sensible to be guided by a lawyer during the process.

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

It is generally considered that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.

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

The propensity since 2008 has been for banks to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be granted. This has meant the minimum number of years remaining under the lease required by banks has increased. Historically mortgage companies were content with twenty years plus the term of the loan - typically fifty year leases but those requirements evolved by the requirement for longer and longer leases - many use a minimum term of 75 years as standard.

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

Using our service gives you increased control over the value of your Plymstock leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Plymstock Lease Extension Case Studies:

Aaron, Plymstock, Devon

Last Summer Aaron, came very near to the 80-year mark with the lease on his first floor flat in Plymstock. Having bought his home two decades ago, the unexpired term was of minimal interest. Fortunately, he became aware that he would soon be paying way over the odds for a lease extension. Aaron arranged for a lease extension just under the wire in April. Aaron and the freeholder via the managing agents subsequently agreed on a premium of £5,000 . If he not met the deadline, the figure would have gone up by at least £850.

Plymstock case:

Last Winter we were phoned by Mrs Anna Gray , who acquired a studio flat in Plymstock in April 1999. The question was if we could approximate the price could be for a ninety year extension to my lease. Similar homes in Plymstock with an extended lease were in the region of £295,000. The mid-range amount of ground rent was £45 billed monthly. The lease finished on 8 August 2100. Having 74 years left we approximated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 exclusive of legals.

Plymstock case:

Last Christmas we were e-mailed by Mr O Morgan , who was assigned a lease of a one bedroom apartment in Plymstock in April 2005. We are asked if we could approximate the price could be for a 90 year lease extension. Comparable premises in Plymstock with an extended lease were valued about £248,000. The mid-range amount of ground rent was £65 billed per annum. The lease came to a finish on 7 July 2089. Taking into account 63 years left we calculated the compensation to the freeholder for the lease extension to be within £20,000 and £23,000 not including professional charges.