Why you should start your Somersham lease extension

Main reasons to commence your Somersham lease extension today:

A Somersham lease depreciates with the years remaining on the lease.

The rule of thumb is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Somersham have the right to extend the lease for an additional 90 years in accordance with the 1993 Leasehold Reform Act. Please think carefully before delaying your Somersham lease extension. Shelving that expense today simply escalates the premium you will eventually be required to pay to extend the lease.

Somersham property with a lease extension is almost the same value as a freehold

Leasehold premises in Somersham with more than one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges justify it.

Banks and Building Societies may decide not to grant a mortgage on a short lease

Most banks and building societies will be unwilling to lend on a lease with under 70 years unexpired - although this varies from lender to lender. A buyer will undoubtedly find it difficult in obtaining a mortgage and this will result in your Somersham property becoming difficult to sell or to obtain finance on.

Why use us for your lease extension in Somersham?

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

Somersham Lease Extension Example Cases:

Nathaniel, Somersham, Cambridgeshire

Last year Nathaniel, started to get near to the 80-year mark with the lease on his leasehold apartment in Somersham. Having bought his home 18 years ago, the lease term was of minimal concern. Fortunately, he recognised he would soon be paying an escalated premium for a lease extension. Nathaniel arranged for a lease extension just ahead of time in August. Nathaniel and the landlord in the end settled on sum of £5,000 . If the lease had descended below 80 years, the amount would have escalated by a minimum £1,075.

Somersham case:

Mr and Mrs. N Rivera owned a studio flat in Somersham in January 2005. We are asked if we could approximate the price would likely be for a 90 year extension to my lease. Similar flats in Somersham with a long lease were in the region of £196,400. The mid-range ground rent payable was £55 collected monthly. The lease terminated on 16 May 2080. Given that there were 54 years remaining we estimated the compensation to the freeholder for the lease extension to be between £34,200 and £39,600 exclusive of expenses.

Somersham case:

Mr and Mrs. R Díaz completed a newly refurbished flat in Somersham in September 2003. The question was if we could approximate the premium would likely be to prolong the lease by ninety years. Comparative homes in Somersham with an extended lease were worth £295,000. The average ground rent payable was £45 invoiced every twelve months. The lease concluded on 8 March 2100. Considering the 74 years as a residual term we estimated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 not including professional charges.