Why you should commence your Weymouth lease extension

Main reasons to commence your Weymouth lease extension today:

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

The only way is down when it comes to Weymouth lease terms. Weymouth flats that have a residual term fewer than 80 years will drop in value even faster, and the cost to extend your lease will go up.

An extended lease is almost the same value as a freehold

Leasehold residencies in Weymouth with more than 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges justify it.

Lending institutions may not lend on a short lease

Lending institutions have set criteria when lending monies charged on leasehold homes. Many will simply not lend at all once an unexpired lease term slips beneath a certain unexpired lease term. Many Mortgage lenders will not regard property with a remaining below 75 years suitable security. In addition to impacting your ability to sell, it is also relevant if you are intending to refinance your Weymouth property.

What makes us experts in Weymouth lease extensions?

Regardless of whether you are a tenant or a landlord in Weymouth,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 experience and the close ties they enjoy with Weymouth valuers.

Weymouth Lease Extension Example Cases:

Jason, Weymouth, Dorset,

Jason owned a conversion flat in Weymouth on the market with a lease of fraction over 72 years outstanding. Jason informally approached his landlord being a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Jason to exercise his statutory right. Jason obtained expert legal guidance and was able to make an informed judgement and deal with the matter and ending up with a market value flat.

Weymouth case:

Dr Tia Davies owned a first floor flat in Weymouth in April 2008. We are asked if we could shed any light on how much (approximately) price could be for a 90 year extension to my lease. Identical flats in Weymouth with an extended lease were worth £264,000. The mid-range amount of ground rent was £60 collected monthly. The lease expired on 9 October 2079. Considering the 53 years left we approximated the compensation to the freeholder to extend the lease to be within £37,100 and £42,800 exclusive of fees.

Weymouth case:

Last month we were called by Mr and Mrs. M Carter , who acquired a newly refurbished flat in Weymouth in November 2008. The question was if we could approximate the premium could be for a ninety year lease extension. Comparative residencies in Weymouth with a long lease were in the region of £225,400. The average amount of ground rent was £45 invoiced yearly. The lease expired on 26 March 2090. Taking into account 64 years as a residual term we calculated the compensation to the freeholder for the lease extension to be within £16,200 and £18,600 exclusive of fees.