Main reasons to start your Weymouth lease extension

Main reasons to commence your Weymouth lease extension today:

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

Weymouth leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. It is the case that most Weymouth tenants have the right to extend their lease by an additional ninety years by virtue of the 1993 Leasehold Reform Act. Where you are a leasehold owner in Weymouth you must investigate if your lease has between 70 and ninety years left. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension sharply increases as an element of the premium you will incur is what is known as a marriage value

An extended lease has roughly the same value as a freehold

Leasehold properties in Weymouth with more than one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.

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

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

Regardless of whether you are a tenant or a landlord in Weymouth,the lease extension solicitors that we work with will always be prepared 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:

Riley, Weymouth, Dorset,

Riley owned a 2 bedroom flat in Weymouth on the market with a lease of just over 61 years unexpired. Riley on an informal basis spoke with his landlord being a well known Manchester-based freehold company for a lease extension. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £125 annually. No ground rent would be due on a lease extension were Riley to exercise his statutory right. Riley procured expert legal guidance and secured satisfactory deal informally and ending up with a market value flat.

Weymouth case:

Mrs O Hall completed a garden flat in Weymouth in July 1997. We are asked if we could approximate the price would likely be to extend the lease by an additional years. Comparative homes in Weymouth with an extended lease were valued around £227,800. The mid-range ground rent payable was £45 invoiced per annum. The lease ran out in 2091. Taking into account 65 years unexpired we approximated the compensation to the landlord for the lease extension to be within £13,300 and £15,400 exclusive of fees.

Weymouth case:

In 2014 we were contacted by Dr Rachel Davis who, having was assigned a lease of a basement apartment in Weymouth in November 2006. The question was if we could shed any light on how much (roughly) premium would likely be for a 90 year extension to my lease. Comparable premises in Weymouth with 100 year plus lease were valued around £275,000. The mid-range amount of ground rent was £55 collected monthly. The lease termination date was in 2102. Considering the 76 years outstanding we estimated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 plus fees.