Top reasons for Yate lease extension

Top reasons for lease extension now:

Increase your lease and increase your Yate property value

As the length of the unexpired term of a Yate domestic lease decreases so does its value and therefore the value of your property. Where the lease has, over 125 years to run then this decrease may be of little impact nevertheless there will become a stage when a lease has less than eighty years left as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary logic behind why you should extend the lease sooner rather than later. The majority of flat owners in Yate will qualify for this right; that being said a conveyancer will be able to advise if you are eligible for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

An extended lease is almost the same value as a freehold

It is generally accepted that a residential leasehold with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

Banks and Building Societies will not lend on a short lease

The propensity since over the last decade has been for mortgage companies to tighten lending requirements generally - this has extended to the property over which the mortgage is to be granted. This has meant the unexpired lease term required by banks has increased. In the past banks would grant a mortgage on a lease with twenty years plus the term of the loan - typically 50 year leases but those requirements evolved by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

What makes us experts in Yate lease extensions?

The conveyancers that we work with procure Yate 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 conveyancing solicitor we work with provide it.

Yate Lease Extension Example Cases:

Rory, Yate, Gloucestershire,

Rory was the the leasehold owner of a high value flat in Yate on the market with a lease of fraction over 59 years outstanding. Rory on an informal basis approached his freeholder being a well known local-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent at the outset set at £150 per annum and doubled every 25 years thereafter. No ground rent would be payable on a lease extension were Rory to invoke his statutory right. Rory obtained expert legal guidance and secured satisfactory deal without going to tribunal and readily saleable.

Yate case:

Dr Megan Smith owned a purpose-built apartment in Yate in April 2008. We are asked if we could shed any light on how much (roughly) premium could be for a 90 year extension to my lease. Comparable flats in Yate with an extended lease were in the region of £166,800. The average amount of ground rent was £50 invoiced quarterly. The lease ran out on 21 September 2076. Given that there were 50 years unexpired we calculated the premium to the landlord to extend the lease to be between £32,300 and £37,400 plus professional charges.

Yate case:

Last month we were e-mailed by Ms Samantha Anderson , who owned a studio apartment in Yate in September 2003. We are asked if we could shed any light on how much (roughly) premium would be to prolong the lease by 90 years. Similar properties in Yate with an extended lease were in the region of £280,000. The mid-range ground rent payable was £45 invoiced yearly. The lease ran out on 19 April 2096. Having 70 years remaining we approximated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 plus expenses.