Why you should start your Ainsdale lease extension

Main reasons to commence your Ainsdale lease extension today:

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

Ainsdale leases on residential properties are gradually losing value. Where your lease has approximately ninety years remaining, you should start thinking about a lease extension. An important point to note is that it is financially advisable for a lease extension to be in place before the term of the existing lease falls lower than eighty years - otherwise a higher premium will be payable. Flat owners in Ainsdale will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to check if you qualify. In certain situations you may not be entitled. There are prescribed timetables and formalities to comply with once the process has commenced so it’s best to be guided by a conveyancing solicitor during the process.

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

Leasehold residencies in Ainsdale with in excess of one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges merit it.

Lending institutions may decide not to loan monies on a short lease

Almost all banks and building societies will not grant a mortgage on a lease with less than 70 years remaining - although this varies from lender to lender. A buyer will likely find it difficult in obtaining a mortgage and this could result in your Ainsdale property being difficult to dispose of or to obtain finance on.

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

Retaining our service will provide you enhanced control over the value of your Ainsdale leasehold, as your property will be more valuable and marketable in respect of 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.

Ainsdale Lease Extension Example Cases:

Finn, Ainsdale, Merseyside

In 2014 Finn, came very near to the 80-year threshold with the lease on his leasehold flat in Ainsdale. Having purchased his home twenty years ago, the length of the lease was of minimal concern. As luck would have it, it dawned on him that he needed to take action soon on a lease extension. Finn was able to extend his lease just ahead of time last January. Finn and the landlord in the end settled on an amount of £5,500 . If the lease had fallen to less than eighty years, the price would have gone up by at least £950.

Ainsdale case:

In 2009 we were called by Mrs Elizabeth Peterson who, having took over the lease of a recently refurbished flat in Ainsdale in April 1998. The dilemma was if we could approximate the price would likely be to prolong the lease by 90 years. Identical properties in Ainsdale with an extended lease were worth £198,800. The mid-range amount of ground rent was £55 collected every twelve months. The lease elapsed in 2081. Considering the 55 years as a residual term we estimated the compensation to the freeholder to extend the lease to be between £33,300 and £38,400 not including expenses.

Ainsdale case:

In 2009 we were contacted by Dr Zachary Collins who, having moved into a newly refurbished apartment in Ainsdale in February 2001. We are asked if we could approximate the compensation to the landlord could be for a 90 year extension to my lease. Comparative premises in Ainsdale with 100 year plus lease were valued around £300,000. The average ground rent payable was £50 collected quarterly. The lease came to a finish in 2101. Taking into account 75 years unexpired we estimated the premium to the landlord to extend the lease to be within £8,600 and £9,800 not including legals.