Main reasons to commence your Arnside lease extension

Main reasons to start your Arnside lease extension today:

Increase your lease and increase your Arnside property value

When it comes to domestic leasehold property in Arnside, you are actually purchasing an entitlement to live in a property for a prescribed time frame. In recent years flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should think about a lease extension sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive notably when there are less than 80 years remaining. Residents in Arnside with a lease approaching 81 years remaining should seriously consider extending it sooner as opposed to later. When the lease term has fewer than 80 years left, under the current Act the landlord is entitled to calculate and charge a larger amount, assessed on a technical multiplication, known as “marriage value” which is due.

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

It is generally considered that a residential leasehold with in excess of 100 years remaining is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.

Mortgage lenders will not grant a mortgage with a short lease

Nearly all banks and building societies will not grant a mortgage on a lease with under seventy years remaining - although this varies between mortgage companies. A buyer will no doubt find it difficult to obtain a mortgage and this could result in your Arnside property being difficult to dispose of or to obtain finance on.

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

Engaging our service gives you increased control over the value of your Arnside leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Arnside Lease Extension Example Cases:

Jacob, Arnside, Cumbria

Half a year ago Jacob, came critically near to the 80-year threshold with the lease on his basement flat in Arnside. In buying his property two decades ago, the length of the lease was of little bearing. As luck would have it, he became aware that he needed to take steps soon on Extending the lease. Jacob was able to extend his lease at the eleventh hour in April. Jacob and the landlord subsequently agreed on sum of £6,000 . If the lease had dropped lower than eighty years, the amount would have escalated by a minimum £1,125.

Arnside case:

Last Spring we were phoned by Mrs N Baker , who purchased a first floor flat in Arnside in January 2004. We are asked if we could estimate the compensation to the landlord could be for a ninety year lease extension. Comparative flats in Arnside with an extended lease were worth £206,200. The average ground rent payable was £55 collected annually. The lease expired in 2082. Taking into account 56 years as a residual term we approximated the compensation to the freeholder to extend the lease to be between £31,400 and £36,200 exclusive of professional charges.

Arnside case:

Last Winter we were contacted by Dr Amber Ramírez , who was assigned a lease of a garden flat in Arnside in April 2009. We are asked if we could estimate the premium would likely be to extend the lease by ninety years. Comparative residencies in Arnside with a long lease were in the region of £300,000. The average ground rent payable was £50 collected monthly. The lease ran out on 8 August 2102. Taking into account 76 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 exclusive of professional charges.