Top reasons for Burslem lease extension

Top reasons for lease extension now:

Increase your lease and increase your Burslem property value

The market value of Burslem leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can escalate significantly once the remaining term is below than 80 years

An extended lease is almost the same value as a freehold

Leasehold residencies in Burslem with over 100 years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges justify it.

Banks and Building Societies will not issue a mortgage on a short lease

Whether or not the lease is be regarded as a short lease varies by mortgage company, yet lending institutions start to get nervous at around 75 years. This may be problematic once you wish to market or refinance your flat as it will be practically unmortgageable. Even though you may have no immediate plan to sell but when you do your buyer will have to hold off for 2 years before being able to start the legal procedures for a lease extension.

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

Irrespective of whether you are a tenant or a landlord in Burslem,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Burslem valuers.

Burslem Lease Extension Case Summaries:

Georgina, Burslem, Staffordshire,

Trailing protracted negotiations with the landlord of her ground floor flat in Burslem, Georgina commenced the lease extension process just as her lease was approaching the crucial 80-year deadline. The transaction completed in July 2010. The landlord’s costs were negotiated to slightly above 600 pounds.

Burslem case:

Last Summer we were phoned by Mr and Mrs. S García , who purchased a one bedroom flat in Burslem in July 2012. The dilemma was if we could estimate the premium could be for a 90 year extension to my lease. Comparable homes in Burslem with a long lease were valued about £265,000. The average ground rent payable was £50 billed monthly. The lease expired in 2100. Given that there were 74 years remaining we calculated the premium to the landlord for the lease extension to be between £9,500 and £11,000 not including fees.

Burslem case:

Mr N Lambert was assigned a lease of a purpose-built apartment in Burslem in September 2005. We are asked if we could shed any light on how much (approximately) price would be to prolong the lease by ninety years. Similar homes in Burslem with a long lease were worth £166,400. The mid-range ground rent payable was £60 invoiced per annum. The lease came to a finish in 2080. Having 54 years left we calculated the premium to the landlord to extend the lease to be within £32,300 and £37,400 exclusive of legals.