Why you should start your Caddington lease extension

Top reasons for lease extension now:

Increase your lease and increase your Caddington property value

There is no doubt about it a leasehold property in Caddington is a wasting asset as a result of the diminishing lease term. If the residual term has, beyond 99 years remaining then this decrease may be of little impact nevertheless there will become a stage when a lease has fewer than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary logic behind why you should consider extending sooner as opposed to later. Many flat owners in Caddington will meet the qualifying criteria; that being said a conveyancing solicitor should be able to advise whether you are eligible to extend your lease. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.

Caddington property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 35 years left, the residence will be equivalent in value to a freehold for decades to come.

Banks and Building Societies will not finance a property with a short lease

Nearly all banks and building societies insist on a lengthy amount of time remaining on any leasehold residence before they will contemplate it as adequate security. Even if you don't need a mortgage, you should be conscious that it is likely that someone wishing to purchase your property in the future might well do, so if they can't secure a mortgage, then the market price of the property could be adversely impacted. In the last decade the majority of banks and building societies have increased the required minimum lease length that they are willing to grant a mortgage on

What makes us experts in Caddington lease extensions?

Retaining our service gives you enhanced control over the value of your Caddington leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Caddington Lease Extension Example Cases:

Toby, Caddington, Bedfordshire,

Toby owned a high value flat in Caddington being sold with a lease of a little over 61 years unexpired. Toby on an informal basis spoke with his freeholder being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years subject to a new rent initially set at £100 per annum and increase every twenty five years thereafter. No ground rent would be payable on a lease extension were Toby to invoke his statutory right. Toby obtained expert advice and secured satisfactory resolution without resorting to tribunal and readily saleable.

Caddington case:

Mr and Mrs. C Howard completed a studio flat in Caddington in June 2005. We are asked if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Similar residencies in Caddington with an extended lease were worth £265,000. The average ground rent payable was £55 collected yearly. The lease finished on 18 February 2100. Having 74 years as a residual term we calculated the premium to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of expenses.

Caddington case:

In 2014 we were contacted by Mr and Mrs. K Fournier who, having moved into a one bedroom flat in Caddington in March 2004. We are asked if we could shed any light on how much (approximately) premium would likely be to prolong the lease by 90 years. Similar premises in Caddington with an extended lease were valued around £166,400. The average amount of ground rent was £60 invoiced annually. The lease expired in 2080. Given that there were 54 years left we calculated the premium to the freeholder for the lease extension to be within £32,300 and £37,400 exclusive of professional charges.