Top reasons for Castle Cary lease extension

Why you should start your Castle Cary lease extension today:

Increase your lease and increase your Castle Cary property value

The only way is down when it comes to Castle Cary lease terms. Castle Cary flats that have a residual term lower than eighty years will reduce in value even faster, and the cost of extending your lease will rise.

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

It is conventional wisdom that a residential leasehold with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years remaining, the premises will be equivalent in value to a freehold for many years ahead.

Lending institutions will not grant a mortgage with a short lease

Banks and Building Societies have set criteria when loaning monies secured on leasehold homes. Some will simply not lend at all once an unexpired lease term slips below a specified unexpired lease term. Many Mortgage lenders will not regard property with an unexpired below seventy years as adequate security. In addition to impacting your ability to sell, it is also relevant where you are intending to remortgage your Castle Cary property.

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

Irrespective of whether you are a tenant or a freeholder in Castle Cary,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Castle Cary valuers.

Castle Cary Lease Extension Example Cases:

David, Castle Cary, Somerset,

David owned a conversion apartment in Castle Cary on the market with a lease of a few days over fifty eight years left. David informally spoke with his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £125 per annum. No ground rent would be due on a lease extension were David to exercise his statutory right. David procured expert advice and was able to make an informed judgement and deal with the matter and sell the property.

Castle Cary case:

In 2011 we were called by Ms Louise André who, having was assigned a lease of a studio flat in Castle Cary in July 2010. We are asked if we could approximate the premium would be to extend the lease by a further 90 years. Comparative properties in Castle Cary with an extended lease were valued about £261,600. The average ground rent payable was £60 invoiced monthly. The lease ran out on 8 April 2078. Considering the 52 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £39,000 and £45,000 not including fees.

Castle Cary case:

Last Winter we were called by Mrs Victoria Vincent , who was assigned a lease of a purpose-built apartment in Castle Cary in July 2002. We are asked if we could estimate the premium would be for a 90 year lease extension. Comparable flats in Castle Cary with a long lease were worth £218,000. The mid-range ground rent payable was £45 collected yearly. The lease terminated in 2089. Considering the 63 years unexpired we calculated the premium to the freeholder to extend the lease to be between £17,100 and £19,800 exclusive of expenses.