Top reasons for Castle Vale lease extension

Main reasons to start your Castle Vale lease extension today:

A Castle Vale leasehold property depreciates with the years remaining on the lease.

Chances are that if you own a flat in Castle Vale you actually own a long leasehold interest over your property

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

Leasehold premises in Castle Vale with in excess of one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.

Lending institutions may decide not to lend with a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet mortgage lenders start to become jittery at around 75 years. This will be problematic as and when you need to market or refinance your property as it will be practically unmortgageable. You may have no imminent plan to sell but when you do your buyer will have to hold off for 2 years before being able to exercise the right to a a lease extension.

What makes us experts in Castle Vale lease extensions?

Lease extensions in Castle Vale can be a difficult process. We recommend you secure professional help from a lawyer and surveyor with experience in this area.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Castle Vale lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Castle Vale Lease Extension Example Cases:

Felix, Castle Vale, Birmingham

Last Christmas Felix, came very close to the 80-year threshold with the lease on his leasehold flat in Castle Vale. Having purchased his flat twenty years ago, the length of the lease was of minimal interest. As luck would have it, he became aware that he would imminently be paying an escalated premium for a lease extension. Felix arranged for a lease extension just ahead of time last March. Felix and the landlord in the end agreed on sum of £5,000 . If the lease had fallen below eighty years, the price would have increased by at least £1,100.

Castle Vale case:

Last Spring we were phoned by Mr and Mrs. R Dupont , who bought a ground floor apartment in Castle Vale in January 2009. We are asked if we could estimate the premium would likely be to prolong the lease by a further 90 years. Comparative homes in Castle Vale with an extended lease were valued about £280,000. The average ground rent payable was £55 billed monthly. The lease finished in 2104. Having 78 years as a residual term we approximated the premium to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of professional charges.

Castle Vale case:

In 2013 we were approached by Mr and Mrs. K Thompson who, having moved into a newly refurbished flat in Castle Vale in June 2007. We are asked if we could approximate the premium could be to prolong the lease by ninety years. Comparative homes in Castle Vale with an extended lease were valued about £183,600. The average ground rent payable was £65 billed monthly. The lease expired in 2083. Given that there were 57 years remaining we calculated the compensation to the freeholder for the lease extension to be between £28,500 and £33,000 exclusive of fees.