Top reasons for Catton lease extension

Top reasons for lease extension now:

Increase your lease and increase your Catton property value

Catton leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. Legislation has been in place for sometime now which permits qualifying Catton residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Catton you really ought to investigate if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under eighty years, the premium due on any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

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

Leasehold properties in Catton with more than one hundred years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and service charges justify it.

Lenders may not finance a property on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet lending institutions start to get nervous at around 75 years. This will be problematic when you wish to sell or remortgage your flat as it will be practically unmortgageable. You may not have an imminent desire to sell but when you do your buyer must wait two years before they can exercise the right to a a lease extension.

Why use us for your lease extension in Catton?

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

Catton Lease Extension Example Cases:

Sebastian, Catton, Norfolk,

Sebastian owned a 2 bedroom apartment in Catton being sold with a lease of a little over 72 years remaining. Sebastian informally contacted his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to an increased rent to £50 per annum. Ordinarily, ground rent would not be payable on a lease extension were Sebastian to exercise his statutory right. Sebastian obtained expert legal guidance and secured an acceptable resolution informally and readily saleable.

Catton case:

Mr and Mrs. J Wood was assigned a lease of a ground floor apartment in Catton in May 1996. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Similar flats in Catton with 100 year plus lease were valued around £198,800. The average ground rent payable was £55 collected quarterly. The lease ended on 18 August 2081. Having 55 years as a residual term we estimated the premium to the landlord to extend the lease to be within £33,300 and £38,400 not including fees.

Catton case:

In 2009 we were called by Mr Hunter Leroy who, having owned a purpose-built apartment in Catton in March 1996. The question was if we could shed any light on how much (roughly) price would be for a ninety year extension to my lease. Comparative premises in Catton with an extended lease were worth £300,000. The mid-range ground rent payable was £50 collected quarterly. The lease ended on 22 February 2101. Considering the 75 years left we estimated the compensation to the freeholder for the lease extension to be between £8,600 and £9,800 not including legals.