Top reasons for Caversham lease extension

Main reasons to start your Caversham lease extension today:

A Caversham leasehold property depreciates with the years remaining on the lease.

The basic rule is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Caversham have the legal entitlement to extend the lease for an additional ninety years in accordance with statute. Please give careful consideration before delaying your Caversham lease extension. Shelving the costs now simply increases the amount you will ultimately be required to pay for a lease extension.

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

It is conventional wisdom that a property with more than 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years remaining, the property will be worth the same as a freehold for many years in the future.

Lenders may not issue a mortgage on a short lease

Banks and building societies are tightening their criteria and a meaningful number now expect flats to have a minimum of sixty if not seventy years left once the mortgage has expired. Given that many flats in Caversham were built in the 1950s, 1960s and 1970s this means many now require lease extensions if they if they are to be mortgageable.

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

The conveyancers that we work with undertake Caversham lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.

Caversham Lease Extension Case Summaries:

Aaron, Caversham, Berkshire

Last Spring Aaron, came perilously close to the 80-year mark with the lease on his one bedroom flat in Caversham. Having bought his property twenty years previously, the lease term was of minimal interest. by good luck, it dawned on him that he would soon be paying an inflated amount for Extending the lease. Aaron arranged for a lease extension just under the wire last September. Aaron and the landlord subsequently settled on an amount of £5,500 . If he had missed the deadline, the price would have increased by a minimum £1,100.

Caversham case:

Dr T Lee purchased a newly refurbished apartment in Caversham in January 2010. We are asked if we could approximate the compensation to the landlord would be to extend the lease by ninety years. Similar premises in Caversham with a long lease were worth £260,000. The mid-range amount of ground rent was £50 invoiced every twelve months. The lease expiry date was on 28 May 2097. Given that there were 71 years outstanding we estimated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of costs.

Caversham case:

Last Winter we were contacted by Dr Courtney Leroy , who owned a one bedroom apartment in Caversham in September 2006. The question was if we could shed any light on how much (roughly) premium could be for a 90 year lease extension. Identical homes in Caversham with a long lease were valued about £254,200. The mid-range amount of ground rent was £60 collected yearly. The lease concluded in 2077. Given that there were 51 years remaining we approximated the premium to the landlord for the lease extension to be between £43,700 and £50,600 not including legals.