Top reasons for Cheetham lease extension

Main reasons to commence your Cheetham lease extension today:

Increase your lease and increase your Cheetham property value

The market value of Cheetham leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can increase substantially once the unexpired lease term is less than eighty years

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

Leasehold premises in Cheetham with more than 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges justify it.

Lending institutions may not finance a property with a short lease

Mortgage Lenders are distinct in their lending requirements. Some draw the line at seventy five years outstanding on the lease; others may be willing to lend with anything with more than seventy years. With less than sixty years, it may be difficult to get a mortgage in the first place.

What makes us experts in Cheetham lease extensions?

Engaging our service will provide you increased control over the value of your Cheetham leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Cheetham Lease Extension Case Studies:

William, Cheetham, Greater Manchester,

William was the the leasehold proprietor of a studio flat in Cheetham on the market with a lease of a little over 59 years left. William informally approached his freeholder a well known Manchester-based freehold company for a lease extension. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £200 per annum and doubled every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were William to exercise his statutory right. William procured expert legal guidance and secured satisfactory resolution without going to tribunal and sell the flat.

Cheetham case:

In 2011 we were e-mailed by Mrs Mollie Howard who, having bought a studio apartment in Cheetham in July 1997. The question was if we could estimate the compensation to the landlord would likely be to prolong the lease by 90 years. Comparable residencies in Cheetham with an extended lease were valued around £198,800. The mid-range ground rent payable was £55 billed annually. The lease expired in 2081. Given that there were 55 years outstanding we approximated the premium to the freeholder for the lease extension to be within £33,300 and £38,400 exclusive of costs.

Cheetham case:

Last Christmas we were e-mailed by Mr Aaron Rivera , who purchased a studio apartment in Cheetham in January 1997. The question was if we could shed any light on how much (approximately) premium would likely be for a 90 year extension to my lease. Comparable properties in Cheetham with an extended lease were in the region of £295,000. The average ground rent payable was £45 billed annually. The lease finished in 2101. Taking into account 75 years left we approximated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 exclusive of legals.