Why you should commence your Cheetham lease extension

Top reasons for lease extension now:

A Cheetham lease depreciates with the years remaining on the lease.

Unfortunately that a Cheetham residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the first few years due to the loss of value being disguised by increases in the Cheetham property market.Where your lease has approximately ninety years left, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips lower than 80 years - otherwise a higher premium will be due. Most leasehold owners in Cheetham will be able to extend under the legislation; however a conveyancer should be able to clarify if you qualify for an extension. In some cases you may not qualify. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your conveyancing solicitor from beginning to end of the process.

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

Leasehold residencies in Cheetham with more than one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and maintenance charges justify it.

Lending institutions will not finance a property with a short lease

Lending institutions have specific criteria when loaning monies charged on leasehold homes. Some will simply not lend at all once an unexpired lease term drops beneath a certain unexpired lease term. Many Banks and Building Societies will not regard property with a remaining term of less than seventy years as adequate security. As well as impacting your ability to sell, it is also relevant where you are intending to refinance your Cheetham home.

Why use us for your lease extension in Cheetham?

The conveyancing solicitors that we work with handle Cheetham 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 lawyer we work with provide it.

Cheetham Lease Extension Example Cases:

Katherine, Cheetham, Greater Manchester,

Trailing lengthy correspondence with the freeholder of her basement apartment in Cheetham, Katherine started the lease extension process as the 80 year mark was swiftly coming. The lease extension was finalised in October 2009. The landlord’s charges were restricted to about 450 pounds.

Cheetham case:

In 2010 we were called by Mr Theo Harris who, having owned a newly refurbished flat in Cheetham in February 2000. The question was if we could shed any light on how much (approximately) premium could be to extend the lease by an additional years. Identical residencies in Cheetham with 100 year plus lease were valued around £267,600. The average ground rent payable was £65 collected yearly. The lease expired on 24 April 2093. Given that there were 67 years as a residual term we estimated the compensation to the freeholder for the lease extension to be between £14,300 and £16,400 exclusive of fees.

Cheetham case:

Mrs K Evans purchased a recently refurbished apartment in Cheetham in August 1995. The question was if we could shed any light on how much (approximately) price would be for a ninety year lease extension. Identical properties in Cheetham with a long lease were worth £201,200. The average amount of ground rent was £55 invoiced every twelve months. The lease elapsed in 2082. Considering the 56 years outstanding we estimated the premium to the landlord for the lease extension to be between £31,400 and £36,200 not including costs.