Main reasons to start your Chulmleigh lease extension

Top reasons for lease extension now:

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

Chulmleigh residential property held on a long lease is a wasting asset as the leaseholder only owns the property for a set term.

Chulmleigh property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a property with over one hundred years remaining is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the premises will be worth the same as a freehold for decades to come.

Banks and Building Societies will not issue a mortgage on a short lease

Nearly all banks and building societies insist on a lengthy amount of time remaining on a leasehold property before they will consider it as adequate security. Regardless of whether you need a mortgage, you should be mindful that it is probable that someone wanting to purchase your property in the future might well do, so if they are not able to get a mortgage, then the financial worth of the property will likely be adversely impacted. In the last decade the majority of banks and building societies have increased the required minimum lease length that they are willing to lend on

What makes us experts in Chulmleigh lease extensions?

Retaining our service gives you increased control over the value of your Chulmleigh leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Chulmleigh Lease Extension Case Studies:

Daniel, Chulmleigh, Devon,

Daniel owned a high value flat in Chulmleigh on the market with a lease of a few days over 59 years outstanding. Daniel on an informal basis spoke with his landlord a well known local-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent to start with set at £200 per annum and increase every 25 years thereafter. No ground rent would be payable on a lease extension were Daniel to exercise his statutory right. Daniel procured expert legal guidance and was able to make a more informed decision and handle with the matter and sell the property.

Chulmleigh case:

Mr and Mrs. N Moreau moved into a first floor flat in Chulmleigh in August 2009. The question was if we could approximate the compensation to the landlord would likely be for a ninety year extension to my lease. Identical premises in Chulmleigh with a long lease were valued around £210,000. The average ground rent payable was £50 collected yearly. The lease expired on 19 July 2106. Given that there were 80 years as a residual term we calculated the premium to the landlord for the lease extension to be within £8,600 and £9,800 not including professional charges.

Chulmleigh case:

Mr Lewis Baker bought a first floor flat in Chulmleigh in August 1995. We are asked if we could approximate the compensation to the landlord could be to extend the lease by an additional years. Comparable premises in Chulmleigh with 100 year plus lease were in the region of £275,000. The mid-range ground rent payable was £45 collected annually. The lease ran out on 2 September 2095. Considering the 69 years left we calculated the premium to the landlord for the lease extension to be between £12,400 and £14,200 exclusive of costs.