Top reasons for Clare lease extension

Top reasons for lease extension now:

Increase your lease and increase your Clare property value

When it comes to domestic leasehold property in Clare, you are actually purchasing an entitlement to live in a property for a set period of time. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you may consider extending the lease sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive especially when there are less than 80 years left. Leasehold owners in Clare with a lease drawing near to 81 years unexpired should seriously think of extending it as soon as possible. When the lease term has less than 80 years remaining, under the relevant statute the freeholder is entitled to calculate and levy a greater premium, based on a technical multiplication, strangely termed as “marriage value” which is payable.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 30 years left, the property will be worth the same as a freehold for decades to come.

Mortgage lenders may decide not to lend on a short lease

Mortgage lenders have set criteria when lending funds secured on leasehold homes. Many will simply refrain from lending at all once the residual lease term drops under a certain unexpired lease term. Many Banks and Building Societies will not consider property with a remaining term of less than seventy years as adequate security. In addition to impacting your ability to sell, it is also relevant where you are intending to refinance your Clare property.

Why use us for your lease extension in Clare?

Lease extensions in Clare can be a difficult process. We recommend you procure professional help from a conveyancer and valuer well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Clare lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Clare Lease Extension Example Cases:

Jessica, Clare, Suffolk,

After unsuccessful correspondence with the landlord of her garden apartment in Clare, Jessica started the lease extension process as the 80 year threshold was rapidly coming. The legal work completed in September 2015. The landlord’s costs were restricted to a tad over 600 GBP.

Clare case:

Mr E Anderson completed a ground floor apartment in Clare in May 1996. We are asked if we could estimate the price could be to extend the lease by a further 90 years. Comparable properties in Clare with an extended lease were worth £243,000. The mid-range ground rent payable was £65 billed per annum. The lease lapsed in 2089. Having 63 years unexpired we calculated the premium to the landlord for the lease extension to be within £20,000 and £23,000 not including legals.

Clare case:

Mrs V Davies was assigned a lease of a purpose-built flat in Clare in November 2006. The question was if we could estimate the compensation to the landlord would likely be to extend the lease by 90 years. Similar premises in Clare with 100 year plus lease were valued around £181,600. The mid-range ground rent payable was £55 collected every twelve months. The lease terminated on 24 May 2078. Taking into account 52 years remaining we calculated the compensation to the freeholder to extend the lease to be between £30,400 and £35,200 not including fees.