Why you should commence your Corston lease extension

Why you should start your Corston lease extension today:

Increase your lease and increase your Corston property value

Chances are that where you own a flat in Corston you actually own a long leasehold interest over your property

An extended lease has roughly the same value as a freehold

Leasehold residencies in Corston with more than one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges justify it.

Mortgage lenders will not grant a mortgage on a short lease

The propensity since over the last decade has been for mortgage companies to tighten lending requirements across the board - this has extended to the property over which the home loan is to be charged. This has resulted in the minimum number of years remaining under the lease required by lenders has increased. Historically mortgage companies would lend on a lease with twenty years plus the term of the loan - typically fifty year leases but those requirements have been chipped away by the requirement for lengthy leases - many use a minimum term of 75 years as a prerequisite.

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

Irrespective of whether you are a tenant or a landlord in Corston,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Corston valuers.

Corston Lease Extension Case Summaries:

Kate, Corston, North Somerset,

Trailing lengthy negotiations with the freeholder of her garden flat in Corston, Kate initiated the lease extension process just as the lease was nearing the crucial eighty-year deadline. The lease extension completed in August 2007. The landlord’s costs were kept to an absolute minimum.

Corston case:

Mr and Mrs. L Bertrand purchased a one bedroom apartment in Corston in August 2005. We are asked if we could shed any light on how much (approximately) price would likely be to extend the lease by an additional years. Comparative homes in Corston with a long lease were valued around £191,400. The mid-range amount of ground rent was £55 billed yearly. The lease concluded in 2080. Considering the 54 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £34,200 and £39,600 plus legals.

Corston case:

Last Summer we were contacted by Ms C Hall , who owned a first floor flat in Corston in May 1996. We are asked if we could shed any light on how much (roughly) premium would likely be for a 90 year lease extension. Comparative flats in Corston with a long lease were in the region of £295,000. The mid-range ground rent payable was £45 collected every twelve months. The lease finished in 2100. Given that there were 74 years left we approximated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 not including expenses.