Why you should start your Cudworth lease extension

Main reasons to commence your Cudworth lease extension today:

Increase your lease and increase your Cudworth property value

Unfortunately that a Cudworth residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the loss of value being disguised by increases in the Cudworth property prices.Once your lease nears 85ish years, you need to start thinking about 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 slips lower than 80 years - otherwise a higher amount will be due. The majority of leasehold owners in Cudworth will be able to extend under the legislation; however a lawyer should be able to confirm whether you are eligibility. In some cases you may not qualify. There are also strict timetables and procedures to follow once the process has commenced and you will need to be guided by your conveyancer from beginning to end of the formalities.

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

It is conventional wisdom that a property with over one hundred years remaining is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.

Lending institutions will not finance a property on a short lease

Lending institutions have set criteria when lending monies secured on leasehold homes. Some will simply refuse lend at all once the remaining lease term drops beneath a specified unexpired lease term. Many Banks and Building Societies will not consider property with a remaining below 75 years suitable security. As well as impacting your ability to sell, it is also relevant where you are intending to remortgage your Cudworth property.

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

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

Cudworth Lease Extension Example Cases:

Sophia, Cudworth, South Yorkshire,

Following unsuccessful correspondence with the freeholder of her ground floor flat in Cudworth, Sophia commenced the lease extension process as the 80 year deadline was rapidly approaching. The transaction was finalised in August 2008. The landlord’s costs were kept to an absolute minimum.

Cudworth case:

In 2010 we were phoned by Mr C Martin who, having acquired a ground floor apartment in Cudworth in March 2000. The question was if we could estimate the compensation to the landlord could be for a ninety year lease extension. Comparative premises in Cudworth with 100 year plus lease were valued around £246,800. The mid-range amount of ground rent was £60 billed quarterly. The lease finished on 24 September 2076. Considering the 50 years unexpired we estimated the compensation to the landlord for the lease extension to be within £44,700 and £51,600 plus costs.

Cudworth case:

Mr and Mrs. N Lee took over the lease of a one bedroom apartment in Cudworth in August 2007. The dilemma was if we could estimate the premium could be to extend the lease by an additional years. Comparative flats in Cudworth with an extended lease were in the region of £208,200. The average ground rent payable was £65 collected yearly. The lease concluded in 2087. Considering the 61 years outstanding we calculated the premium to the freeholder to extend the lease to be between £20,000 and £23,000 exclusive of expenses.