Top reasons for Dorchester lease extension

Top reasons for lease extension now:

Increase your lease and increase your Dorchester property value

There is no doubt about it a leasehold flat or house in Dorchester is a wasting asset as a result of the diminishing lease term. If the lease has, beyond 100 years remaining then this decrease may be of little impact that being said there will become a stage when a lease has less than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary rational as to why you should consider extending sooner than later. Many flat owners in Dorchester will meet the qualifying criteria; however a conveyancing solicitor can advise whether you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have owned the property for under two years.

An extended lease has roughly the same value as a freehold

It is generally accepted that a property with more than 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 30 years unexpired, the residence will be equivalent in value to a freehold for decades to come.

Lenders may not lend with a short lease

Mortgage companies are really restricting their approach as regards to homes in Dorchester with short leases. For instance you might discover that their lending requirements are stricter and that they adjust interest rates depending on how many years are left on the lease. Some may even refuse to lend completely, so if you needed to sell, your only options would be to find a cash buyer, or try your luck at auction thus reducing your market.

What makes us experts in Dorchester lease extensions?

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

Dorchester Lease Extension Example Cases:

Leah, Dorchester, Dorset,

Off the back of lengthy negotiations with the freeholder of her studio apartment in Dorchester, Leah started the lease extension process just as her lease was approaching the all-important 80-year mark. The legal work was concluded in October 2005. The freeholder’s charges were negotiated to slightly above 700 GBP.

Dorchester case:

Last Winter we were phoned by Mrs Kate White , who moved into a purpose-built apartment in Dorchester in November 2010. We are asked if we could shed any light on how much (approximately) premium would likely be to prolong the lease by ninety years. Identical homes in Dorchester with an extended lease were worth £270,000. The mid-range amount of ground rent was £55 billed per annum. The lease finished on 6 April 2101. Having 75 years outstanding we calculated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of costs.

Dorchester case:

Last year we were approach by Dr Harry Garcia , who acquired a studio flat in Dorchester in June 2001. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be to extend the lease by ninety years. Comparative premises in Dorchester with a long lease were worth £168,800. The mid-range amount of ground rent was £60 invoiced monthly. The lease terminated in 2081. Considering the 55 years left we calculated the compensation to the freeholder for the lease extension to be within £31,400 and £36,200 not including fees.