Why you should commence your East Leake lease extension

Main reasons to commence your East Leake lease extension today:

A East Leake leasehold property depreciates with the years remaining on the lease.

The closer a residential lease in East Leake nears to zero years unexpired, the the greater the reduction in the value of the property. If the lease has, in excess of one hundred years to run then this decrease may be of little impact that being said there will become a point in time when a lease has under than eighty years left as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the main rational as to why you should extend the lease without delay. The majority of flat owners in East Leake will qualify for this right; however a lawyer can confirm if you qualify for a lease extension. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 45 years remaining, the premises will be equivalent in value to a freehold for decades to come.

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

The propensity since over the last decade has been for mortgage companies to tighten lending criteria across the board - this has extended to the types of security over which the home loan is to be granted. This has resulted in the minimum number of years remaining under the lease required by mortgage companies has increased. Historically banks were content with 25 years plus the term of the loan - typically fifty year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

What makes us experts in East Leake lease extensions?

The conveyancing solicitors that we work with procure East Leake lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.

East Leake Lease Extension Example Cases:

Jake, East Leake, Nottinghamshire,

Jake was the the leasehold owner of a 2 bedroom apartment in East Leake being sold with a lease of fraction over fifty eight years outstanding. Jake on an informal basis approached his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £125 annually. No ground rent would be payable on a lease extension were Jake to exercise his statutory right. Jake obtained expert advice and secured satisfactory deal informally and sell the property.

East Leake case:

In 2011 we were approached by Dr L Moore who, having acquired a basement flat in East Leake in October 1995. We are asked if we could shed any light on how much (approximately) premium could be for a ninety year extension to my lease. Identical premises in East Leake with 100 year plus lease were valued about £200,000. The average ground rent payable was £50 invoiced quarterly. The lease elapsed on 6 January 2104. Taking into account 78 years left we calculated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 plus legals.

East Leake case:

Mr and Mrs. N Watson moved into a studio apartment in East Leake in September 2004. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by ninety years. Comparable residencies in East Leake with a long lease were in the region of £267,600. The mid-range ground rent payable was £65 invoiced yearly. The lease termination date was on 26 February 2093. Taking into account 67 years unexpired we estimated the premium to the landlord to extend the lease to be within £14,300 and £16,400 not including expenses.