Top reasons for Elland lease extension

Main reasons to start your Elland lease extension today:

Increase your lease and increase your Elland property value

Elland leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. The majority of owners of residential leasehold property in Elland enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Elland you should check if your lease has between seventy and ninety years left. There are good reasons why a Elland leaseholder with a lease having around 80 years left should take steps to ensure that a lease extension is actioned without delay

An extended lease is almost the same value as a freehold

Leasehold premises in Elland with more than 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges warrant it.

Lenders will not grant a mortgage on a short lease

The trend since 2008 has been for lenders to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be charged. This has meant the minimum number of years remaining under the lease required by banks has increased. In the past banks were content with twenty 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 use a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Elland?

Retaining our service will provide you better control over the value of your Elland leasehold, as your property will be more valuable and marketable in relation to the lease length should you want 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.

Elland Lease Extension Example Cases:

Toby, Elland, West Yorkshire

16 months ago Toby, started to get close to the 80-year threshold with the lease on his two bedroom apartment in Elland. In buying his flat two decades ago, the length of the lease was of no interest. Luckily, he became aware that he needed to take steps soon on a lease extension. Toby extended the lease at the eleventh hour in July. Toby and the landlord eventually settled on sum of £5,000 . If the lease had gone below 80 years, the sum would have escalated by at least £1,075.

Elland case:

In 2011 we were contacted by Mr Y Bernard who, having completed a garden flat in Elland in May 2005. We are asked if we could shed any light on how much (approximately) price could be to extend the lease by 90 years. Comparable homes in Elland with a long lease were valued around £206,200. The average ground rent payable was £60 invoiced monthly. The lease elapsed in 2082. Given that there were 56 years unexpired we approximated the compensation to the freeholder for the lease extension to be between £31,400 and £36,200 plus professional charges.

Elland case:

Dr Muhammad Clarke completed a one bedroom apartment in Elland in September 1999. The dilemma was if we could estimate the premium could be for a 90 year lease extension. Comparable properties in Elland with an extended lease were valued around £300,000. The mid-range amount of ground rent was £50 collected every twelve months. The lease expiry date was on 2 June 2102. Having 76 years unexpired we estimated the premium to the landlord for the lease extension to be between £8,600 and £9,800 not including fees.