Main reasons to start your Gunnislake lease extension

Main reasons to commence your Gunnislake lease extension today:

Increase your lease and increase your Gunnislake property value

Gunnislake leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. The majority of owners of residential leasehold property in Gunnislake enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Gunnislake you would be well advised to investigate if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension sharply increases as an element of the premium you will incur is what is known as a marriage value

Gunnislake property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with over 100 years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.

Lenders may decide not to lend on a short lease

Mortgage companies do not like short residential leases. You most probably experience problems if you want to sell your flat in Gunnislake if the unexpired lease term is below the criteria set by the majority of mortgage companies. Different lenders have varying requirements but on the whole they are looking for a minimum remaining lease term of 65 years.

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

Retaining our service gives you increased control over the value of your Gunnislake leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Gunnislake Lease Extension Case Summaries:

Hugo, Gunnislake, Cornwall,

Hugo was the the leasehold owner of a studio apartment in Gunnislake on the market with a lease of a few days over fifty eight years left. Hugo informally approached his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £200 per annum. Ordinarily, ground rent would not be payable on a lease extension were Hugo to exercise his statutory right. Hugo procured expert legal guidance and secured an acceptable resolution informally and ending up with a market value flat.

Gunnislake case:

Ms P Turner owned a basement apartment in Gunnislake in January 2004. The dilemma was if we could estimate the compensation to the landlord would be to prolong the lease by 90 years. Comparative flats in Gunnislake with a long lease were in the region of £256,600. The mid-range amount of ground rent was £60 invoiced per annum. The lease expiry date was in 2078. Considering the 52 years unexpired we approximated the compensation to the freeholder to extend the lease to be within £41,800 and £48,400 not including costs.

Gunnislake case:

In 2014 we were called by Mrs D Allen who, having completed a recently refurbished flat in Gunnislake in November 2001. We are asked if we could approximate the premium could be for a 90 year lease extension. Comparable premises in Gunnislake with an extended lease were worth £218,000. The mid-range ground rent payable was £45 collected monthly. The lease expired in 2089. Given that there were 63 years remaining we approximated the premium to the landlord to extend the lease to be between £17,100 and £19,800 not including professional charges.