Top reasons for Kibworth lease extension

Why you should start your Kibworth lease extension today:

Increase your lease and increase your Kibworth property value

Kibworth leases on residential deteriorating in value. Where your lease has about ninety years unexpired, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease drops below this level then you start paying an additional element called marriage value. Leasehold owners in Kibworth will mostly be legally entitled to a lease extension; however a solicitor should be able confirm if you qualify. In some cases you may not be entitled. There are prescribed deadlines and procedures to comply with once the process has started so it’s sensible to be guided by a lawyer during the process.

An extended lease has roughly the same value as a freehold

Leasehold premises in Kibworth with more than 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.

Banks and Building Societies may not lend on a short lease

Almost all banks and building societies require a lengthy amount of time remaining on a leasehold residence before they will contemplate providing a mortgage on it. Even if you don't need a mortgage, you should be aware that it is likely that someone intending to buy your property in the future might well do, so where they can't obtain a mortgage, then the value of the property will likely suffer. In the last decade most mortgage lenders have increased the required minimum lease length that they are willing to accept

What makes us experts in Kibworth lease extensions?

The conveyancers that we work with procure Kibworth 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.

Kibworth Lease Extension Example Cases:

Dexter, Kibworth, Leicestershire

Last year Dexter, came dangerously near to the eighty-year threshold with the lease on his one bedroom flat in Kibworth. In buying his property two decades ago, the unexpired term was of little relevance. Thankfully, he noticed he needed to take action soon on a lease extension. Dexter arranged for a lease extension just under the wire in June. Dexter and the landlord who owned the flat above in the end agreed on the final figure of £5,500 . If the lease had dropped below 80 years, the figure would have increased by a minimum £1,100.

Kibworth case:

In 2014 we were called by Mr and Mrs. B Ali who, having bought a garden flat in Kibworth in July 2000. The question was if we could shed any light on how much (approximately) price could be for a ninety year extension to my lease. Comparative premises in Kibworth with a long lease were worth £267,600. The average ground rent payable was £65 invoiced annually. The lease came to a finish on 6 February 2093. Taking into account 67 years as a residual term we calculated the premium to the landlord to extend the lease to be within £14,300 and £16,400 plus expenses.

Kibworth case:

Dr Rory Watson purchased a purpose-built flat in Kibworth in August 2003. We are asked if we could shed any light on how much (approximately) premium could be to extend the lease by a further 90 years. Comparative residencies in Kibworth with 100 year plus lease were valued about £206,200. The mid-range ground rent payable was £55 invoiced quarterly. The lease termination date was in 2082. Taking into account 56 years unexpired we estimated the compensation to the freeholder to extend the lease to be within £31,400 and £36,200 not including professional charges.