Main reasons to start your Kirby Muxloe lease extension

Top reasons for lease extension now:

Increase your lease and increase your Kirby Muxloe property value

The closer a domestic lease in Kirby Muxloe nears to zero years unexpired, the more it reduces the value of the property. Where the residual term has, over one hundred years remaining then this decrease may be of little impact however there will become a point in time when a lease has less than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the main rational as to why you should extend the lease sooner than later. Many flat owners in Kirby Muxloe will meet the qualifying criteria; however a conveyancing solicitor can confirm whether you qualify to extend your lease. In limited 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 property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.

Banks and Building Societies may decide not to loan monies with a short lease

The trend since the credit crunch has been for lenders to tighten lending requirements 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 lenders has increased. In the past banks would lend on a lease with twenty years plus the term of the loan - routinely fifty year leases but those requirements have been chipped away by the requirement for longer and longer leases - many use a minimum term of 75 years as standard.

What makes us experts in Kirby Muxloe lease extensions?

Regardless of whether you are a tenant or a landlord in Kirby Muxloe,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Kirby Muxloe valuers.

Kirby Muxloe Lease Extension Case Summaries:

Naomi, Kirby Muxloe, Leicestershire,

Following lengthy negotiations with the freeholder of her two bedroom flat in Kirby Muxloe, Naomi initiated the lease extension process as the eighty year mark was quickly approaching. The legal work completed in July 2007. The freeholder’s charges were kept to an absolute minimum.

Kirby Muxloe case:

Ms Victoria Wright acquired a first floor flat in Kirby Muxloe in August 2000. The question was if we could estimate the compensation to the landlord would likely be to extend the lease by a further 90 years. Similar properties in Kirby Muxloe with 100 year plus lease were worth £171,800. The average amount of ground rent was £55 billed monthly. The lease concluded in 2076. Given that there were 50 years remaining we estimated the compensation to the freeholder for the lease extension to be within £33,300 and £38,400 not including fees.

Kirby Muxloe case:

Last Winter we were contacted by Dr Liam Hill , who moved into a purpose-built flat in Kirby Muxloe in May 2010. We are asked if we could approximate the premium would be to extend the lease by ninety years. Similar flats in Kirby Muxloe with 100 year plus lease were worth £280,000. The average amount of ground rent was £45 invoiced quarterly. The lease ended on 5 April 2096. Given that there were 70 years unexpired we estimated the compensation to the landlord for the lease extension to be within £12,400 and £14,200 plus legals.