Why you should start your Laceby lease extension

Main reasons to start your Laceby lease extension today:

Increase your lease and increase your Laceby property value

The market value of Laceby leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of extending the lease can escalate significantly once the unexpired lease term is below than eighty years

An extended lease has roughly the same value as a freehold

Leasehold premises in Laceby with in excess of one hundred years unexpired on the lease are often 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 upside in purchasing the freehold unless savings on ground rent and estate charges merit it.

Lenders may not loan monies with a short lease

Mortgage lenders have set criteria when loaning funds charged on leasehold homes. Many will simply not lend at all once the residual lease term falls under a specified unexpired lease term. Many Lending institutions will not regard property with an unexpired below seventy years as acceptable security. In addition to impacting your ability to sell, it is also relevant where you are intending to remortgage your Laceby property.

Why use us for your lease extension in Laceby?

The conveyancing solicitors that we work with handle Laceby 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.

Laceby Lease Extension Case Summaries:

Muhammad, Laceby, Lincolnshire,

Muhammad was the the leasehold owner of a 2 bedroom flat in Laceby on the market with a lease of a little over 61 years outstanding. Muhammad informally contacted his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years subject to a new rent to start with set at £150 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Muhammad to invoke his statutory right. Muhammad procured expert legal guidance and secured satisfactory deal without resorting to tribunal and readily saleable.

Laceby case:

In 2010 we were contacted by Mr and Mrs. D Howard who, having acquired a garden flat in Laceby in April 2011. The question was if we could approximate the premium could be to prolong the lease by an additional years. Similar properties in Laceby with an extended lease were valued around £285,000. The average ground rent payable was £55 invoiced yearly. The lease elapsed in 2105. Having 79 years outstanding we calculated the compensation to the freeholder to extend the lease to be within £13,300 and £15,400 exclusive of costs.

Laceby case:

In 2012 we were phoned by Mr Leo Garcia who, having owned a studio flat in Laceby in June 2004. The dilemma was if we could estimate the premium would likely be to prolong the lease by ninety years. Comparative premises in Laceby with an extended lease were worth £193,400. The mid-range ground rent payable was £65 invoiced monthly. The lease concluded on 13 May 2085. Having 59 years unexpired we calculated the premium to the landlord to extend the lease to be within £21,900 and £25,200 not including professional charges.