Why you should commence your Leigh lease extension

Why you should start your Leigh lease extension today:

Increase your lease and increase your Leigh property value

The market value of Leigh leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can increase materialy once the unexpired lease term is below than eighty years

An extended lease is almost the same value as a freehold

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

Lending institutions may decide not to lend on a short lease

Banks and building societies do not like short residential leases. You are likely to experience problems where you need to sell your flat in Leigh if the unexpired term of your lease is less than the criteria set by most banks and building societies. Different lenders have different criteria but in the main they are looking for an unexpired term of at least 65 years.

What makes us experts in Leigh lease extensions?

Regardless of whether you are a tenant or a freeholder in Leigh,the lease extension lawyers 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 Leigh valuers.

Leigh Lease Extension Example Cases:

Alexandra, Leigh, Greater Manchester,

Subsequent to unsuccessful correspondence with the freeholder of her ground floor apartment in Leigh, Alexandra started the lease extension process as the eighty year threshold was swiftly coming. The transaction was finalised in November 2009. The landlord’s charges were kept to an absolute minimum.

Leigh case:

In 2013 we were approached by Dr Phoebe André who, having moved into a one bedroom flat in Leigh in June 2004. We are asked if we could shed any light on how much (roughly) premium could be for a ninety year lease extension. Identical residencies in Leigh with an extended lease were in the region of £250,400. The mid-range amount of ground rent was £65 collected every twelve months. The lease ended in 2090. Taking into account 64 years remaining we estimated the compensation to the freeholder to extend the lease to be within £19,000 and £22,000 plus costs.

Leigh case:

Last Winter we were called by Mr and Mrs. E Hill , who was assigned a lease of a ground floor apartment in Leigh in July 2010. The dilemma was if we could estimate the premium would likely be for a 90 year lease extension. Comparable residencies in Leigh with a long lease were in the region of £189,000. The average amount of ground rent was £55 collected monthly. The lease lapsed in 2079. Having 53 years left we approximated the compensation to the landlord for the lease extension to be between £28,500 and £33,000 plus costs.