Why you should commence your Macclesfield lease extension

Top reasons for lease extension now:

Increase your lease and increase your Macclesfield property value

For those whose Macclesfield home is held on a long lease, our message is clear – if nothing is done, the property will ultimately revert to your landlord, leaving you empty-handed. The fewer the years remaining the less it is worth and the more it will cost to obtain a lease extension.

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

It is generally accepted that a property with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years remaining, the property will be equivalent in value to a freehold for decades to come.

Banks and Building Societies may not finance a property with a short lease

The propensity since the credit crunch has been for mortgage companies to tighten lending criteria generally - this has extended to the property over which the mortgage is to be granted. This has meant the unexpired lease term required by lenders has increased. In the past banks would lend on a lease with 25 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 now have a minimum term of 75 years as standard.

What makes us experts in Macclesfield lease extensions?

The conveyancers that we work with undertake Macclesfield 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.

Macclesfield Lease Extension Case Studies:

Kirsty, Macclesfield, Cheshire,

Following lengthy correspondence with the freeholder of her basement flat in Macclesfield, Kirsty initiated the lease extension process as the 80 year deadline was swiftly approaching. The transaction was finalised in February 2011. The landlord’s fees were kept to an absolute minimum.

Macclesfield case:

Mrs C Simon owned a one bedroom apartment in Macclesfield in September 2009. The question was if we could estimate the price would be to prolong the lease by ninety years. Similar properties in Macclesfield with an extended lease were in the region of £264,000. The mid-range ground rent payable was £60 billed monthly. The lease ended in 2079. Considering the 53 years outstanding we approximated the premium to the freeholder for the lease extension to be between £37,100 and £42,800 plus expenses.

Macclesfield case:

Ms I Taylor purchased a first floor apartment in Macclesfield in August 2004. We are asked if we could approximate the premium could be to prolong the lease by 90 years. Comparable flats in Macclesfield with 100 year plus lease were worth £225,400. The mid-range ground rent payable was £45 invoiced monthly. The lease finished in 2090. Given that there were 64 years left we calculated the premium to the freeholder for the lease extension to be within £16,200 and £18,600 plus legals.