Main reasons to commence your Machen lease extension

Main reasons to start your Machen lease extension today:

Increase your lease and increase your Machen property value

On the balance of probabilities if you own a flat in Machen you actually own a long leasehold interest over your property

Machen property with a lease extension is almost the same value as a freehold

It is conventional wisdom that a property with over one hundred years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.

Lending institutions may not finance a property with a short lease

Most mortgage lenders insist on a lengthy amount of time left on a leasehold property before they will contemplate lending on it. Even if you don't require a mortgage, you should bear in mind that it is probable that someone intending to acquire your property in the future might well do, so if they are unable to get a mortgage, then the value of the property will likely suffer. In the last decade many mortgage lenders have increased the required minimum lease length that they are prepared to lend on

Get in touch with one of our Machen lease extension solicitors or enfranchisement solicitors

Irrespective of whether you are a tenant or a freeholder in Machen,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 experience and the close ties they enjoy with Machen valuers.

Machen Lease Extension Case Summaries:

Harry, Machen, Caerphilly

During the course of the last few months Harry, came very near to the 80-year threshold with the lease on his first floor apartment in Machen. In buying his property twenty years ago, the length of the lease was of minimal concern. Fortunately, he realised he needed to take action soon on a lease extension. Harry was able to extend his lease just under the wire last April. Harry and the freeholder ultimately agreed on sum of £5,000 . If he not met the deadline, the sum would have become more costly by a minimum £1,050.

Machen case:

In 2010 we were e-mailed by Ms Lydia Lambert who, having moved into a basement flat in Machen in August 2004. The dilemma was if we could approximate the premium would likely be to extend the lease by 90 years. Similar residencies in Machen with a long lease were valued about £280,000. The average ground rent payable was £45 invoiced quarterly. The lease termination date was on 24 September 2096. Having 70 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of professional charges.

Machen case:

In 2013 we were e-mailed by Mr and Mrs. R Clark who, having took over the lease of a first floor flat in Machen in April 1997. We are asked if we could approximate the price could be for a ninety year lease extension. Similar properties in Machen with a long lease were worth £225,800. The average ground rent payable was £60 invoiced annually. The lease elapsed on 21 August 2086. Taking into account 60 years as a residual term we calculated the premium to the freeholder for the lease extension to be between £25,700 and £29,600 exclusive of professional charges.