Why you should commence your Magor lease extension

Top reasons for lease extension now:

Increase your lease and increase your Magor property value

Owning a flat usually means owning a lease of the property, which has a set term of years. your lease will usually be granted for a fixed period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Magor. Clearly, the period of lease remaining reduces as time goes by. This is often ignored and only raises itself as an issue when the property needs to be sold or re-mortgaged. The fewer the years remaining the less it is worth and the more expensive it will be to procure a lease extension. Qualifying leaseholders in Magor have the right to extend the lease for a further 90 years under Leasehold Reform legislation. Do give careful deliberation before putting off your Magor lease extension. Putting off the cost now likely increases the price you will eventually incur to extend your lease

An extended lease is almost the same value as a freehold

Leasehold premises in Magor with in excess of 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges warrant it.

Mortgage lenders will not finance a property on a short lease

The propensity since over the last decade has been for banks to tighten lending requirements generally - this has extended to the property over which the mortgage is to be granted. This has resulted in the unexpired lease term required by banks has increased. Historically lenders would grant a mortgage on a lease with twenty years plus the term of the loan - routinely 50 year leases but those requirements have been chipped away by the requirement for lengthy leases - many use a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Magor?

The conveyancing solicitors that we work with undertake Magor 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 lawyer we work with provide it.

Magor Lease Extension Case Studies:

Natalie, Magor, Monmouthshire,

Trailing lengthy negotiations with the freeholder of her ground floor apartment in Magor, Natalie started the lease extension process just as the lease was coming close to the critical eighty-year deadline. The transaction was concluded in June 2006. The freeholder’s costs were restricted to below 550 pounds.

Magor case:

In 2014 we were e-mailed by Mr and Mrs. I Hall who, having owned a basement apartment in Magor in March 2003. We are asked if we could approximate the price would likely be to prolong the lease by ninety years. Comparative premises in Magor with 100 year plus lease were worth £183,600. The mid-range amount of ground rent was £65 billed monthly. The lease finished in 2083. Having 57 years left we estimated the compensation to the landlord to extend the lease to be within £28,500 and £33,000 exclusive of fees.

Magor case:

Last year we were phoned by Mr Leo Ramírez , who acquired a basement apartment in Magor in January 2000. We are asked if we could estimate the compensation to the landlord could be to extend the lease by an additional years. Similar premises in Magor with 100 year plus lease were in the region of £245,000. The mid-range ground rent payable was £50 collected monthly. The lease came to a finish on 18 April 2094. Given that there were 68 years as a residual term we estimated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 plus costs.