Why you should commence your Marple lease extension

Main reasons to commence your Marple lease extension today:

A Marple leasehold property depreciates with the years remaining on the lease.

Marple leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. The majority of owners of residential leasehold property in Marple enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Marple you would be well advised to check if your lease has between 70 and 90 years left. There are good reasons why a Marple leaseholder with a lease having around eighty years remaining should take steps to make sure that a lease extension is effected without delay

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.

Lenders may not finance a property with a short lease

The propensity since the credit crunch has been for banks to tighten lending requirements across the board - this has extended to the property over which the home loan is to be granted. This has resulted in the unexpired lease term required by lenders has increased. Historically banks would lend on a lease with twenty years plus the term of the loan - typically fifty year leases but those requirements evolved by the requirement for longer and longer leases - many use a minimum term of 75 years as standard.

Why use us for your lease extension in Marple?

The conveyancers that we work with procure Marple 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 conveyancing solicitor we work with provide it.

Marple Lease Extension Case Studies:

Jasmine, Marple, Greater Manchester,

Following protracted discussions with the landlord of her purpose-built apartment in Marple, Jasmine initiated the lease extension process as the 80 year deadline was fast nearing. The transaction was concluded in January 2008. The freeholder’s costs were restricted to slightly above 550 GBP.

Marple case:

Last March we were contacted by Ms Natasha Jones , who bought a studio apartment in Marple in June 2007. We are asked if we could shed any light on how much (roughly) premium would likely be for a ninety year extension to my lease. Comparative homes in Marple with 100 year plus lease were in the region of £218,000. The average amount of ground rent was £45 billed per annum. The lease finished on 10 September 2089. Having 63 years unexpired we approximated the compensation to the landlord to extend the lease to be between £17,100 and £19,800 plus legals.

Marple case:

In 2009 we were phoned by Mr and Mrs. J James who, having was assigned a lease of a purpose-built apartment in Marple in August 2000. The question was if we could estimate the premium would likely be to extend the lease by a further 90 years. Identical homes in Marple with a long lease were worth £265,000. The average ground rent payable was £55 invoiced every twelve months. The lease elapsed on 4 April 2100. Given that there were 74 years unexpired we calculated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including costs.