Top reasons for Melksham lease extension

Why you should start your Melksham lease extension today:

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

The closer a residential lease in Melksham gets to zero years unexpired, the more it reduces the value of the property. If the lease has, over 99 years to run then this decrease may be of little impact however there will become a point in time when a lease has fewer than eighty years left as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the main reason why you should consider extending sooner than later. The majority of flat owners in Melksham will qualify for this right; nevertheless a lawyer can advise if you are eligible for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

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

Leasehold properties in Melksham with over one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges merit it.

Lending institutions will not lend on a short lease

Banks and Building Societies have specific criteria when lending funds secured on leasehold homes. Some will simply refuse lend at all once the residual lease term falls under a specified unexpired lease term. Many Mortgage lenders will not consider property with a remaining term of less than seventy years as adequate security. As well as this being important when selling, it is also relevant if you are wanting to refinance your Melksham property.

What makes us experts in Melksham lease extensions?

The conveyancers that we work with procure Melksham 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.

Melksham Lease Extension Example Cases:

Max, Melksham, Wiltshire

Last Summer Max, came very close to the eighty-year threshold with the lease on his one bedroom flat in Melksham. Having purchased his property two decades ago, the unexpired term was of no concern. by good luck, he became aware that he would soon be paying an escalated premium for a lease extension. Max was able to extend his lease at the eleventh hour last May. Max and the freeholder via the management company in the end settled on the final figure of £5,500 . If he failed to meet the deadline, the premium would have escalated by at least £975.

Melksham case:

In 2010 we were phoned by Ms Ashleigh Martin who, having was assigned a lease of a ground floor flat in Melksham in March 2010. We are asked if we could approximate the premium could be to extend the lease by a further 90 years. Identical premises in Melksham with a long lease were valued about £201,200. The mid-range amount of ground rent was £55 invoiced annually. The lease concluded in 2082. Taking into account 56 years unexpired we approximated the compensation to the freeholder to extend the lease to be within £31,400 and £36,200 exclusive of legals.

Melksham case:

Dr Erin Lee owned a purpose-built apartment in Melksham in March 1995. We are asked if we could approximate the premium could be to prolong the lease by 90 years. Comparative residencies in Melksham with 100 year plus lease were valued around £300,000. The mid-range ground rent payable was £50 invoiced every twelve months. The lease came to a finish in 2102. Taking into account 76 years outstanding we estimated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 not including costs.