Main reasons to commence your Mevagissey lease extension

Main reasons to commence your Mevagissey lease extension today:

Increase your lease and increase your Mevagissey property value

Mevagissey leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Most owners of residential leasehold property in Mevagissey enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Mevagissey you would be well advised to investigate if your lease has between seventy and ninety years remaining. There are compelling reasons why a Mevagissey leaseholder with a lease having around 80 years remaining should take action to make sure that a lease extension is effected without delay

An extended lease is almost the same value as a freehold

Leasehold properties in Mevagissey with more than one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. 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.

Lending institutions may decide not to loan monies with a short lease

The propensity since the credit crunch has been for lenders to tighten lending requirements generally - this has extended to the types of security over which the home loan is to be charged. This has meant the minimum number of years remaining under the lease required by banks has increased. Historically mortgage companies would lend on a lease with twenty years plus the term of the loan - typically fifty 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 Mevagissey?

Lease extensions in Mevagissey can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and valuer with experience in lease extensions.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Mevagissey lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Mevagissey Lease Extension Example Cases:

Sophia, Mevagissey, Cornwall,

Off the back of unsuccessful negotiations with the landlord of her purpose-built apartment in Mevagissey, Sophia initiated the lease extension process just as the lease was approaching the critical 80-year deadline. The transaction was finalised in March 2005. The freeholder’s charges were restricted to less than 500 pounds.

Mevagissey case:

Last November we were contacted by Dr David Harris , who took over the lease of a ground floor apartment in Mevagissey in February 2004. The question was if we could estimate the price would be to extend the lease by ninety years. Identical premises in Mevagissey with a long lease were valued about £193,400. The mid-range amount of ground rent was £65 invoiced quarterly. The lease expired on 16 September 2084. Given that there were 59 years left we calculated the premium to the landlord for the lease extension to be between £21,900 and £25,200 exclusive of costs.

Mevagissey case:

Mr and Mrs. H Jackson bought a studio flat in Mevagissey in July 1995. We are asked if we could approximate the price could be to extend the lease by 90 years. Similar premises in Mevagissey with 100 year plus lease were in the region of £250,000. The average amount of ground rent was £50 invoiced per annum. The lease expired on 19 April 2095. Considering the 70 years remaining we estimated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 plus expenses.