Top reasons for Morecambe lease extension

Top reasons for lease extension now:

Increase your lease and increase your Morecambe property value

Morecambe residential property owned on a long lease is a wasting asset as the leaseholder merely owns the property for a set term.

An extended lease is almost the same value as a freehold

Leasehold premises in Morecambe with more than 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 property. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges merit it.

Banks and Building Societies will not lend with a short lease

Most high street banks are making their criteria more stringent and many now require flats to have at least 60 if not 70 years remaining once the mortgage has expired. Considering a number of flats in Morecambe were created in the fifties, sixties and seventies as a result many now need to be extended if they wish to obtain a mortgage.

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

Irrespective of whether you are a tenant or a freeholder in Morecambe,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Morecambe valuers.

Morecambe Lease Extension Example Cases:

Natasha, Morecambe, Lancashire,

After unsuccessful discussions with the landlord of her purpose-built flat in Morecambe, Natasha initiated the lease extension process as the eighty year mark was fast nearing. The transaction was concluded in June 2005. The landlord’s costs were kept to an absolute minimum.

Morecambe case:

Last Winter we were contacted by Mr and Mrs. M Bertrand , who bought a studio apartment in Morecambe in June 2009. The question was if we could approximate the compensation to the landlord would be to extend the lease by a further 90 years. Comparative residencies in Morecambe with a long lease were valued around £240,600. The mid-range ground rent payable was £65 billed annually. The lease came to a finish in 2088. Given that there were 62 years as a residual term we approximated the premium to the freeholder to extend the lease to be between £21,900 and £25,200 exclusive of expenses.

Morecambe case:

In 2014 we were approached by Mrs Zoe Vincent who, having purchased a purpose-built flat in Morecambe in November 2007. The question was if we could estimate the premium would be for a ninety year lease extension. Similar premises in Morecambe with a long lease were in the region of £181,600. The mid-range amount of ground rent was £55 billed monthly. The lease elapsed on 12 August 2078. Taking into account 52 years left we estimated the compensation to the freeholder for the lease extension to be within £30,400 and £35,200 not including legals.