Top reasons for Morecambe lease extension

Main reasons to start your Morecambe lease extension today:

A Morecambe lease depreciates with the years remaining on the lease.

Morecambe leases on residential properties are gradually losing value. if your lease has approximately ninety years unexpired, you should start thinking about a lease extension. It is important to recognise that it is that it is desirable for a lease extension to take place before the term of the current lease drops lower than 80 years - otherwise a higher premium will be due. Flat owners in Morecambe will mostly be legally entitled to a lease extension; however a solicitor should be able confirm your eligibility. In some cases you may not qualify. There are also strict timetables and procedures to follow once the process has started so it’s sensible to be guided by a lawyer during the process.

Morecambe property with a lease extension has roughly the same value as a freehold

Leasehold properties in Morecambe with over 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.

Mortgage lenders may not grant a mortgage with a short lease

Most banks have tightened lending criteria in recent years and borrowers are finding it increasingly difficult to raise funding or re-mortgage against flats with shorter lease terms, particularly under seventy years as they are considered to be unacceptable for lending purposes.

Why use us for your lease extension in Morecambe?

Regardless of whether you are a tenant or a landlord in Morecambe,the lease extension experts that we work with will always be prepared 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 Case Studies:

Paige, Morecambe, Lancashire,

Following protracted discussions with the landlord of her studio flat in Morecambe, Paige initiated the lease extension process as the 80 year deadline was rapidly advancing. The lease extension was finalised in April 2011. The landlord’s costs were kept to an absolute minimum.

Morecambe case:

Last Winter we were contacted by Mr and Mrs. N Smith , who bought a ground floor apartment in Morecambe in July 2005. We are asked if we could approximate the compensation to the landlord could be to prolong the lease by an additional years. Comparative flats in Morecambe with an extended lease were in the region of £216,000. The mid-range ground rent payable was £60 collected per annum. The lease concluded in 2084. Considering the 58 years as a residual term we approximated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 exclusive of professional charges.

Morecambe case:

In 2011 we were called by Ms Alexandra Morgan who, having acquired a ground floor apartment in Morecambe in August 2002. The question was if we could shed any light on how much (approximately) price could be for a 90 year lease extension. Similar homes in Morecambe with a long lease were worth £205,000. The mid-range amount of ground rent was £50 billed quarterly. The lease ran out in 2105. Given that there were 79 years as a residual term we estimated the premium to the landlord to extend the lease to be between £7,600 and £8,800 not including professional charges.