Why you should start your Murton lease extension

Why you should start your Murton lease extension today:

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

Murton residential property owned on a long lease is a depreciating asset as the leaseholder only owns the property for a set term.

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

It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.

Banks and Building Societies will not issue a mortgage on a short lease

Many mortgage companies require a lengthy amount of time left on any leasehold property before they will consider lending on it. Even if you don't require a mortgage, you should keep in mind that it is probable that someone wishing to buy your property in the future might well do, so in the event that they are unable to secure a mortgage, then the market price of your property will likely suffer. Since 2008 the majority of mortgage lenders have increased the required minimum lease length that they are willing to lend on

What makes us experts in Murton lease extensions?

Engaging our service gives you enhanced control over the value of your Murton leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Murton Lease Extension Case Studies:

Reuben, Murton, County Durham,

Reuben owned a studio apartment in Murton on the market with a lease of a few days over 59 years left. Reuben on an informal basis contacted his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent initially set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Reuben to exercise his statutory right. Reuben procured expert advice and secured an acceptable resolution without resorting to tribunal and sell the flat.

Murton case:

Ms Imogen Bonnet owned a purpose-built apartment in Murton in October 2004. We are asked if we could approximate the price would be to extend the lease by a further 90 years. Comparable residencies in Murton with an extended lease were valued about £260,200. The mid-range amount of ground rent was £65 billed per annum. The lease expired in 2092. Considering the 66 years as a residual term we calculated the premium to the landlord to extend the lease to be between £16,200 and £18,600 plus expenses.

Murton case:

Last Spring we were contacted by Mr A Martínez , who was assigned a lease of a basement flat in Murton in April 1997. The question was if we could estimate the premium would likely be to extend the lease by an additional years. Identical flats in Murton with an extended lease were in the region of £198,800. The average amount of ground rent was £55 billed per annum. The lease elapsed on 28 June 2081. Taking into account 55 years outstanding we calculated the compensation to the landlord for the lease extension to be within £33,300 and £38,400 not including professional charges.