Why you should commence your Newton Aycliffe lease extension

Main reasons to commence your Newton Aycliffe lease extension today:

A Newton Aycliffe lease depreciates with the years remaining on the lease.

The market value of Newton Aycliffe leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can escalate materialy once the remaining term is less than 80 years

An extended lease is almost the same value as a freehold

Leasehold premises in Newton Aycliffe with over one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges warrant it.

Lenders may decide not to grant a mortgage on a short lease

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

Irrespective of whether you are a tenant or a landlord in Newton Aycliffe,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Newton Aycliffe valuers.

Newton Aycliffe Lease Extension Example Cases:

Edward, Newton Aycliffe, County Durham,

Edward owned a conversion flat in Newton Aycliffe being sold with a lease of a few days over 59 years remaining. Edward informally approached his landlord a well known local-based freehold company for a lease extension. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £200 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Edward to exercise his statutory right. Edward obtained expert advice and was able to make an informed decision and handle with the matter and readily saleable.

Newton Aycliffe case:

Mr and Mrs. U Thomas owned a purpose-built flat in Newton Aycliffe in July 2004. The dilemma was if we could estimate the price could be to prolong the lease by ninety years. Identical flats in Newton Aycliffe with an extended lease were worth £205,000. The mid-range ground rent payable was £50 billed annually. The lease elapsed on 24 September 2104. Taking into account 78 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 plus expenses.

Newton Aycliffe case:

In 2009 we were called by Mr and Mrs. F Cox who, having acquired a studio flat in Newton Aycliffe in June 2011. The dilemma was if we could estimate the premium would be for a ninety year extension to my lease. Comparative residencies in Newton Aycliffe with a long lease were in the region of £267,600. The mid-range amount of ground rent was £65 collected per annum. The lease terminated on 18 February 2093. Taking into account 67 years left we approximated the compensation to the landlord for the lease extension to be within £14,300 and £16,400 not including fees.