Why you should commence your North Shields and Tynemouth lease extension

Why you should commence your North Shields and Tynemouth lease extension today:

A North Shields and Tynemouth lease depreciates with the years remaining on the lease.

North Shields and Tynemouth residential property held on a long lease is a wasting asset because a leaseholder merely owns the property for a period of years.

North Shields and Tynemouth property with a lease extension has roughly the same value as a freehold

It is generally considered that a property with more than one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.

Lenders may decide not to loan monies with a short lease

Almost all banks and building societies require a lengthy amount of time remaining on a leasehold residence before they will contemplate it as adequate security. Even if you don't require a mortgage, you should keep in mind that it is reasonable to assume that someone intending to purchase your property in the future might well do, so in the event that they are not able to secure a mortgage, then the value of the property will likely be adversely impacted. Since 2008 most banks and building societies have increased the required minimum lease length that they are prepared to accept

What makes us experts in North Shields and Tynemouth lease extensions?

The lawyers that we work with procure North Shields and Tynemouth lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.

North Shields and Tynemouth Lease Extension Example Cases:

Caleb, North Shields and Tynemouth, Tyne And Wear,

Caleb owned a high value flat in North Shields and Tynemouth on the market with a lease of just over fifty eight years left. Caleb informally spoke with his landlord a well known Manchester-based freehold company for a lease extension. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £50 per annum. Ordinarily, ground rent would not be due on a lease extension were Caleb to exercise his statutory right. Caleb obtained expert advice and secured satisfactory deal informally and readily saleable.

North Shields and Tynemouth case:

Mr and Mrs. W Edwards completed a recently refurbished apartment in North Shields and Tynemouth in September 2006. The question was if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Comparable homes in North Shields and Tynemouth with 100 year plus lease were in the region of £285,000. The average ground rent payable was £45 invoiced every twelve months. The lease concluded in 2097. Considering the 71 years unexpired we estimated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 not including fees.

North Shields and Tynemouth case:

Mr and Mrs. N Stewart purchased a basement apartment in North Shields and Tynemouth in May 2003. The dilemma was if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Comparative homes in North Shields and Tynemouth with an extended lease were in the region of £225,800. The mid-range ground rent payable was £60 invoiced monthly. The lease expired on 16 March 2086. Given that there were 60 years remaining we estimated the compensation to the freeholder to extend the lease to be between £23,800 and £27,400 plus costs.