Main reasons to commence your Partington lease extension

Main reasons to commence your Partington lease extension today:

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

There is no doubt about it a leasehold flat or house in Partington is a wasting asset as a result of the diminishing lease term. Where the lease has, in excess of 99 years remaining then this decrease may be fractional however there will become a stage when a lease has fewer than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the main reason why you should consider extending without delay. The majority of flat owners in Partington will qualify for this right; that being said a conveyancing solicitor will be able to advise whether you qualify to extend your lease. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.

An extended lease has roughly the same value as a freehold

Leasehold premises in Partington with over one hundred years left 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 premises. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges merit it.

Lending institutions will not loan monies with a short lease

The propensity since over the last decade has been for mortgage companies to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be charged. This has resulted in the minimum number of years remaining under the lease required by banks has increased. In the past mortgage companies would lend on a lease with twenty years plus the term of the loan - routinely 50 year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many now have a minimum term of 75 years as standard.

Why use us for your lease extension in Partington?

Irrespective of whether you are a tenant or a freeholder in Partington,the lease extension lawyers 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 Partington valuers.

Partington Lease Extension Case Summaries:

Danielle, Partington, Greater Manchester,

Trailing unsuccessful negotiations with the freeholder of her basement apartment in Partington, Danielle commenced the lease extension process as the eighty year mark was rapidly nearing. The legal work completed in February 2011. The landlord’s charges were negotiated to less than 450 pounds.

Partington case:

Mr Y Sharif took over the lease of a one bedroom flat in Partington in January 1998. We are asked if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Identical premises in Partington with a long lease were worth £227,800. The average ground rent payable was £45 collected annually. The lease concluded in 2090. Given that there were 65 years unexpired we approximated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 exclusive of costs.

Partington case:

In 2013 we were called by Dr Rachel Rose who, having completed a first floor flat in Partington in January 2010. We are asked if we could approximate the price would be to prolong the lease by 90 years. Comparable flats in Partington with a long lease were worth £275,000. The mid-range amount of ground rent was £55 billed quarterly. The lease expiry date was on 5 May 2101. Having 76 years unexpired we estimated the premium to the landlord to extend the lease to be between £9,500 and £11,000 plus expenses.