Why you should commence your Quorn lease extension

Top reasons for lease extension now:

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

Quorn leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. It is the case that most Quorn tenants have the right to extend their lease by an additional ninety years in accordance with the 1993 Leasehold Reform Act. If you are a leasehold owner in Quorn you really ought to investigate if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value

An extended lease has roughly the same value as a freehold

Leasehold residencies in Quorn with over one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.

Mortgage lenders may not grant a mortgage on a short lease

Mortgage companies are really restricting their approach as regards to homes in Quorn with short leases. For example you may find that their lending requirements are stricter and that they alter interest rates depending on the unexpired lease term. Some may even refuse to lend completely, so where you needed to sell, your remaining options would be to find a cash buyer, or try your luck at auction thus reducing your market.

What makes us experts in Quorn lease extensions?

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

Quorn Lease Extension Case Studies:

Dexter, Quorn, Leicestershire

14 months ago Dexter, came dangerously close to the 80-year threshold with the lease on his first floor apartment in Quorn. Having bought his property two decades ago, the unexpired term was of no interest. Luckily, he realised he would imminently be paying an inflated amount for Extending the lease. Dexter extended the lease just under the wire in March. Dexter and the freeholder via the managing agents ultimately settled on an amount of £5,500 . If the lease had dipped below 80 years, the amount would have escalated by a minimum £1,075.

Quorn case:

In 2011 we were phoned by Ms Robyn Evans who, having purchased a one bedroom apartment in Quorn in November 1999. We are asked if we could estimate the compensation to the landlord would likely be to prolong the lease by 90 years. Identical flats in Quorn with 100 year plus lease were valued about £295,000. The average ground rent payable was £50 billed every twelve months. The lease came to a finish on 24 June 2101. Given that there were 75 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £8,600 and £9,800 plus legals.

Quorn case:

Dr Nathaniel Howard acquired a recently refurbished apartment in Quorn in May 1995. The question was if we could estimate the price would be to extend the lease by 90 years. Similar flats in Quorn with an extended lease were worth £250,400. The average ground rent payable was £65 billed quarterly. The lease came to a finish in 2090. Given that there were 64 years outstanding we calculated the compensation to the freeholder for the lease extension to be within £19,000 and £22,000 exclusive of legals.