Main reasons to commence your Ramsbottom lease extension

Top reasons for lease extension now:

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

For anyone whose Ramsbottom home is held on a long lease, our message is clear – if nothing is done, your property will eventually revert to your landlord, leaving you empty-handed. The fewer the years remaining the lower the value of the property and the more expensive it will be to extend the lease.

Ramsbottom property with a lease extension has roughly the same value as a freehold

Leasehold premises in Ramsbottom with over 100 years left 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 reversionary interest unless savings on ground rent and estate charges warrant it.

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

Mortgage companies do not like short residential leases. You most probably experience difficulties if you want to sell your flat in Ramsbottom if the remaining lease term is under the criteria set by most mortgage companies. Different lenders have different requirements but on the whole theyrequire an unexpired term of at least seventy years.

Why use us for your lease extension in Ramsbottom?

The lawyers that we work with procure Ramsbottom 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 conveyancing solicitor we work with provide it.

Ramsbottom Lease Extension Example Cases:

Alexander, Ramsbottom, Greater Manchester

Last Autumn Alexander, came critically near to the 80-year threshold with the lease on his one bedroom apartment in Ramsbottom. Having purchased his home 18 years previously, the lease term was of little importance. Luckily, he noticed he would imminently be paying an inflated amount for a lease extension. Alexander arranged for a lease extension just in the nick of time last May. Alexander and the freeholder via the managing agents eventually agreed on the final figure of £5,500 . If he had missed the deadline, the figure would have become more costly by at least £1,125.

Ramsbottom case:

Dr D Bonnet took over the lease of a studio flat in Ramsbottom in February 2010. We are asked if we could approximate the premium would likely be to extend the lease by a further 90 years. Similar residencies in Ramsbottom with a long lease were valued around £206,200. The average ground rent payable was £55 invoiced quarterly. The lease expired in 2082. Taking into account 56 years remaining we approximated the premium to the landlord to extend the lease to be within £31,400 and £36,200 not including costs.

Ramsbottom case:

Last month we were e-mailed by Mr and Mrs. L Rose , who took over the lease of a ground floor apartment in Ramsbottom in February 1998. The dilemma was if we could approximate the compensation to the landlord would be for a ninety year extension to my lease. Similar residencies in Ramsbottom with an extended lease were worth £300,000. The mid-range ground rent payable was £50 invoiced per annum. The lease ran out in 2102. Given that there were 76 years unexpired we estimated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 plus expenses.