Why you should commence your Roker lease extension

Why you should commence your Roker lease extension today:

Increase your lease and increase your Roker property value

Chances are that if you own a flat in Roker you actually own a long leasehold interest over your property

An extended lease is almost the same value as a freehold

Leasehold residencies in Roker with over 100 years left on the lease are often referred to as ‘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 upside in buying the freehold unless savings on ground rent and estate charges warrant it.

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

Most high street banks are making their criteria more stringent and a meaningful number now want flats to have a minimum of sixty if not seventy years remaining at the expiry of the mortgage. Given that many flats in Roker were built in the 1950s, 1960s and 1970s this means many now need to be extended if they wish to get a mortgage.

What makes us experts in Roker lease extensions?

Engaging our service will provide you enhanced control over the value of your Roker leasehold, as your property will be more valuable and saleable in respect of lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Roker Lease Extension Example Cases:

Kate, Roker, Tyne And Wear,

In the wake of eight months of protracted negotiations with the landlord of her purpose-built flat in Roker, Kate started the lease extension process just as her lease was coming close to the crucial 80-year threshold. The transaction was finalised in February 2014. The freeholder’s costs were kept to an absolute minimum.

Roker case:

Last Winter we were phoned by Mrs Sophie Simon , who moved into a ground floor apartment in Roker in April 2007. We are asked if we could estimate the compensation to the landlord would be for a ninety year lease extension. Comparable premises in Roker with an extended lease were worth £176,200. The average ground rent payable was £65 collected per annum. The lease elapsed in 2082. Considering the 56 years left we estimated the premium to the landlord to extend the lease to be within £29,500 and £34,000 not including legals.

Roker case:

Last Winter we were called by Mr and Mrs. T Clark , who acquired a one bedroom flat in Roker in March 2007. The dilemma was if we could estimate the price could be to extend the lease by a further 90 years. Similar properties in Roker with an extended lease were in the region of £242,600. The average ground rent payable was £45 invoiced annually. The lease expiry date was in 2093. Having 67 years outstanding we approximated the compensation to the landlord to extend the lease to be within £11,400 and £13,200 exclusive of costs.