Top reasons for Rothbury lease extension

Main reasons to commence your Rothbury lease extension today:

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

Owning a apartment usually means owning a lease of the property, which has a set term of years. This lease will ordinarily be granted for a prescribed period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in Rothbury. Inevitably, the length of lease remaining shortens over time. This is often overlooked and only becomes a problem when the property needs to be sold or re-mortgaged. The shorter the lease the lower the value of the property and the more it will cost to obtain a lease extension. Eligible leaseholders in Rothbury have the legal entitlement to extend the lease for a further 90 years in accordance with Leasehold Reform legislation. You should give due deliberation before putting off your Rothbury lease extension. Holding off that expense now simply increases the price you will eventually incur for a lease extension

Rothbury property with a lease extension is almost the same value as a freehold

Leasehold residencies in Rothbury with in excess of 100 years unexpired 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 upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.

Lending institutions may not finance a property with a short lease

Why use us for your lease extension in Rothbury?

The lawyers that we work with handle Rothbury 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 conveyancer we work with provide it.

Rothbury Lease Extension Case Studies:

Muhammad, Rothbury, Northumberland

In recent months Muhammad, started to get near to the 80-year threshold with the lease on his studio apartment in Rothbury. Having purchased his flat 19 years ago, the lease term was of no importance. As luck would have it, he noticed he would imminently be paying an escalated premium for Extending the lease. Muhammad arranged for a lease extension at the eleventh hour last August. Muhammad and the freeholder subsequently settled on an amount of £5,500 . If the lease had dropped below 80 years, the figure would have gone up by a minimum £1,150.

Rothbury case:

Mr and Mrs. N Collins completed a first floor flat in Rothbury in September 1998. We are asked if we could approximate the premium could be to extend the lease by ninety years. Similar flats in Rothbury with an extended lease were in the region of £200,000. The average amount of ground rent was £50 billed every twelve months. The lease end date was on 3 August 2103. Taking into account 77 years left we estimated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 exclusive of expenses.

Rothbury case:

In 2009 we were contacted by Mr Reuben Patel who, having moved into a studio apartment in Rothbury in October 1996. The question was if we could shed any light on how much (approximately) price could be to extend the lease by 90 years. Similar flats in Rothbury with an extended lease were worth £265,200. The mid-range ground rent payable was £65 invoiced every twelve months. The lease elapsed in 2092. Given that there were 66 years remaining we calculated the premium to the freeholder to extend the lease to be within £15,200 and £17,600 not including legals.