Top reasons for Rugeley lease extension

Main reasons to commence your Rugeley lease extension today:

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

For anyone whose Rugeley property 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 shorter the lease the lower the value of the property and the more it will cost to obtain a lease extension.

An extended lease is almost the same value as a freehold

Leasehold premises in Rugeley with more than one hundred 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 to be gained by buying the freehold unless savings on ground rent and estate charges merit it.

Lenders will not grant a mortgage on a short lease

Most mortgage lenders have tightened lending criteria in recent years and borrowers are encountering difficulties in arranging funding or re-mortgage against property with shorter lease terms, particularly under seventy years as they are regarded as insufficient for lending purposes.

What makes us experts in Rugeley lease extensions?

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

Rugeley Lease Extension Example Cases:

Eliot, Rugeley, Staffordshire,

Eliot owned a 2 bedroom apartment in Rugeley being sold with a lease of fraction over 59 years remaining. Eliot on an informal basis contacted his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £125 annually. Ordinarily, ground rent would not be payable on a lease extension were Eliot to exercise his statutory right. Eliot obtained expert legal guidance and was able to make an informed decision and handle with the matter and ending up with a market value flat.

Rugeley case:

Last October we were approach by Mr and Mrs. I Howard , who owned a garden flat in Rugeley in September 1996. The question was if we could estimate the premium would likely be for a 90 year lease extension. Similar homes in Rugeley with 100 year plus lease were worth £275,000. The average amount of ground rent was £55 invoiced yearly. The lease terminated in 2103. Taking into account 77 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of expenses.

Rugeley case:

Dr Kyle Patel owned a studio apartment in Rugeley in August 2005. The question was if we could approximate the premium could be to extend the lease by an additional years. Comparative premises in Rugeley with an extended lease were valued around £183,600. The average amount of ground rent was £65 collected per annum. The lease elapsed in 2083. Considering the 57 years remaining we estimated the premium to the landlord to extend the lease to be between £28,500 and £33,000 exclusive of expenses.