Top reasons for Salford lease extension

Main reasons to commence your Salford lease extension today:

Increase your lease and increase your Salford property value

Salford leases on domestic properties are gradually losing value. Where your lease has about ninety years left, you should start thinking about a lease extension. Eighty years is a significant number: when the unexpired term of a lease falls below this level then you begin incurring an additional element called marriage value. Leasehold owners in Salford will mostly qualify for a lease extension; however a solicitor will check if you qualify. In some situations you may not be entitled. There are also strict deadlines and procedures to follow once the process has commenced so it’s sensible to be guided by a lawyer during the process.

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

It is generally considered that a residential leasehold with more than 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years in the future.

Banks and Building Societies may not lend with a short lease

Banks and building societies are making their criteria more stringent and a meaningful number now expect flats to have a minimum of sixty if not seventy years left once the mortgage has expired. Given that plenty of flats in Salford were built in the 1950s, 1960s and 1970s as a result many now need to be extended if they if they are to be mortgageable.

Get in touch with one of our Salford lease extension solicitors or enfranchisement solicitors

Using our service will provide you better control over the value of your Salford leasehold, as your property will be more valuable and saleable in relation to the lease length should you want 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.

Salford Lease Extension Example Cases:

Rory, Salford, Greater Manchester

Twenty four months ago Rory, started to get near to the 80-year mark with the lease on his garden apartment in Salford. In buying his flat 18 years previously, the unexpired term was of little concern. Thankfully, he realised he needed to take steps soon on a lease extension. Rory was able to extend his lease just under the wire last May. Rory and the landlord in the end agreed on an amount of £6,000 . If the lease had fallen lower than 80 years, the premium would have gone up by at least £925.

Salford case:

Ms J Flores acquired a studio flat in Salford in January 2001. We are asked if we could estimate the price would be to prolong the lease by 90 years. Similar flats in Salford with an extended lease were worth £275,000. The average amount of ground rent was £55 billed yearly. The lease lapsed in 2102. Considering the 76 years outstanding we estimated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 not including professional charges.

Salford case:

In 2012 we were phoned by Mr and Mrs. W López who, having bought a recently refurbished apartment in Salford in February 2003. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be for a ninety year lease extension. Similar homes in Salford with a long lease were valued about £176,200. The mid-range ground rent payable was £65 invoiced quarterly. The lease expired in 2082. Considering the 56 years unexpired we calculated the premium to the landlord for the lease extension to be between £29,500 and £34,000 not including professional charges.