Main reasons to start your Sandbach lease extension

Main reasons to commence your Sandbach lease extension today:

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

The market value of a leasehold property in Sandbach is impacted by how many years the lease has left to run. If it is close to or less than 80 years you should anticipate difficulties on re-sale, so it is advisable to arrange for the lease to be extended prior to purchasing. It is preferable to commence the process of extending the lease is when the lease still has 82 years unexpired so that all matters can be addressed prior to the 80 year mark. Statute entitles Sandbach qualifying lessees to obtain a new lease which will be for the current unexpired lease term plus an additional term of 90 years. The purpose of the valuation is to determine the sum payable by the lessee to the freeholder for the purchase of the lease extension.

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

Leasehold properties in Sandbach with in excess of 100 years outstanding on the lease are sometimes 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 estate charges merit it.

Mortgage lenders may decide not to finance a property on a short lease

Lending institutions have set criteria when loaning monies secured on leasehold homes. Many will simply not lend at all once the remaining lease term falls under a certain unexpired lease term. Many Banks and Building Societies will not consider property with an unexpired below seventy years as adequate security. In addition to impacting your ability to sell, it is also relevant where you are seeking to refinance your Sandbach home.

What makes us experts in Sandbach lease extensions?

Lease extensions in Sandbach can be a difficult process. We recommend you obtain guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience dealing with Sandbach lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Sandbach Lease Extension Case Studies:

Alexandra, Sandbach, Cheshire,

Trailing unsuccessful discussions with the landlord of her garden apartment in Sandbach, Alexandra commenced the lease extension process just as the lease was nearing the crucial eighty-year threshold. The transaction was concluded in September 2006. The landlord’s costs were restricted to slightly above five hundred pounds.

Sandbach case:

Dr Joshua Cooper owned a one bedroom apartment in Sandbach in May 2004. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year lease extension. Comparable residencies in Sandbach with an extended lease were valued around £176,200. The average ground rent payable was £65 invoiced monthly. The lease lapsed on 14 October 2082. Given that there were 56 years unexpired we estimated the compensation to the freeholder to extend the lease to be between £29,500 and £34,000 exclusive of expenses.

Sandbach case:

Mr and Mrs. G Lambert bought a basement flat in Sandbach in August 1995. The dilemma was if we could estimate the premium could be to prolong the lease by 90 years. Similar premises in Sandbach with 100 year plus lease were worth £242,600. The average amount of ground rent was £45 billed annually. The lease elapsed in 2093. Having 67 years outstanding we calculated the premium to the freeholder for the lease extension to be between £11,400 and £13,200 plus expenses.