Top reasons for Sandiacre lease extension

Why you should start your Sandiacre lease extension today:

Increase your lease and increase your Sandiacre property value

There is no doubt about it a leasehold property in Sandiacre is a wasting asset as a result of the diminishing lease term. Where the lease has, beyond 100 years remaining then this decrease may be of little impact however there will become a stage when a lease has fewer than eighty years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary logic behind why you should extend the lease without delay. Many flat owners in Sandiacre will qualify for this right; nevertheless a conveyancing solicitor can advise whether you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

An extended lease has roughly the same value as a freehold

Leasehold residencies in Sandiacre with over one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges merit it.

Mortgage lenders will not loan monies with a short lease

Banks and building societies are tightening their criteria and a meaningful number now expect flats to have at least sixty if not seventy years left once the mortgage has expired. Considering a number of flats in Sandiacre were built in the fifties, sixties and seventies this means many now need to be extended if they wish to obtain a mortgage.

Why use us for your lease extension in Sandiacre?

The conveyancing solicitors that we work with handle Sandiacre 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 lawyer we work with provide it.

Sandiacre Lease Extension Example Cases:

Oliver, Sandiacre, Derbyshire

During the course of the last few months Oliver, came perilously near to the eighty-year mark with the lease on his leasehold flat in Sandiacre. Having bought his flat two decades ago, the unexpired term was of no significance. Luckily, it dawned on him that he needed to take action soon on a lease extension. Oliver extended the lease at the eleventh hour last August. Oliver and the landlord who owned the flat above in the end agreed on sum of £5,000 . If he had missed the deadline, the figure would have become more exhorbitant by at least £850.

Sandiacre case:

Last June we were contacted by Mr and Mrs. G Evans , who bought a first floor flat in Sandiacre in January 1997. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year extension to my lease. Identical premises in Sandiacre with a long lease were worth £285,000. The average amount of ground rent was £45 billed monthly. The lease elapsed on 7 August 2098. Given that there were 72 years remaining we estimated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of professional charges.

Sandiacre case:

Mr and Mrs. W Ali purchased a garden flat in Sandiacre in October 2012. We are asked if we could approximate the premium could be for a ninety year lease extension. Comparable properties in Sandiacre with a long lease were valued around £233,200. The mid-range ground rent payable was £60 collected yearly. The lease lapsed on 8 June 2087. Having 61 years remaining we approximated the premium to the freeholder to extend the lease to be between £22,800 and £26,400 exclusive of costs.