Top reasons for Seaburn lease extension

Why you should start your Seaburn lease extension today:

A Seaburn leasehold property depreciates with the years remaining on the lease.

Seaburn leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. Most owners of residential leasehold property in Seaburn enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Seaburn you must see if your lease has between 70 and 90 years remaining. There are good reasons why a Seaburn flat owner with a lease having around eighty years remaining should take steps to ensure that a lease extension is effected without delay

An extended lease is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 35 years left, the premises will be equivalent in value to a freehold for many years in the future.

Lenders may not lend with a short lease

Banks and Building Societies have specific criteria when loaning monies charged on leasehold homes. Some will simply not lend at all once an unexpired lease term falls under a certain unexpired lease term. Many Lending institutions will not consider property with a remaining term of less than seventy years suitable security. In addition to impacting your ability to sell, it is also relevant if you are wanting to refinance your Seaburn home.

Why use us for your lease extension in Seaburn?

Regardless of whether you are a tenant or a landlord in Seaburn,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Seaburn valuers.

Seaburn Lease Extension Example Cases:

Andrew, Seaburn, Tyne And Wear

In recent months Andrew, started to get near to the 80-year threshold with the lease on his two bedroom apartment in Seaburn. Having purchased his flat twenty years previously, the unexpired term was of minimal relevance. Luckily, he recognised he needed to take steps soon on Extending the lease. Andrew extended the lease just under the wire in July. Andrew and the landlord in the end agreed on a premium of £5,000 . If the lease had gone below eighty years, the amount would have increased by a minimum £875.

Seaburn case:

Mrs I Norbert moved into a one bedroom apartment in Seaburn in November 1995. The question was if we could shed any light on how much (approximately) compensation to the landlord could be to prolong the lease by a further 90 years. Similar homes in Seaburn with 100 year plus lease were worth £290,000. The average ground rent payable was £45 collected annually. The lease lapsed on 12 November 2099. Given that there were 73 years remaining we calculated the premium to the landlord for the lease extension to be within £8,600 and £9,800 plus legals.

Seaburn case:

Mr and Mrs. K Petit bought a purpose-built apartment in Seaburn in April 1995. We are asked if we could approximate the premium would be to extend the lease by a further 90 years. Comparative properties in Seaburn with 100 year plus lease were valued around £240,600. The mid-range amount of ground rent was £60 collected monthly. The lease came to a finish in 2088. Considering the 62 years as a residual term we estimated the compensation to the landlord to extend the lease to be within £21,900 and £25,200 plus professional charges.