Top reasons for Seascale lease extension

Main reasons to commence your Seascale lease extension today:

Increase your lease and increase your Seascale property value

Seascale leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. It is the case that most Seascale tenants have the right to extend their lease by an additional ninety years in accordance with the 1993 Leasehold Reform Act. Where you are a leasehold owner in Seascale you would be well advised to see if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the cost of any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

An extended lease is almost the same value as a freehold

Leasehold premises in Seascale with in excess of one hundred years remaining on the lease are often regarded as a ‘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 warrant it.

Lenders will not grant a mortgage on a short lease

Banks and building societies are tightening their criteria and a meaningful number now require flats to have at least sixty if not seventy years remaining once the mortgage has expired. Given that a number of flats in Seascale were created in the 1950s, 1960s and 1970s as a result many now need to be extended if they wish to obtain a mortgage.

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

Using our service gives you increased control over the value of your Seascale leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Seascale Lease Extension Example Cases:

Olivia, Seascale, Cumbria,

Trailing unsuccessful correspondence with the landlord of her studio flat in Seascale, Olivia initiated the lease extension process just as the lease was approaching the crucial eighty-year threshold. The lease extension completed in July 2005. The landlord’s fees were restricted to approximately 700 pounds.

Seascale case:

Last January we were contacted by Dr Eleanor Sharif , who owned a garden flat in Seascale in August 1997. We are asked if we could approximate the compensation to the landlord would be to extend the lease by a further 90 years. Comparative residencies in Seascale with 100 year plus lease were worth £255,000. The average amount of ground rent was £50 collected monthly. The lease terminated on 26 August 2096. Considering the 70 years as a residual term we estimated the premium to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of legals.

Seascale case:

In 2014 we were phoned by Dr G Mason who, having acquired a purpose-built apartment in Seascale in May 2007. The dilemma was if we could shed any light on how much (roughly) price would likely be for a ninety year lease extension. Similar premises in Seascale with a long lease were in the region of £246,800. The average amount of ground rent was £60 billed per annum. The lease came to a finish in 2076. Having 50 years left we approximated the premium to the freeholder for the lease extension to be within £44,700 and £51,600 not including fees.