Main reasons to start your Selby lease extension

Why you should commence your Selby lease extension today:

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

Selby leases on domestic deteriorating in value. Where your lease has about ninety years remaining, you should start thinking about a lease extension. If lease term dips under 80 years, you will then have to pay 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Selby will usually qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to check if you qualify. In some cases you may not qualify. There are prescribed timetables and procedures to follow once the process is initiated so it’s best to be guided by a conveyancer during the process.

Selby property with a lease extension is almost the same value as a freehold

Leasehold residencies in Selby with over 100 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 home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges warrant it.

Banks and Building Societies will not issue a mortgage on a short lease

Mortgage companies are making their criteria more stringent and many now expect flats to have a minimum of sixty if not seventy years remaining at the expiry of the mortgage. Considering a number of flats in Selby were built in the fifties, sixties and seventies as a result many now require lease extensions if they wish to obtain a mortgage.

What makes us experts in Selby lease extensions?

Regardless of whether you are a tenant or a freeholder in Selby,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Selby valuers.

Selby Lease Extension Case Summaries:

Hunter, Selby, North Yorkshire

Two years ago Hunter, came precariously near to the 80-year threshold with the lease on his two bedroom apartment in Selby. Having purchased his flat two decades ago, the unexpired term was of little interest. by good luck, he noticed he needed to take steps soon on a lease extension. Hunter extended the lease just ahead of time last June. Hunter and the landlord in the end agreed on the final figure of £6,000 . If the lease had dropped lower than 80 years, the premium would have increased by a minimum £975.

Selby case:

Mr and Mrs. B González completed a first floor flat in Selby in July 2010. The dilemma was if we could estimate the premium would likely be for a 90 year lease extension. Comparative homes in Selby with 100 year plus lease were in the region of £250,000. The average ground rent payable was £50 collected every twelve months. The lease lapsed in 2094. Taking into account 68 years unexpired we calculated the premium to the freeholder for the lease extension to be between £10,500 and £12,000 not including fees.

Selby case:

Last Christmas we were contacted by Mr A David , who completed a ground floor flat in Selby in June 2005. The dilemma was if we could shed any light on how much (approximately) price would likely be to extend the lease by 90 years. Comparable flats in Selby with 100 year plus lease were in the region of £285,000. The mid-range amount of ground rent was £55 invoiced annually. The lease expired on 19 July 2105. Given that there were 79 years unexpired we calculated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of professional charges.