Why you should commence your Settle lease extension

Main reasons to commence your Settle lease extension today:

Increase your lease and increase your Settle property value

On the balance of probabilities where you own a flat in Settle you actually own a long leasehold interest over your property

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

It is generally considered that a residential leasehold with in excess of 100 years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.

Mortgage lenders may not grant a mortgage with a short lease

The propensity since over the last decade has been for mortgage companies to tighten lending requirements across the board - this has extended to the property over which the home loan is to be charged. This has meant the unexpired lease term required by banks has increased. Historically mortgage companies would grant a mortgage on a lease with 25 years plus the term of the loan - routinely 50 year leases but those requirements evolved by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

What makes us experts in Settle lease extensions?

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

Settle Lease Extension Case Studies:

Ellen, Settle, North Yorkshire,

After unsuccessful discussions with the freeholder of her basement apartment in Settle, Ellen started the lease extension process just as her lease was coming close to the crucial eighty-year deadline. The transaction was finalised in September 2013. The landlord’s charges were kept to an absolute minimum.

Settle case:

Mr and Mrs. F Thompson purchased a recently refurbished apartment in Settle in August 1998. The dilemma was if we could estimate the compensation to the landlord would be for a 90 year lease extension. Comparative residencies in Settle with a long lease were in the region of £300,000. The average ground rent payable was £50 invoiced per annum. The lease elapsed on 14 March 2101. Taking into account 75 years as a residual term we approximated the premium to the landlord for the lease extension to be within £8,600 and £9,800 exclusive of professional charges.

Settle case:

In 2013 we were contacted by Mr and Mrs. J Wilson who, having took over the lease of a one bedroom flat in Settle in June 2004. The dilemma was if we could approximate the compensation to the landlord would be to extend the lease by ninety years. Comparable premises in Settle with 100 year plus lease were in the region of £250,400. The average ground rent payable was £65 collected yearly. The lease concluded in 2090. Taking into account 64 years as a residual term we approximated the premium to the freeholder for the lease extension to be between £19,000 and £22,000 not including costs.