Top reasons for Shepton Mallet lease extension

Top reasons for lease extension now:

Increase your lease and increase your Shepton Mallet property value

The value of Shepton Mallet leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of extending the lease can escalate substantially once the unexpired lease term is below than 80 years

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

It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.

Mortgage lenders may decide not to finance a property with a short lease

Nearly all mortgage lenders will not lend on a lease with less than seventy years left to run - although this varies between mortgage companies. A buyer will likely find it difficult in obtaining a mortgage and this could result in your Shepton Mallet property becoming difficult to sell or to obtain finance on.

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

The conveyancing solicitors that we work with undertake Shepton Mallet 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.

Shepton Mallet Lease Extension Example Cases:

Finn, Shepton Mallet, Somerset,

Finn was the the leasehold owner of a 2 bedroom apartment in Shepton Mallet being sold with a lease of fraction over 72 years left. Finn informally contacted his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Finn to invoke his statutory right. Finn procured expert advice and secured an acceptable resolution without resorting to tribunal and readily saleable.

Shepton Mallet case:

In 2010 we were phoned by Dr N Khan who, having took over the lease of a studio apartment in Shepton Mallet in September 2004. We are asked if we could shed any light on how much (approximately) premium could be to prolong the lease by a further 90 years. Identical premises in Shepton Mallet with an extended lease were valued around £223,400. The mid-range amount of ground rent was £60 collected every twelve months. The lease expired in 2085. Taking into account 59 years outstanding we approximated the compensation to the landlord to extend the lease to be within £27,600 and £31,800 plus costs.

Shepton Mallet case:

Mrs Sophia Patel bought a basement flat in Shepton Mallet in February 2012. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year lease extension. Similar properties in Shepton Mallet with 100 year plus lease were in the region of £205,000. The average ground rent payable was £50 billed every twelve months. The lease expired in 2105. Given that there were 79 years outstanding we calculated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 plus professional charges.