Main reasons to start your Shildon lease extension

Why you should commence your Shildon lease extension today:

Increase your lease and increase your Shildon property value

The value of Shildon leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can escalate significantly once the remaining term is less than 80 years

An extended lease is almost the same value as a freehold

Leasehold residencies in Shildon with more than 100 years left on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges warrant it.

Mortgage lenders may not issue a mortgage with a short lease

Banks and building societies are distinct in their lending requirements. Some set the bar at seventy five years remaining on the lease; others may be content with anything with more than seventy years. With less than sixty years, it may be difficult to get a mortgage in the first place.

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

Using our service will provide you better control over the value of your Shildon leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Shildon Lease Extension Example Cases:

Tommy, Shildon, County Durham,

Tommy owned a studio apartment in Shildon on the market with a lease of fraction over 61 years unexpired. Tommy on an informal basis approached his freeholder a well known local-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £200 yearly. No ground rent would be payable on a lease extension were Tommy to exercise his statutory right. Tommy obtained expert advice and was able to make an informed decision and handle with the matter and readily saleable.

Shildon case:

Last year we were approach by Mr and Mrs. S Ricardo , who purchased a first floor apartment in Shildon in June 1998. We are asked if we could shed any light on how much (roughly) price would likely be to prolong the lease by a further 90 years. Similar residencies in Shildon with a long lease were valued around £243,000. The average ground rent payable was £65 collected quarterly. The lease end date was in 2089. Given that there were 63 years left we calculated the compensation to the landlord for the lease extension to be within £20,000 and £23,000 exclusive of professional charges.

Shildon case:

Last Spring we were contacted by Mrs Kirsty Smith , who owned a studio apartment in Shildon in September 2001. We are asked if we could shed any light on how much (roughly) price would likely be to prolong the lease by 90 years. Comparable residencies in Shildon with 100 year plus lease were valued around £181,600. The average ground rent payable was £55 invoiced yearly. The lease expired in 2078. Considering the 52 years outstanding we calculated the premium to the freeholder to extend the lease to be within £30,400 and £35,200 exclusive of expenses.