Main reasons to commence your Skelmersdale lease extension

Main reasons to start your Skelmersdale lease extension today:

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

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

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

It is generally considered that a property with over 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.

Banks and Building Societies will not lend on a short lease

Banks and Building Societies have set criteria when loaning funds secured on leasehold homes. Some will simply refrain from lending at all once the residual lease term slips below a certain unexpired lease term. Many Mortgage lenders will not regard property with a remaining below 75 years as acceptable security. In addition to impacting your ability to sell, it is also relevant where you are intending to refinance your Skelmersdale home.

What makes us experts in Skelmersdale lease extensions?

The conveyancing solicitors that we work with handle Skelmersdale 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 conveyancer we work with provide it.

Skelmersdale Lease Extension Case Summaries:

Caleb, Skelmersdale, Lancashire

18 months ago Caleb, came critically near to the eighty-year mark with the lease on his garden apartment in Skelmersdale. In buying his flat 18 years ago, the unexpired term was of little relevance. As luck would have it, he noticed he needed to take action soon on Extending the lease. Caleb extended the lease just under the wire in January. Caleb and the freeholder via the management company subsequently settled on a premium of £6,000 . If the lease had gone to less than eighty years, the premium would have increased by a minimum £925.

Skelmersdale case:

In 2012 we were called by Dr J Reed who, having bought a recently refurbished apartment in Skelmersdale in November 2011. The dilemma was if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Comparable residencies in Skelmersdale with 100 year plus lease were worth £166,400. The average amount of ground rent was £60 billed quarterly. The lease ended in 2080. Having 54 years unexpired we calculated the premium to the freeholder for the lease extension to be between £32,300 and £37,400 plus expenses.

Skelmersdale case:

Dr C Ricardo owned a newly refurbished flat in Skelmersdale in January 2012. We are asked if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Comparable homes in Skelmersdale with a long lease were worth £227,800. The average amount of ground rent was £45 invoiced monthly. The lease elapsed in 2091. Having 65 years outstanding we approximated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 plus professional charges.