Main reasons to start your Stroud lease extension

Why you should commence your Stroud lease extension today:

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

Chances are that if you own a flat in Stroud you actually own a long leasehold interest over your property

An extended lease has roughly the same value as a freehold

It is generally accepted that a property with more than one hundred years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.

Lending institutions will not lend with a short lease

Mortgage companies are tightening their criteria and a meaningful number now want flats to have at least sixty if not seventy years remaining once the mortgage has expired. Considering a number of flats in Stroud were built in the fifties, sixties and seventies as a result many now require lease extensions if they if they are to be mortgageable.

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

The lawyers that we work with undertake Stroud 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 conveyancing solicitor we work with provide it.

Stroud Lease Extension Case Studies:

Bethany, Stroud, Gloucestershire,

Trailing lengthy correspondence with the freeholder of her studio flat in Stroud, Bethany initiated the lease extension process just as her lease was approaching the crucial eighty-year deadline. The legal work was concluded in November 2011. The landlord’s fees were negotiated to below 550 GBP.

Stroud case:

Last month we were contacted by Dr Shannon Adams , who completed a purpose-built flat in Stroud in July 1998. The dilemma was if we could estimate the compensation to the landlord would likely be for a 90 year lease extension. Identical properties in Stroud with a long lease were valued around £218,000. The mid-range ground rent payable was £45 collected annually. The lease finished on 5 November 2089. Taking into account 63 years left we approximated the premium to the freeholder to extend the lease to be between £17,100 and £19,800 not including costs.

Stroud case:

Mrs Harriet Brown was assigned a lease of a one bedroom apartment in Stroud in August 2000. We are asked if we could approximate the price would likely be for a 90 year extension to my lease. Comparative homes in Stroud with an extended lease were in the region of £270,000. The average ground rent payable was £55 collected monthly. The lease elapsed in 2100. Taking into account 74 years as a residual term we estimated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of costs.