Why you should commence your Studley lease extension

Main reasons to start your Studley lease extension today:

Increase your lease and increase your Studley property value

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

An extended lease is almost the same value as a freehold

Leasehold residencies in Studley with over one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges merit it.

Banks and Building Societies may not finance a property on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet lending institutions start to get jittery at around 75 years. This may be problematic when you wish to market or refinance your property as it will be effectively unmortgageable. Even though you may have no immediate intention to sell but when you do your purchaser must wait 2 years before being able to exercise the right to a a lease extension.

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

Engaging our service will provide you better control over the value of your Studley leasehold, as your property will be more valuable and saleable in respect of lease length should you want to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Studley Lease Extension Example Cases:

Harrison, Studley, Warwickshire,

Harrison owned a high value flat in Studley being marketed with a lease of a little over 59 years left. Harrison informally contacted his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years subject to a new rent to start with set at £200 per annum and increase every 25 years thereafter. No ground rent would be due on a lease extension were Harrison to exercise his statutory right. Harrison obtained expert advice and secured satisfactory resolution informally and sell the property.

Studley case:

In 2011 we were called by Mr and Mrs. G Moore who, having completed a one bedroom flat in Studley in February 1996. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparative properties in Studley with an extended lease were worth £200,000. The average amount of ground rent was £50 billed per annum. The lease concluded on 16 January 2103. Considering the 77 years as a residual term we calculated the premium to the landlord to extend the lease to be within £8,600 and £9,800 plus expenses.

Studley case:

In 2013 we were e-mailed by Mrs V Martin who, having took over the lease of a one bedroom apartment in Studley in March 2003. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by 90 years. Similar properties in Studley with an extended lease were in the region of £265,200. The mid-range amount of ground rent was £65 invoiced yearly. The lease finished in 2092. Considering the 66 years outstanding we estimated the compensation to the freeholder to extend the lease to be within £15,200 and £17,600 not including fees.