Main reasons to start your Tamworth lease extension

Main reasons to start your Tamworth lease extension today:

Increase your lease and increase your Tamworth property value

It’s a harsh certainty that a Tamworth residential lease is a wasting asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the depreciation being disguised by increases in the Tamworth property prices.Once your lease nears 85ish years, you should start considering a lease extension. If lease term dips below eighty years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property The majority of flat owners in Tamworth will be able to extend under the legislation; however a conveyancer should be able to clarify if you are eligibility. In some cases you may not be entitled. There are also strict timetables and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor from beginning to end of the process.

Tamworth property with a lease extension is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.

Lenders may not lend with a short lease

Banks and building societies are making their criteria more stringent and many now require flats to have a minimum of 60 if not 70 years remaining at the end of the mortgage. Given that plenty of flats in Tamworth were created in the 1950s, 1960s and 1970s as a result many now require lease extensions if they if they are to be mortgageable.

Why use us for your lease extension in Tamworth?

Regardless of whether you are a tenant or a freeholder in Tamworth,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Tamworth valuers.

Tamworth Lease Extension Case Studies:

Sam, Tamworth, Staffordshire

14 months ago Sam, started to get near to the eighty-year threshold with the lease on his studio apartment in Tamworth. In buying his home 18 years ago, the unexpired term was of no relevance. Thankfully, it dawned on him that he needed to take steps soon on a lease extension. Sam was able to extend his lease at the eleventh hour in August. Sam and the landlord subsequently settled on sum of £5,500 . If he had missed the deadline, the sum would have gone up by a minimum £850.

Tamworth case:

Mrs G Patel moved into a one bedroom flat in Tamworth in October 1997. The question was if we could approximate the price could be to prolong the lease by an additional years. Similar premises in Tamworth with 100 year plus lease were worth £290,000. The average amount of ground rent was £45 billed yearly. The lease expiry date was in 2099. Taking into account 73 years left we calculated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 plus legals.

Tamworth case:

In 2010 we were contacted by Mr and Mrs. I Mason who, having bought a studio apartment in Tamworth in May 2011. We are asked if we could approximate the premium could be to prolong the lease by ninety years. Similar flats in Tamworth with an extended lease were in the region of £240,600. The mid-range amount of ground rent was £65 billed yearly. The lease lapsed on 17 February 2088. Taking into account 62 years outstanding we approximated the premium to the freeholder for the lease extension to be between £21,900 and £25,200 plus professional charges.