Top reasons for Tewkesbury lease extension

Main reasons to start your Tewkesbury lease extension today:

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

The value of Tewkesbury 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 substantially once the remaining term is less than eighty years

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

Leasehold premises in Tewkesbury with over 100 years left 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 to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.

Mortgage lenders may not issue a mortgage on a short lease

The definition of a short lease varies by mortgage company, yet mortgage lenders start to become nervous at around 75 years. This may be problematic when you need to market or refinance your flat as it will be practically unmortgageable. Even though you may not have an immediate desire to sell but when you do your buyer must hold off for two years before they can exercise the right to a an extension to the lease.

Why use us for your lease extension in Tewkesbury?

The conveyancers that we work with handle Tewkesbury 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.

Tewkesbury Lease Extension Example Cases:

Max, Tewkesbury, Gloucestershire,

Max owned a studio apartment in Tewkesbury being sold with a lease of fraction over 72 years unexpired. Max on an informal basis spoke with his landlord being a well known London-based freehold company for a lease extension. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £150 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Max to exercise his statutory right. Max obtained expert advice and was able to make an informed judgement and deal with the matter and readily saleable.

Tewkesbury case:

Mr Caleb Wright moved into a newly refurbished apartment in Tewkesbury in October 2007. We are asked if we could approximate the compensation to the landlord would be to extend the lease by 90 years. Comparable residencies in Tewkesbury with 100 year plus lease were worth £198,800. The mid-range ground rent payable was £55 invoiced annually. The lease came to a finish on 4 September 2081. Taking into account 55 years remaining we estimated the compensation to the freeholder to extend the lease to be within £33,300 and £38,400 not including costs.

Tewkesbury case:

In 2011 we were called by Dr I Garcia who, having bought a one bedroom flat in Tewkesbury in November 2005. The dilemma was if we could estimate the premium would likely be to prolong the lease by ninety years. Similar homes in Tewkesbury with a long lease were in the region of £300,000. The mid-range amount of ground rent was £50 collected every twelve months. The lease ended in 2101. Having 75 years as a residual term we approximated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 plus expenses.