Main reasons to commence your Thatcham lease extension

Top reasons for lease extension now:

Increase your lease and increase your Thatcham property value

The basic rule is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Thatcham have the right to extend the lease for an additional 90 years under the 1993 Leasehold Reform Act. Please think carefully before delaying your Thatcham lease extension. Shelving that expense today simply escalates the premium you will ultimately have to pay for a lease extension.

An extended lease is almost the same value as a freehold

Leasehold premises in Thatcham with in excess of 100 years remaining on the lease are sometimes referred to as ‘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 buying the freehold unless savings on ground rent and maintenance charges merit it.

Banks and Building Societies will not loan monies on a short lease

Banks and building societies are making their criteria more stringent and many now require flats to have at least 60 if not 70 years remaining at the end of the mortgage. Given that a number of flats in Thatcham were created in the fifties, sixties and seventies this means many now require lease extensions if they if they are to be mortgageable.

Why use us for your lease extension in Thatcham?

Irrespective of whether you are a tenant or a freeholder in Thatcham,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Thatcham valuers.

Thatcham Lease Extension Case Studies:

Leah, Thatcham, Berkshire,

After unsuccessful correspondence with the freeholder of her ground floor flat in Thatcham, Leah started the lease extension process just as her lease was coming close to the critical 80-year deadline. The transaction was finalised in May 2009. The freeholder’s charges were negotiated to about 600 pounds.

Thatcham case:

Last year we were called by Dr G Nelson , who owned a basement flat in Thatcham in February 2001. The question was if we could approximate the price could be to extend the lease by an additional years. Comparable residencies in Thatcham with a long lease were in the region of £205,000. The average amount of ground rent was £50 billed every twelve months. The lease finished in 2105. Taking into account 79 years outstanding we calculated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 not including costs.

Thatcham case:

Mrs Kirsty Dupont acquired a purpose-built apartment in Thatcham in March 2007. We are asked if we could shed any light on how much (roughly) premium could be for a ninety year extension to my lease. Comparative flats in Thatcham with 100 year plus lease were in the region of £275,000. The average amount of ground rent was £65 collected quarterly. The lease end date was in 2094. Considering the 68 years unexpired we calculated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 plus costs.