Why you should start your Thornaby lease extension

Why you should start your Thornaby lease extension today:

A Thornaby leasehold property depreciates with the years remaining on the lease.

The nearer a domestic lease in Thornaby nears to zero years unexpired, the the greater the reduction in the value of the property. Where the lease has, over 100 years to run then this decrease may be fractional however there will become a point in time when a lease has fewer than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main logic behind why you should extend the lease sooner as opposed to later. Most flat owners in Thornaby will meet the qualifying criteria; however a conveyancer should be able to confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for under two years.

Thornaby property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 45 years left, the residence will be worth the same as a freehold for many years ahead.

Lending institutions may not issue a mortgage on a short lease

Mortgage lenders have set criteria when loaning monies secured on leasehold property. Many will simply refuse lend at all once the remaining lease term drops beneath a certain unexpired lease term. Many Mortgage lenders will not consider property with an unexpired below seventy years suitable security. In addition to impacting your ability to sell, it is also relevant where you are wanting to refinance your Thornaby property.

Why use us for your lease extension in Thornaby?

Retaining our service gives you better control over the value of your Thornaby leasehold, as your property will be more valuable and saleable in respect of lease length should you want to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Thornaby Lease Extension Case Summaries:

Danielle, Thornaby, County Durham,

Following lengthy discussions with the landlord of her leasehold apartment in Thornaby, Danielle started the lease extension process as the eighty year threshold was quickly approaching. The legal work completed in January 2015. The freeholder’s costs were restricted to below 450 pounds.

Thornaby case:

Last Spring we were approach by Mr and Mrs. P Nguyen , who completed a purpose-built apartment in Thornaby in May 2000. The dilemma was if we could estimate the premium would likely be for a 90 year lease extension. Identical homes in Thornaby with 100 year plus lease were worth £242,600. The average amount of ground rent was £45 invoiced every twelve months. The lease elapsed in 2093. Having 67 years unexpired we approximated the compensation to the landlord to extend the lease to be between £11,400 and £13,200 exclusive of fees.

Thornaby case:

In 2011 we were called by Dr U Bennett who, having completed a garden flat in Thornaby in May 2003. We are asked if we could approximate the compensation to the landlord would be to prolong the lease by a further 90 years. Comparable homes in Thornaby with a long lease were worth £280,000. The average ground rent payable was £55 billed every twelve months. The lease elapsed on 10 August 2104. Taking into account 78 years left we estimated the premium to the landlord to extend the lease to be within £13,300 and £15,400 plus professional charges.