Why you should commence your Tyldesley lease extension

Why you should start your Tyldesley lease extension today:

Increase your lease and increase your Tyldesley property value

Tyldesley leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. It is the case that most Tyldesley tenants have the right to extend their lease by an additional ninety years under the 1993 Leasehold Reform Act. If you are a leasehold owner in Tyldesley you really ought to see if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the amount payable for any lease extension sharply increases as an element of the premium you pay is what is known as a marriage value

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

Leasehold premises in Tyldesley with more than 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.

Lending institutions may decide not to finance a property with a short lease

Whether or not the lease is be regarded as a short lease varies by mortgage company, yet banks and building societies start to get concerned at around 75 years. This may be problematic once you need to sell or refinance your property as it will be practically unmortgageable. You might not have an immediate plan to sell but when you do your purchaser must hold off for 2 years before being able to exercise the right to a a lease extension.

Why use us for your lease extension in Tyldesley?

The conveyancers that we work with handle Tyldesley 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 lawyer we work with provide it.

Tyldesley Lease Extension Example Cases:

Amy, Tyldesley, Greater Manchester,

After unsuccessful negotiations with the landlord of her two bedroom apartment in Tyldesley, Amy commenced the lease extension process as the eighty year mark was swiftly approaching. The legal work was concluded in April 2005. The freeholder’s costs were restricted to less than 450 GBP.

Tyldesley case:

Mrs Alexandra Ramírez completed a garden apartment in Tyldesley in June 2009. We are asked if we could approximate the compensation to the landlord could be to extend the lease by a further 90 years. Identical flats in Tyldesley with a long lease were valued about £218,400. The average amount of ground rent was £60 billed every twelve months. The lease concluded in 2085. Considering the 59 years remaining we calculated the compensation to the landlord to extend the lease to be within £27,600 and £31,800 exclusive of legals.

Tyldesley case:

Dr Caitlin Murphy purchased a one bedroom apartment in Tyldesley in May 1995. The question was if we could estimate the compensation to the landlord would likely be to extend the lease by a further 90 years. Comparative properties in Tyldesley with a long lease were valued about £205,000. The mid-range amount of ground rent was £50 billed every twelve months. The lease ran out on 4 May 2105. Taking into account 79 years remaining we estimated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of costs.