Why you should commence your Tynemouth lease extension

Top reasons for lease extension now:

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

Chances are that if you own a flat in Tynemouth you actually own a long leasehold interest over your property

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

It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth approximately the same as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.

Banks and Building Societies may not issue a mortgage with a short lease

Many banks and building societies insist on a lengthy amount of time left on any leasehold property before they will contemplate it as adequate security. Regardless of whether you need a mortgage, you should be mindful that it is likely that someone intending to acquire your property in the future might well do, so if they can't obtain a mortgage, then the financial worth of the property could suffer. Since 2008 most banks and building societies have increased the required minimum lease length that they are prepared to lend on

Why use us for your lease extension in Tynemouth?

The conveyancers that we work with procure Tynemouth 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 conveyancer we work with provide it.

Tynemouth Lease Extension Case Summaries:

Alexander, Tynemouth, Tyne And Wear,

Alexander owned a high value apartment in Tynemouth on the market with a lease of a few days over 61 years unexpired. Alexander informally contacted his freeholder being a well known Manchester-based freehold company for a lease extension. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Alexander to exercise his statutory right. Alexander obtained expert legal guidance and secured satisfactory deal informally and sell the flat.

Tynemouth case:

Last month we were approach by Mr B Morgan , who owned a purpose-built flat in Tynemouth in April 2003. We are asked if we could approximate the premium would likely be for a 90 year lease extension. Similar homes in Tynemouth with an extended lease were in the region of £227,800. The mid-range amount of ground rent was £45 collected per annum. The lease finished in 2091. Given that there were 65 years left we calculated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 exclusive of costs.

Tynemouth case:

In 2014 we were approached by Dr W Hill who, having was assigned a lease of a purpose-built flat in Tynemouth in June 2009. We are asked if we could approximate the price would be for a ninety year extension to my lease. Identical residencies in Tynemouth with 100 year plus lease were worth £270,000. The mid-range amount of ground rent was £55 invoiced yearly. The lease finished in 2102. Given that there were 76 years unexpired we estimated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 not including professional charges.