Top reasons for Yarm lease extension

Main reasons to start your Yarm lease extension today:

Increase your lease and increase your Yarm property value

The value of Yarm leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can increase significantly once the remaining term is less than 80 years

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a property with in excess of one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.

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

The propensity since over the last decade has been for banks to tighten lending requirements generally - this has extended to the types of security over which the home loan is to be granted. This has resulted in the minimum number of years remaining under the lease required by mortgage companies has increased. In the past banks would lend on a lease with 25 years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

Get in touch with one of our Yarm lease extension solicitors or enfranchisement solicitors

Lease extensions in Yarm can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Yarm lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Yarm Lease Extension Example Cases:

Andrew, Yarm, County Durham,

Andrew was the the leasehold owner of a studio flat in Yarm on the market with a lease of a little over fifty eight years outstanding. Andrew on an informal basis spoke with his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Andrew to invoke his statutory right. Andrew obtained expert advice and secured an acceptable deal without going to tribunal and readily saleable.

Yarm case:

In 2009 we were e-mailed by Dr Yasmin Bernard who, having moved into a purpose-built flat in Yarm in April 1995. We are asked if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Similar homes in Yarm with 100 year plus lease were in the region of £189,000. The average amount of ground rent was £55 collected annually. The lease terminated on 23 April 2079. Having 53 years left we approximated the premium to the freeholder for the lease extension to be between £28,500 and £33,000 plus professional charges.

Yarm case:

Mr and Mrs. D Green purchased a basement apartment in Yarm in February 2001. We are asked if we could estimate the price could be to extend the lease by an additional years. Comparative residencies in Yarm with an extended lease were valued about £290,000. The mid-range ground rent payable was £45 invoiced quarterly. The lease termination date was in 2099. Given that there were 73 years left we calculated the premium to the landlord for the lease extension to be within £8,600 and £9,800 exclusive of costs.