Why you should start your Alsager lease extension

Main reasons to commence your Alsager lease extension today:

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

There is no doubt about it a leasehold property in Alsager is a wasting asset as a result of the shortening lease. If the lease has, in excess of 99 years remaining then this decrease may be fractional however there will become a stage when a lease has less than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary reason why you should extend the lease without delay. Most flat owners in Alsager will qualify for this right; that being said a conveyancing solicitor will be able to confirm whether you are eligible for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with over 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the residence will be equivalent in value to a freehold for decades to come.

Lending institutions may not lend on a short lease

Banks and building societies are tightening their criteria and a meaningful number now want flats to have a minimum of sixty if not seventy years remaining at the end of the mortgage. Considering many flats in Alsager were built in the fifties, sixties and seventies this means many now need to be extended if they if they are to be mortgageable.

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

Regardless of whether you are a tenant or a freeholder in Alsager,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Alsager valuers.

Alsager Lease Extension Example Cases:

Ali, Alsager, Cheshire,

Ali owned a conversion apartment in Alsager on the market with a lease of a few days over fifty eight years remaining. Ali on an informal basis contacted his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent to start with set at £100 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Ali to exercise his statutory right. Ali obtained expert advice and was able to make an informed judgement and handle with the matter and ending up with a market value flat.

Alsager case:

Mr P Wood was assigned a lease of a recently refurbished flat in Alsager in June 1997. We are asked if we could estimate the compensation to the landlord would be to prolong the lease by an additional years. Similar flats in Alsager with a long lease were in the region of £205,000. The mid-range ground rent payable was £50 billed yearly. The lease lapsed on 7 April 2105. Considering the 79 years unexpired we approximated the compensation to the freeholder for the lease extension to be within £7,600 and £8,800 plus professional charges.

Alsager case:

Last year we were contacted by Mr Liam Garcia , who bought a ground floor flat in Alsager in March 2003. The dilemma was if we could estimate the price could be to prolong the lease by 90 years. Comparative residencies in Alsager with a long lease were valued about £270,000. The average ground rent payable was £65 billed monthly. The lease ended on 6 April 2094. Considering the 68 years as a residual term we calculated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of legals.