Why you should start your Disley lease extension
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Main reasons to commence your Disley lease extension today:
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Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/disley">Disley</a> property value </h4>
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Disley leases on residential deteriorating in value. Where your lease has approximately 90 years unexpired, you should start thinking about a lease extension. If lease term is less than eighty years, you will then be required to pay half of the property's 'marriage value' on top of the standard cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in Disley will mostly qualify for a lease extension; however a solicitor will confirm your eligibility. In some circumstances you may not be entitled. There are also strict timetables and procedures to follow once the process is initiated so it’s wise to be guided by a lawyer during the process.
<h4>An extended lease is almost the same value as a freehold</h4>
<p> It is conventional wisdom that a property with over one hundred years remaining is worth approximately the same 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 many years in the future.
<h4>Mortgage lenders may decide not to issue a mortgage with a short lease</h4> Mortgage lenders have set criteria when loaning monies secured on leasehold property. Some will simply refuse lend at all once an unexpired lease term slips lower than a certain unexpired lease term. Many Mortgage lenders will not regard property with an unexpired below seventy years suitable security. In addition to this being important when selling, it is also relevant where you are intending to refinance your Disley home.
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<th> Requirement
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<td>Birmingham Midshires</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Godiva Mortgages</td>
<td> A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion.
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<td>Santander</td>
<td> You must report the unexpired lease term to us and await our instructions if: <br />1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or<br />2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or<br />3. no valuation report is provided<br />However, we will not accept a lease where on expiry of the mortgage:<br />(i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or<br />(ii) less than 30 years remain and the loan is repaid on a capital and interest basis<br /><br />We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder.
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<td>Skipton Building Society</td>
<td> 85 years from the date of completion of the mortgage<br /><br />For Buy to Let cases:<br />- lettings must not breach any of the lessee’s covenants; and<br />- consent of the lessor to lettings must be obtained if necessary
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<td>Virgin</td>
<td> 85 years at the time of completion. If it's less, we require it to be extended on or before completion.
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Why use us for your lease extension in Disley? </h4>
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Lease extensions in Disley can be a difficult process. We recommend you procure professional help from a lawyer and surveyor well versed in the legislation and lease extension process.
<p>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 dealing with Disley lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
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Disley Lease Extension Example Cases:
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<h5> Joshua, Disley, Cheshire</h5>
<p> Last Christmas Joshua, started to get near to the eighty-year threshold with the lease on his basement apartment in Disley. Having bought his home twenty years ago, the unexpired term was of no interest. by good luck, he recognised he would imminently be paying an inflated amount for Extending the lease. Joshua arranged for a lease extension just in the nick of time in September. Joshua and the landlord who owned the flat above subsequently settled on a premium of £5,000 . If the lease had dipped below 80 years, the figure would have increased by a minimum £950.
<h5>Disley case:</h5>
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In 2009 we were e-mailed by Mr and Mrs. V Lewis who, having moved into a ground floor apartment in Disley in January 2005. We are asked if we could approximate the compensation to the landlord would be to extend the lease by ninety years. Comparable residencies in Disley with an extended lease were worth £275,000. The mid-range ground rent payable was £65 collected per annum. The lease ran out on 10 November 2094. Considering the 68 years unexpired we estimated the premium to the landlord to extend the lease to be between £12,400 and £14,200 plus legals.
<h5>Disley case:</h5>
<p> Dr Lucas François took over the lease of a one bedroom flat in Disley in June 1995. The question was if we could shed any light on how much (approximately) price would likely be to extend the lease by 90 years. Comparative flats in Disley with a long lease were valued around £208,600. The average amount of ground rent was £60 invoiced monthly. The lease elapsed in 2083. Considering the 57 years unexpired we approximated the premium to the landlord for the lease extension to be within £30,400 and £35,200 exclusive of costs.
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