Why you should start your Godmanchester lease extension

Top reasons for lease extension now:

Increase your lease and increase your Godmanchester property value

The value of Godmanchester leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of extending the lease can increase significantly once the unexpired lease term is below than eighty years

Godmanchester property with a lease extension is almost the same value as a freehold

Leasehold premises in Godmanchester with in excess of one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges justify it.

Lending institutions will not finance a property on a short lease

Nearly all banks and building societies will not grant a mortgage on a lease with less than 70 years left to run - although this varies between mortgage companies. A purchaser will undoubtedly find it difficult to obtain a mortgage and this could result in your Godmanchester property being difficult to dispose of or refinance.

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

The lawyers that we work with undertake Godmanchester 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.

Godmanchester Lease Extension Case Summaries:

Mollie, Godmanchester, Cambridgeshire,

Following protracted discussions with the landlord of her studio flat in Godmanchester, Mollie started the lease extension process just as the lease was coming close to the critical 80-year mark. The lease extension was finalised in July 2007. The freeholder’s charges were kept to an absolute minimum.

Godmanchester case:

In 2013 we were contacted by Mr and Mrs. P Peterson who, having moved into a first floor flat in Godmanchester in October 2000. We are asked if we could shed any light on how much (roughly) premium could be to prolong the lease by an additional years. Comparative properties in Godmanchester with a long lease were worth £223,400. The mid-range ground rent payable was £60 invoiced monthly. The lease concluded on 21 October 2085. Taking into account 59 years outstanding we approximated the compensation to the landlord to extend the lease to be within £27,600 and £31,800 exclusive of professional charges.

Godmanchester case:

Last Autumn we were phoned by Mr and Mrs. T Stewart , who purchased a recently refurbished apartment in Godmanchester in January 1999. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be to prolong the lease by a further 90 years. Identical residencies in Godmanchester with a long lease were in the region of £205,000. The mid-range ground rent payable was £50 billed yearly. The lease ended on 5 September 2105. Given that there were 79 years left we approximated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 plus professional charges.