Main reasons to commence your Lymm lease extension

Why you should start your Lymm lease extension today:

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

Lymm leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. The majority of owners of residential leasehold property in Lymm enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Lymm you would be well advised to check if your lease has between seventy and 90 years remaining. There are good reasons why a Lymm leaseholder with a lease having around eighty years left should take steps to ensure that a lease extension is put in place without delay

An extended lease has roughly the same value as a freehold

Leasehold residencies in Lymm with over 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and service charges merit it.

Banks and Building Societies will not lend on a short lease

Mortgage lenders have specific criteria when loaning monies secured on leasehold homes. Some will simply not lend at all once the residual lease term falls beneath a specified unexpired lease term. Many Mortgage lenders will not regard property with an unexpired below 75 years as adequate security. In addition to impacting your ability to sell, it is also relevant if you are wanting to refinance your Lymm property.

Why use us for your lease extension in Lymm?

The conveyancing solicitors that we work with procure Lymm 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.

Lymm Lease Extension Example Cases:

Riley, Lymm, Cheshire

In recent months Riley, started to get near to the 80-year threshold with the lease on his ground floor flat in Lymm. Having bought his home two decades ago, the lease term was of minimal concern. Luckily, he realised he would soon be paying an inflated amount for Extending the lease. Riley extended the lease just under the wire in August. Riley and the landlord in the end agreed on sum of £5,500 . If he failed to meet the deadline, the amount would have become more exhorbitant by a minimum £975.

Lymm case:

Last month we were e-mailed by Mr and Mrs. K Michel , who took over the lease of a one bedroom apartment in Lymm in October 1999. We are asked if we could shed any light on how much (approximately) price would be to prolong the lease by 90 years. Identical premises in Lymm with a long lease were in the region of £285,000. The mid-range amount of ground rent was £55 billed quarterly. The lease elapsed in 2105. Taking into account 79 years as a residual term we estimated the premium to the freeholder to extend the lease to be within £13,300 and £15,400 plus legals.

Lymm case:

In 2013 we were called by Mrs W Mercier who, having was assigned a lease of a one bedroom flat in Lymm in June 1997. We are asked if we could shed any light on how much (approximately) price would likely be for a 90 year extension to my lease. Similar residencies in Lymm with a long lease were worth £193,400. The average amount of ground rent was £65 collected quarterly. The lease ran out in 2085. Taking into account 59 years remaining we approximated the premium to the freeholder to extend the lease to be between £21,900 and £25,200 exclusive of fees.