Why you should start your Poole lease extension

Why you should commence your Poole lease extension today:

Increase your lease and increase your Poole property value

As the the remaining lease term of a Poole domestic lease diminished so does its value and therefore the value of your property. Where the residual term has, in excess of 100 years to run then this decrease may be of little impact however there will become a point in time when a lease has under than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the main reason why you should extend the lease without delay. The majority of flat owners in Poole will meet the qualifying criteria; that being said a conveyancing solicitor should 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.

Poole property with a lease extension has roughly the same value as a freehold

Leasehold properties in Poole with in excess of 100 years unexpired on the lease are sometimes referred to as ‘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 to be gained by buying the reversionary interest unless savings on ground rent and estate charges warrant it.

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

Most banks have constrained their lending criteria in the last ten years and borrowers are encountering difficulties in arranging funding or re-mortgage against property with shorter lease terms, particularly under 75 years as they are considered to be unacceptable for lending purposes.

What makes us experts in Poole lease extensions?

The lawyers that we work with undertake Poole 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 conveyancing solicitor we work with provide it.

Poole Lease Extension Example Cases:

Kian, Poole, Dorset

Last October Kian, started to get close to the eighty-year threshold with the lease on his one bedroom flat in Poole. Having bought his home two decades ago, the lease term was of minimal significance. Fortunately, it dawned on him that he needed to take action soon on Extending the lease. Kian extended the lease at the eleventh hour last July. Kian and the landlord who owned the flat above in the end agreed on sum of £5,000 . If the lease had descended to less than eighty years, the price would have become more costly by at least £875.

Poole case:

Mr Teddy Mercier bought a one bedroom flat in Poole in June 2001. We are asked if we could estimate the premium would likely be for a ninety year extension to my lease. Similar flats in Poole with an extended lease were worth £250,000. The average ground rent payable was £50 billed quarterly. The lease expired in 2095. Taking into account 69 years unexpired we approximated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 plus costs.

Poole case:

Last Winter we were e-mailed by Mr and Mrs. J Thomas , who took over the lease of a recently refurbished apartment in Poole in September 1998. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a 90 year extension to my lease. Comparative premises in Poole with an extended lease were valued about £285,000. The mid-range amount of ground rent was £55 collected monthly. The lease expired on 8 August 2106. Taking into account 80 years as a residual term we estimated the compensation to the freeholder for the lease extension to be within £12,400 and £14,200 not including expenses.