Top reasons for Radcliffe lease extension

Main reasons to commence your Radcliffe lease extension today:

Increase your lease and increase your Radcliffe property value

Radcliffe leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Legislation has been in place for sometime now which entitles qualifying Radcliffe residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Radcliffe you should check if your lease has between 70 and 90 years remaining. In particular once the remaining lease term slips under eighty years, the premium due on any lease extension increases dramatically as an element of the premium you will incur is what is known as a marriage value

An extended lease is almost the same value as a freehold

Leasehold properties in Radcliffe with in excess of 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges justify it.

Lending institutions may not loan monies on a short lease

Lenders are really restricting their approach as regards to homes in Radcliffe with short leases. For example you might discover that their lending criteria are stricter and that they alter interest rates depending on the unexpired lease term. Some may even refuse to lend completely, so if you wanted to sell, your remaining options would be to find a cash purchaser, or try your luck at auction thus narrowing the amount of prospective purchasers.

What makes us experts in Radcliffe lease extensions?

Regardless of whether you are a tenant or a landlord in Radcliffe,the lease extension solicitors 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 Radcliffe valuers.

Radcliffe Lease Extension Example Cases:

Tommy, Radcliffe, Greater Manchester

Last year Tommy, came dangerously close to the 80-year threshold with the lease on his purpose- built apartment in Radcliffe. Having purchased his flat two decades ago, the length of the lease was of minimal concern. Thankfully, he noticed he needed to take steps soon on a lease extension. Tommy arranged for a lease extension just under the wire in August. Tommy and the landlord who owned the flat above in the end settled on an amount of £5,500 . If he had missed the deadline, the premium would have increased by at least £850.

Radcliffe case:

In 2014 we were e-mailed by Mr and Mrs. C Taylor who, having acquired a one bedroom apartment in Radcliffe in July 2006. The question was if we could shed any light on how much (approximately) premium could be for a 90 year extension to my lease. Comparable flats in Radcliffe with a long lease were worth £200,000. The mid-range ground rent payable was £50 billed per annum. The lease finished on 28 November 2104. Given that there were 78 years outstanding we approximated the premium to the landlord for the lease extension to be between £8,600 and £9,800 exclusive of expenses.

Radcliffe case:

Last Spring we were e-mailed by Mr and Mrs. S Rivera , who purchased a one bedroom apartment in Radcliffe in March 1999. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Comparative flats in Radcliffe with an extended lease were worth £267,600. The average amount of ground rent was £65 collected per annum. The lease finished on 18 July 2093. Having 67 years left we estimated the compensation to the freeholder to extend the lease to be within £14,300 and £16,400 plus legals.