Top reasons for Topsham lease extension

Top reasons for lease extension now:

A Topsham leasehold property depreciates with the years remaining on the lease.

Topsham leases on domestic deteriorating in value. if your lease has about 90 years unexpired, you should start considering the need for a lease extension. It is important to recognise that it is that it is desirable for your lease extension to take place before the term of the existing lease dips below eighty years - otherwise a higher amount will be due. Flat owners in Topsham will mostly qualify for a lease extension; however It would be wise to check with a conveyancer to check your eligibility. In certain situations you may not be entitled. There are also strict timetables and procedures to follow once the process has commenced so it’s best to be guided by a conveyancer during the process.

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

Leasehold premises in Topsham with over one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges merit it.

Mortgage lenders may not lend on a short lease

The propensity since over the last decade has been for mortgage companies to tighten lending criteria across the board - this has extended to the property over which the home loan is to be charged. This has resulted in the minimum number of years remaining under the lease required by lenders has increased. Historically mortgage companies were content with 25 years plus the term of the loan - typically 50 year leases but those requirements evolved by the requirement for longer and longer leases - many use a minimum term of 75 years as a prerequisite.

What makes us experts in Topsham lease extensions?

Lease extensions in Topsham can be a difficult process. We recommend you procure guidance from a lawyer and surveyor with experience in lease extensions.

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 a wealth of experience dealing with Topsham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Topsham Lease Extension Example Cases:

Anna, Topsham, Devon,

In the wake of eight months of unsuccessful negotiations with the landlord of her first floor flat in Topsham, Anna started the lease extension process as the eighty year mark was rapidly coming. The transaction was concluded in July 2011. The freeholder’s fees were negotiated to approximately 650 GBP.

Topsham case:

In 2009 we were approached by Ms U Petit who, having completed a first floor flat in Topsham in April 2008. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Comparable flats in Topsham with an extended lease were worth £243,000. The mid-range amount of ground rent was £65 collected monthly. The lease lapsed in 2089. Taking into account 63 years outstanding we estimated the premium to the landlord to extend the lease to be within £20,000 and £23,000 plus legals.

Topsham case:

In 2013 we were contacted by Ms Leah Stewart who, having was assigned a lease of a garden apartment in Topsham in November 2012. The dilemma was if we could estimate the price would be to prolong the lease by ninety years. Comparable premises in Topsham with a long lease were valued about £181,600. The mid-range amount of ground rent was £55 invoiced every twelve months. The lease ended in 2078. Considering the 52 years left we approximated the premium to the freeholder to extend the lease to be within £30,400 and £35,200 exclusive of legals.