Top reasons for Cockermouth lease extension

Main reasons to start your Cockermouth lease extension today:

Increase your lease and increase your Cockermouth property value

The basic rule is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Cockermouth may extend the lease for an additional ninety years under legislation. Please think carefully before delaying your Cockermouth lease extension. Postponing the costs today simply increases the price you will eventually have to pay for a lease extension.

An extended lease is almost the same value as a freehold

Leasehold premises in Cockermouth with in excess of 100 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 purchasing the freehold unless savings on ground rent and service charges justify it.

Lenders will not issue a mortgage on a short lease

The propensity since the credit crunch has been for lenders to tighten lending criteria generally - this has extended to the types of security over which the home loan is to be charged. This has resulted in the unexpired lease term required by mortgage companies has increased. In the past mortgage companies were content with twenty years plus the term of the loan - typically fifty 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 Cockermouth lease extensions?

Regardless of whether you are a tenant or a freeholder in Cockermouth,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Cockermouth valuers.

Cockermouth Lease Extension Case Studies:

Isabel, Cockermouth, Cumbria,

Subsequent to unsuccessful negotiations with the freeholder of her purpose-built flat in Cockermouth, Isabel commenced the lease extension process as the 80 year mark was rapidly approaching. The legal work was concluded in February 2014. The landlord’s costs were kept to an absolute minimum.

Cockermouth case:

In 2011 we were phoned by Mr and Mrs. V Miller who, having owned a basement flat in Cockermouth in August 2005. We are asked if we could estimate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Similar premises in Cockermouth with a long lease were in the region of £300,000. The average amount of ground rent was £50 billed every twelve months. The lease came to a finish on 19 June 2102. Considering the 76 years as a residual term we approximated the premium to the freeholder for the lease extension to be within £8,600 and £9,800 plus fees.

Cockermouth case:

In 2012 we were called by Dr Mollie Rose who, having acquired a newly refurbished flat in Cockermouth in March 2011. The dilemma was if we could estimate the price could be to prolong the lease by an additional years. Similar homes in Cockermouth with 100 year plus lease were valued around £252,800. The average amount of ground rent was £65 invoiced quarterly. The lease ran out on 5 November 2091. Given that there were 65 years as a residual term we estimated the compensation to the freeholder to extend the lease to be within £18,100 and £20,800 exclusive of legals.