Main reasons to commence your Bishopsworth lease extension

Top reasons for lease extension now:

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

Unfortunately that a Bishopsworth residential lease is a deteriorating asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the early years due to the loss of value being disguised by increases in the Bishopsworth property prices.Once your lease nears 85ish years, you need to start considering a lease extension. If the number of years remaining dips under 80 years, you will end up paying 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property Most leasehold owners in Bishopsworth will be able to extend under the legislation; however a conveyancer will be able to confirm if you are eligibility. In some situations you may not be entitled. There are also strict timeframes and procedures to follow once the process is instigated and you will need to be guided by your conveyancing solicitor from beginning to end of the formalities.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of 100 years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.

Lenders will not issue a mortgage with a short lease

Many mortgage lenders insist on a lengthy amount of time remaining on a leasehold residence before they will consider it as adequate security. Even if you don't require a mortgage, you should bear in mind that it is probable that someone wishing to purchase your property in the future might well do, so where they can't obtain a mortgage, then the financial worth of your property could be adversely impacted. In the last decade many mortgage lenders have increased the required minimum lease length that they are prepared to lend on

Why use us for your lease extension in Bishopsworth?

Using our service will provide you better control over the value of your Bishopsworth leasehold, as your property will be more valuable and saleable in respect of lease length should you decide to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Bishopsworth Lease Extension Case Summaries:

Jude, Bishopsworth, Bristol

Last October Jude, started to get near to the 80-year mark with the lease on his purpose- built flat in Bishopsworth. Having purchased his property two decades ago, the length of the lease was of no relevance. by good luck, he noticed he would imminently be paying an escalated premium for a lease extension. Jude extended the lease just under the wire in April. Jude and the freeholder via the managing agents ultimately agreed on a premium of £5,500 . If the lease had slipped lower than eighty years, the price would have escalated by a minimum £850.

Bishopsworth case:

Last Autumn we were approach by Mr C Bertrand , who acquired a one bedroom apartment in Bishopsworth in February 2012. The question was if we could estimate the premium would likely be for a ninety year lease extension. Identical properties in Bishopsworth with an extended lease were worth £210,600. The average amount of ground rent was £45 invoiced every twelve months. The lease ended in 2088. Taking into account 62 years as a residual term we estimated the premium to the freeholder to extend the lease to be within £18,100 and £20,800 plus legals.

Bishopsworth case:

Last year we were called by Mrs Chloe Laurent , who purchased a one bedroom apartment in Bishopsworth in October 1999. The question was if we could estimate the premium would be to extend the lease by an additional years. Comparative residencies in Bishopsworth with 100 year plus lease were worth £260,000. The average amount of ground rent was £50 billed every twelve months. The lease finished in 2099. Taking into account 73 years outstanding we calculated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 not including costs.