Top reasons for Bolsover lease extension

Why you should commence your Bolsover lease extension today:

Increase your lease and increase your Bolsover property value

Bolsover leases on residential deteriorating in value. if your lease has in the region of 90 years left, you should start thinking about a lease extension. It is important to recognise that it is that it is desirable for a lease extension to be in place before the term of the existing lease falls below 80 years - otherwise a higher amount will be due. Leasehold owners in Bolsover will mostly be legally entitled to a lease extension; however a solicitor should be able check if you qualify. In certain cases you may not qualify. There are also strict timetables and procedures to follow once the process has commenced so it’s wise to be guided by a lawyer during the process.

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

Leasehold properties in Bolsover with more than one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges warrant it.

Lenders may not loan monies with a short lease

The propensity since 2008 has been for lenders to tighten lending requirements across the board - this has extended to the property over which the home loan is to be granted. This has resulted in the unexpired lease term required by mortgage companies has increased. Historically banks were content with twenty years plus the term of the loan - typically 50 year leases but those requirements are being increasingly undermined by the requirement for lengthy leases - many use a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Bolsover?

Regardless of whether you are a tenant or a landlord in Bolsover,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Bolsover valuers.

Bolsover Lease Extension Example Cases:

Callum, Bolsover, Derbyshire

Last year Callum, started to get close to the 80-year threshold with the lease on his garden flat in Bolsover. In buying his flat 18 years previously, the length of the lease was of little relevance. Thankfully, it dawned on him that he would soon be paying an inflated amount for a lease extension. Callum extended the lease just in the nick of time in January. Callum and the landlord subsequently agreed on an amount of £6,000 . If the lease had fallen lower than eighty years, the premium would have gone up by a minimum £1,125.

Bolsover case:

Mr and Mrs. W Campbell moved into a newly refurbished apartment in Bolsover in May 2010. The question was if we could estimate the premium would likely be for a 90 year lease extension. Comparative premises in Bolsover with a long lease were in the region of £285,000. The average amount of ground rent was £45 collected per annum. The lease expired on 10 August 2097. Having 71 years unexpired we calculated the premium to the freeholder for the lease extension to be between £12,400 and £14,200 plus legals.

Bolsover case:

Dr Oliver Sánchez acquired a basement flat in Bolsover in April 1999. We are asked if we could shed any light on how much (approximately) price would be to prolong the lease by ninety years. Similar flats in Bolsover with a long lease were valued around £225,800. The mid-range ground rent payable was £60 collected every twelve months. The lease came to a finish in 2086. Taking into account 60 years remaining we calculated the premium to the freeholder to extend the lease to be between £23,800 and £27,400 not including fees.