Why you should start your Bournemouth lease extension

Top reasons for lease extension now:

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

It’s an underpublicised certainty that a Bournemouth 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 first few years due to the loss of value being disguised by increases in the Bournemouth property market.Where your lease has approximately ninety years left, you need to start thinking about a lease extension. If the number of years remaining slips under 80 years, you will end up paying half 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 Bournemouth will be able to extend under the legislation; however a conveyancer should be able to clarify whether you are eligibility. In some situations you may not be entitled. There are also strict deadlines and procedures to follow once the process is initiated and you will need to be guided by your conveyancing solicitor throughout the formalities.

Bournemouth property with a lease extension is almost the same value as a freehold

Leasehold premises in Bournemouth with more than 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and service charges justify it.

Mortgage lenders will not lend with a short lease

Almost all mortgage lenders require a lengthy amount of time left on any leasehold residence before they will contemplate it as adequate security. Regardless of whether you need a mortgage, you should keep in mind that it is probable that someone wanting to acquire your property in the future might well do, so if they are not able to obtain a mortgage, then the market price of the property could be adversely impacted. In the last decade many mortgage lenders have increased the required minimum lease length that they are prepared to accept

Why use us for your lease extension in Bournemouth?

Lease extensions in Bournemouth can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.

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 procuring Bournemouth lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Bournemouth Lease Extension Case Summaries:

Niamh, Bournemouth, Dorset,

Following lengthy negotiations with the landlord of her basement apartment in Bournemouth, Niamh commenced the lease extension process as the 80 year mark was swiftly advancing. The transaction completed in October 2015. The freeholder’s charges were kept to an absolute minimum.

Bournemouth case:

In 2013 we were called by Dr Tia Morgan who, having completed a garden flat in Bournemouth in September 2001. We are asked if we could approximate the premium would likely be to prolong the lease by ninety years. Comparable flats in Bournemouth with a long lease were worth £285,000. The mid-range ground rent payable was £55 invoiced quarterly. The lease elapsed in 2105. Taking into account 79 years remaining we approximated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 plus fees.

Bournemouth case:

Last Autumn we were approach by Mr Arthur Vincent , who acquired a basement flat in Bournemouth in February 2003. We are asked if we could shed any light on how much (approximately) premium could be to prolong the lease by 90 years. Comparative premises in Bournemouth with an extended lease were valued around £193,400. The mid-range ground rent payable was £65 collected per annum. The lease expired in 2085. Considering the 59 years left we estimated the premium to the freeholder for the lease extension to be between £21,900 and £25,200 plus fees.