Main reasons to commence your Bridlington lease extension

Why you should commence your Bridlington lease extension today:

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

The closer a residential lease in Bridlington gets to zero years unexpired, the the greater the reduction in the value of the property. If the lease has, beyond 99 years to run then this decrease may be negligible nevertheless there will become a stage when a lease has fewer than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary rational as to why you should consider extending sooner than later. Many flat owners in Bridlington will meet the qualifying criteria; however a lawyer can advise if you qualify for a lease extension. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.

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

It is generally accepted that a property with over one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.

Banks and Building Societies will not grant a mortgage on a short lease

Lending institutions have specific criteria when lending funds charged on leasehold property. Some will simply refuse lend at all once the remaining lease term slips beneath a specified unexpired lease term. Many Lending institutions will not consider property with a remaining term of less than seventy years as adequate security. As well as impacting your ability to sell, it is also relevant if you are seeking to refinance your Bridlington property.

What makes us experts in Bridlington lease extensions?

The lawyers that we work with procure Bridlington lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.

Bridlington Lease Extension Case Studies:

Alexander, Bridlington, East Yorkshire,

Alexander was the the leasehold owner of a high value apartment in Bridlington being sold with a lease of a little over 61 years remaining. Alexander informally approached his landlord a well known local-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £125 annually. Ordinarily, ground rent would not be due on a lease extension were Alexander to exercise his statutory right. Alexander obtained expert advice and was able to make an informed decision and handle with the matter and sell the property.

Bridlington case:

Last Spring we were contacted by Mr and Mrs. C Díaz , who was assigned a lease of a ground floor apartment in Bridlington in November 2011. The dilemma was if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Similar flats in Bridlington with 100 year plus lease were worth £181,600. The mid-range ground rent payable was £55 billed annually. The lease elapsed in 2078. Taking into account 52 years outstanding we calculated the premium to the freeholder to extend the lease to be within £30,400 and £35,200 not including fees.

Bridlington case:

In 2014 we were approached by Mr and Mrs. U Kelly who, having moved into a purpose-built apartment in Bridlington in October 2011. We are asked if we could shed any light on how much (approximately) premium could be to prolong the lease by 90 years. Identical properties in Bridlington with 100 year plus lease were valued about £285,000. The mid-range amount of ground rent was £45 invoiced annually. The lease finished on 20 May 2098. Considering the 72 years outstanding we estimated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 not including costs.